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Section40
The Finance Act, 1985

Amendment of Schedule l

In force Act 32 of 1985 As on 19 Oct 2026

Act 32 of 1985 Ministry Finance

Section 40 of the Finance Act, 1985 deals with amendment of Schedule l. Amendment of Schedule l. 40. In the Wealth-tax Act, for Part I of Schedule I, the following Part shall be substituted with effect from the 1st day of April, 1986, namely:— "PART I (1) In the caste of every individual or Hindu undivided family, not being a Hindu undivided family to which item (2), of

Amendment of Schedule l.

40. In the Wealth-tax Act, for Part I of Schedule I, the following Part

shall be substituted with effect from the 1st day of April, 1986, namely:—

"PART I

(1) In the caste of every individual or Hindu undivided family, not being a Hindu undivided family to which item (2), of this Part applies,—

Rate of tax

(a) where the net wealth does not exceed Rs. 2,50,000Nil;
(b) where the net wealth exceeds Rs. 2,50,000 but does not exceed Rs. 10,00,0001/2 per cent. of the amount by which the net wealth exceeds Rs. 2,50,000;
(c) where the net wealth exceeds Rs. 10,00,000 but does not exceed Rs. 20,00,000Rs. 3.750 plus 1 per cent. of the amount by which the net wealth exceeds Rs. 10,00,000;
(d) where the net wealth exceeds Rs. 20,00,000Rs. 13,750 plus 2 per cent. of the amount by which the net wealth ex ceeds Rs. 20,00,000.

(2) In the case of every Hindu undivided family which has at least one member whose net wealth assessable for the assessment year exceeds Rs. 2,50,000—

Rate of tax

(a) where the net wealth does not exceed Rs. 1,50,000Nil;
(b) where the net wealth exceeds Rs. 1,50,000 but - does not exceed Rs. 5,00,0001 per cent. of the amount by which the net wealth exceeds Rs. 1,50,000:
(c) where the net wealth exceeds Rs. 5,00,000 but does not exceed Rs. 10,00,000Rs. 3,500 plus 2 per cent. of the amount by which the net wealth exceeds Rs. 5,00,000;
(d) where the net wealth exceeds Rs. 10,00,000Rs. 13,500 plus 3 per cent. of the amount by which the net wealth exceeds Rs. 10,00,000.",

[Finance Act, 1985]

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Section 40, The Finance Act, 1985 (Act 32 of 1985).

Questions about Section 40

What does Section 40 of the Finance Act deal with?

Section 40 of the Finance Act is headed "Amendment of Schedule l". Amendment of Schedule l. 40. In the Wealth-tax Act, for Part I of Schedule I, the following Part shall be substituted with effect from the 1st day of April, 1986, namely:— "PART I (1) In the caste of every individual or Hindu undivided family, not being a Hindu undivided family to which item (2), of

How do I find court cases under Section 40 of the Finance Act?

In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Finance Act 1985 40, section 40 Finance Act 1985, section 40 of the Finance Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.

When was the Finance Act enacted?

Finance Act was enacted in 1985 as Act 32 of 1985. India Code records no commencement date for it. It is in force as at the date shown on this page.

Other sections of this Act

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Harvested from the Income Tax Department's own portal at incometaxindia.gov.in, which publishes the Finance Acts section by section. India Code carries none of them: its Central community holds the Acts that stand as general law, and a Finance Act is an amending and rate-fixing instrument. This page is not a substitute for legal advice.