Computation
of Net Wealth: Net
Wealth represents the amount by which the total value of all assets including
deemed assets but excluding exempt assets, belonging to the assessee on the
valuation date exceeds the value of all debts owed by the assessee on the
valuation date incurred in relation to the taxable assets.
Procedure for computation of net
wealth is as follows:
|
Computation of Net wealth of the assessee
|
Rupees
|
|
Assets
owned by assessee on valuation date including deemed assets and excluding
exempt assets
Less
Deductible debts owed by assessee on the valuation date.
|
X
Y
|
|
Net
Wealth
Less: 15
lacs
|
X – Y
Z
|
|
Wealth
Chargeable to tax
|
X – Y - Z
|