what is assets under wealth tax?????
This query is : Resolved
CA HETAL DEDHIA
(Querist)
29 December 2009
Is Factory godown/premises given on rent an asset under wealth tax?
CA.SHAHZAD SAYYED
(Expert)
29 December 2009
Dear Hetal
U/s 2(ea) of wealth Tax, the land which are using for Business is not treated as Assest but however in your case Factory land is not used by you but u Rented it therefore it is Asset however you can take exemption u/s 5(vi) if it admeasuring 500 mtrs. or less
U/s 2(ea) of wealth Tax, the land which are using for Business is not treated as Assest but however in your case Factory land is not used by you but u Rented it therefore it is Asset however you can take exemption u/s 5(vi) if it admeasuring 500 mtrs. or less
ANIL JANGID
(Expert)
29 December 2009
agree
Murtaza I Bhagat
(Expert)
29 December 2009
agree
30 December 2009
Agree
Vishnu Saboo
(Expert)
03 January 2010
Shahzad is right
CA Ravi Sisodia
(Expert)
03 January 2010
Agree with shahzad.
CA HETAL DEDHIA
(Querist)
08 January 2010
question is modified please reply
03 August 2025
Great question!
Let’s break it down simply:
---
### ✅ What is “Asset” under Wealth Tax?
Under the **Wealth Tax Act, 1957** (now abolished from FY 2015-16 onwards), **certain specified assets** were taxable if the **net wealth exceeded ₹30 lakhs** (as per the old law).
---
### 🚫 Not All Assets Were Taxable — Only “Specified Assets”
**Examples of taxable (chargeable) assets:**
1. Residential houses (except one house exempted)
2. Urban land
3. Motor cars
4. Jewellery
5. Yachts, boats, aircraft (other than for commercial use)
6. Cash in hand beyond ₹50,000 (for individuals)
---
### 🏭 What About Factory Godown or Industrial Premises?
If a **factory godown or industrial premises is used for business or rented for business purposes**, then **it is *not* considered an asset under wealth tax**.
#### So, your case:
> **"Factory godown/premises given on rent"**
✅ **Not taxable under Wealth Tax**, **provided**:
* The godown/premises is used for **commercial/business activities**, either by you or the tenant.
* It is **not residential** in nature.
---
### 🧾 Relevant Provision (Old Law Reference):
Under **Section 2(ea)** of the Wealth Tax Act:
> "Any property held as stock-in-trade, or used for commercial purposes is excluded from the definition of ‘assets’."
---
### ⚠️ Final Note:
Wealth tax has been **abolished from Assessment Year 2016-17 onwards** (i.e., from FY 2015-16). It has been replaced with a surcharge on the super-rich.
So unless you're referring to **prior years**, this no longer applies for current filings.
---
Let me know if you’re asking this for an old case or need help with capital gains or income tax treatment now!
Let’s break it down simply:
---
### ✅ What is “Asset” under Wealth Tax?
Under the **Wealth Tax Act, 1957** (now abolished from FY 2015-16 onwards), **certain specified assets** were taxable if the **net wealth exceeded ₹30 lakhs** (as per the old law).
---
### 🚫 Not All Assets Were Taxable — Only “Specified Assets”
**Examples of taxable (chargeable) assets:**
1. Residential houses (except one house exempted)
2. Urban land
3. Motor cars
4. Jewellery
5. Yachts, boats, aircraft (other than for commercial use)
6. Cash in hand beyond ₹50,000 (for individuals)
---
### 🏭 What About Factory Godown or Industrial Premises?
If a **factory godown or industrial premises is used for business or rented for business purposes**, then **it is *not* considered an asset under wealth tax**.
#### So, your case:
> **"Factory godown/premises given on rent"**
✅ **Not taxable under Wealth Tax**, **provided**:
* The godown/premises is used for **commercial/business activities**, either by you or the tenant.
* It is **not residential** in nature.
---
### 🧾 Relevant Provision (Old Law Reference):
Under **Section 2(ea)** of the Wealth Tax Act:
> "Any property held as stock-in-trade, or used for commercial purposes is excluded from the definition of ‘assets’."
---
### ⚠️ Final Note:
Wealth tax has been **abolished from Assessment Year 2016-17 onwards** (i.e., from FY 2015-16). It has been replaced with a surcharge on the super-rich.
So unless you're referring to **prior years**, this no longer applies for current filings.
---
Let me know if you’re asking this for an old case or need help with capital gains or income tax treatment now!
03 August 2025
Great question!
Let’s break it down simply:
---
### ✅ What is “Asset” under Wealth Tax?
Under the **Wealth Tax Act, 1957** (now abolished from FY 2015-16 onwards), **certain specified assets** were taxable if the **net wealth exceeded ₹30 lakhs** (as per the old law).
---
### 🚫 Not All Assets Were Taxable — Only “Specified Assets”
**Examples of taxable (chargeable) assets:**
1. Residential houses (except one house exempted)
2. Urban land
3. Motor cars
4. Jewellery
5. Yachts, boats, aircraft (other than for commercial use)
6. Cash in hand beyond ₹50,000 (for individuals)
---
### 🏭 What About Factory Godown or Industrial Premises?
If a **factory godown or industrial premises is used for business or rented for business purposes**, then **it is *not* considered an asset under wealth tax**.
#### So, your case:
> **"Factory godown/premises given on rent"**
✅ **Not taxable under Wealth Tax**, **provided**:
* The godown/premises is used for **commercial/business activities**, either by you or the tenant.
* It is **not residential** in nature.
---
### 🧾 Relevant Provision (Old Law Reference):
Under **Section 2(ea)** of the Wealth Tax Act:
> "Any property held as stock-in-trade, or used for commercial purposes is excluded from the definition of ‘assets’."
---
### ⚠️ Final Note:
Wealth tax has been **abolished from Assessment Year 2016-17 onwards** (i.e., from FY 2015-16). It has been replaced with a surcharge on the super-rich.
So unless you're referring to **prior years**, this no longer applies for current filings.
---
Let me know if you’re asking this for an old case or need help with capital gains or income tax treatment now!
Let’s break it down simply:
---
### ✅ What is “Asset” under Wealth Tax?
Under the **Wealth Tax Act, 1957** (now abolished from FY 2015-16 onwards), **certain specified assets** were taxable if the **net wealth exceeded ₹30 lakhs** (as per the old law).
---
### 🚫 Not All Assets Were Taxable — Only “Specified Assets”
**Examples of taxable (chargeable) assets:**
1. Residential houses (except one house exempted)
2. Urban land
3. Motor cars
4. Jewellery
5. Yachts, boats, aircraft (other than for commercial use)
6. Cash in hand beyond ₹50,000 (for individuals)
---
### 🏭 What About Factory Godown or Industrial Premises?
If a **factory godown or industrial premises is used for business or rented for business purposes**, then **it is *not* considered an asset under wealth tax**.
#### So, your case:
> **"Factory godown/premises given on rent"**
✅ **Not taxable under Wealth Tax**, **provided**:
* The godown/premises is used for **commercial/business activities**, either by you or the tenant.
* It is **not residential** in nature.
---
### 🧾 Relevant Provision (Old Law Reference):
Under **Section 2(ea)** of the Wealth Tax Act:
> "Any property held as stock-in-trade, or used for commercial purposes is excluded from the definition of ‘assets’."
---
### ⚠️ Final Note:
Wealth tax has been **abolished from Assessment Year 2016-17 onwards** (i.e., from FY 2015-16). It has been replaced with a surcharge on the super-rich.
So unless you're referring to **prior years**, this no longer applies for current filings.
---
Let me know if you’re asking this for an old case or need help with capital gains or income tax treatment now!
03 August 2025
Great question!
Let’s break it down simply:
---
### ✅ What is “Asset” under Wealth Tax?
Under the **Wealth Tax Act, 1957** (now abolished from FY 2015-16 onwards), **certain specified assets** were taxable if the **net wealth exceeded ₹30 lakhs** (as per the old law).
---
### 🚫 Not All Assets Were Taxable — Only “Specified Assets”
**Examples of taxable (chargeable) assets:**
1. Residential houses (except one house exempted)
2. Urban land
3. Motor cars
4. Jewellery
5. Yachts, boats, aircraft (other than for commercial use)
6. Cash in hand beyond ₹50,000 (for individuals)
---
### 🏭 What About Factory Godown or Industrial Premises?
If a **factory godown or industrial premises is used for business or rented for business purposes**, then **it is *not* considered an asset under wealth tax**.
#### So, your case:
> **"Factory godown/premises given on rent"**
✅ **Not taxable under Wealth Tax**, **provided**:
* The godown/premises is used for **commercial/business activities**, either by you or the tenant.
* It is **not residential** in nature.
---
### 🧾 Relevant Provision (Old Law Reference):
Under **Section 2(ea)** of the Wealth Tax Act:
> "Any property held as stock-in-trade, or used for commercial purposes is excluded from the definition of ‘assets’."
---
### ⚠️ Final Note:
Wealth tax has been **abolished from Assessment Year 2016-17 onwards** (i.e., from FY 2015-16). It has been replaced with a surcharge on the super-rich.
So unless you're referring to **prior years**, this no longer applies for current filings.
---
Let me know if you’re asking this for an old case or need help with capital gains or income tax treatment now!
Let’s break it down simply:
---
### ✅ What is “Asset” under Wealth Tax?
Under the **Wealth Tax Act, 1957** (now abolished from FY 2015-16 onwards), **certain specified assets** were taxable if the **net wealth exceeded ₹30 lakhs** (as per the old law).
---
### 🚫 Not All Assets Were Taxable — Only “Specified Assets”
**Examples of taxable (chargeable) assets:**
1. Residential houses (except one house exempted)
2. Urban land
3. Motor cars
4. Jewellery
5. Yachts, boats, aircraft (other than for commercial use)
6. Cash in hand beyond ₹50,000 (for individuals)
---
### 🏭 What About Factory Godown or Industrial Premises?
If a **factory godown or industrial premises is used for business or rented for business purposes**, then **it is *not* considered an asset under wealth tax**.
#### So, your case:
> **"Factory godown/premises given on rent"**
✅ **Not taxable under Wealth Tax**, **provided**:
* The godown/premises is used for **commercial/business activities**, either by you or the tenant.
* It is **not residential** in nature.
---
### 🧾 Relevant Provision (Old Law Reference):
Under **Section 2(ea)** of the Wealth Tax Act:
> "Any property held as stock-in-trade, or used for commercial purposes is excluded from the definition of ‘assets’."
---
### ⚠️ Final Note:
Wealth tax has been **abolished from Assessment Year 2016-17 onwards** (i.e., from FY 2015-16). It has been replaced with a surcharge on the super-rich.
So unless you're referring to **prior years**, this no longer applies for current filings.
---
Let me know if you’re asking this for an old case or need help with capital gains or income tax treatment now!
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