Wealth Tax
Definition of 'Wealth Tax'It is a tax based on the market value of assets that are owned. These assets include, but are not limited to, cash, bank deposits, shares, fixed assets, private cars, assessed value of real property, pension plans, money funds, owner occupied housing and trusts. An ad valorem tax on real estate and an intangible tax on financial assets are both examples of a wealth tax. Although many developed countries choose to tax wealth, the United States has generally favored taxing income. |
|
Investopedia explains 'Wealth Tax'Wealth tax is imposed on the wealth possessed by individuals in a country. The tax is on a person's net worth which is assets minus liabilities. Not all countries have this type of tax; Austria, Denmark, Germany, Sweden, Spain, Finland, Iceland and Luxenberg have abolished it in recent years. The United States doesn't impose wealth tax but requires income and property taxes. |
Related Definitions
Articles Of Interest
-
Tax-Efficient Wealth Transfer
Taxpayers with large taxable estates were required to take steps to reduce them before 2011. -
Avoiding A Big Tax Bill On Real Estate Gains
Installment sales allow sellers to defer taxes on real estate profits. -
3 Simple Steps To Building Wealth
Getting richer is easier if you take it one step at a time. -
Sovereign Wealth Funds - Friend Or Foe?
SWFs increase long-term demand for financial assets and give U.S. companies better access to capital. -
Making Sense Of The Tax Code
If tax rules and regulations are Greek to you, read on to learn how to decipher them. -
How do I list the beneficiaries of my life insurance policies if I have a trust?
Because most states protect life insurance policies from creditors, most buyer questions come from the confusion created with ownership and beneficiary designations because of tax treatment. ... -
Tax Holidays For Back-To-School Shopping 2013
Find out the types of back-to-school purchases that are exempt from sales tax for each state that is holding a tax holiday. -
New Tax Rules Target The Top Tax Bracket
The American Taxpayer Relief Act brings about new tax rules for the wealthy that people such as Warren Buffett have been calling for over the last few years. -
The Financial Fallout Of The DOMA Repeal For Same-Sex Couples
The recent Supreme Court decision to repeal the Defense of Marriage Act has paved the way for same-sex couples to enjoy the same federal benefits as opposite-sex couples. -
3 Financial Tasks We Think Are Harder Than They Really Are
Use these three tips to help put your financial situation into perspective. It turns out, organizing your finances isn't nearly as hard as you thought.
Free Annual Reports