The word “Wealth Tax” itself is self explanatory, it is the tax imposed on the net wealth of an individual. However understanding the meaning to wealth in context of Wealth Tax is very important. Wealth is the monetary value i.e. the market value on the date of tax assessment of all the assets owned by an individual, HUF or company. Every individual and HUF whose net wealth as on March 31 exceeds Rs 30 lacs is required to pay wealth tax @1% of the amount that exceeds Rs30 lacs. Wealth tax is another type of direct tax by which tax is imposed on individuals falling under its purview. It is an annual tax like income tax.
‘22-24’ – That age of a person often characterized by ambition and enthusiasm; when one just out of the world of education focuses on the riches of investments and sets the primary goal of reaping maximum profits.
Though not wrong, it is still vital for one to realize that he is earning with a purpose. Earning extra notes maybe significant for the wallet, but it does not outweigh the importance of lifetime planning. Lack of awareness clubbed with ignorance is the cause of inappropriate decision-making regarding finances resulting incrisis.