WEALTH TAX ON CARS-

This query is : Resolved

harshit (Querist)
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01 April 2008 OUR COMPANY PURCHASED CARS IN THE YEAR 2002- TO 2008 TOTAL VALUE WAS 32 LAKHS
ALL CAR LOANS ARE CLARED UPTO 15LAKHS, REMAINING 17 LAKHS LOANS TAKEN DURING THE F.Y. 2007-08.

WEALTH TAX ON VEHICLE OUTSTANDING BALANCE AFTER DEPRECIATION OR LOAN OUTSTANDING BALANCE WHICH IS TAKEN?

OLD CARS AFTER WDV (DEPRECIATION) AMOUNT TAKEN FOR WEALTH TAX ? PLEAE CLARIFY SIR.

CA Praveen Chopra

CA Praveen Chopra (Expert)
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01 April 2008 Dear harshit, wdv of motor car as per income tax act 1961 shall be taken as taxable wealth and from that loans outstanding will be deducted.If the remaining balance exceeds 15 lakhs wealth tax apply otherwise not.
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