According to Sanjiv Chaudhary, Partner at KPMG, "In case an asset is held by an individual's minor child, such asset shall be included in the wealth of the parent. If a minor has earned on account of any manual work done by him or any activity involving application of his skill, talent or specialized knowledge and experience it shall not be included in the wealth of the parent."

What is Not Included in Assets?

If you hold any of the assets mentioned in the previous point as stock-in-trade, you will not have to pay wealth tax for them. For example – if a developer intends to sell an apartment he holds, the apartment will not be taxed for wealth. Financial instruments like – bonds, mutual funds, stocks, deposits and even bank balance do not fall under the category of assets. Also, a property which has been rented for a minimum of 300 days in a given financial year is not a part of assets.