Raise Wealth Tax Exemption to 1 Crore Wealth tax falls under Section 3 of the Wealth-Tax Act. According to this act, all individuals and people belonging to HUF (Hindu Undivided Family) have to pay one percent tax on their net wealth/income each year on the income which exceeds 15 lakh. This limit was fixed in the year 1992. When adjusted for inflation, the tax bracket has been revised to 15 to 30 lakh. As wealth tax has been significantly increased, it is being proposed to introduce a higher tax exemption in wealth too. The new wealth tax exemption limit is proposed around 1 crore from 30 lakh. If peolpe get to cash in on this tax exemption limit, more and more HNIs (High Net-worth Individuals), including NRIs, will start investing on a larger scale in India. This will provide our country with the much needed funds.