What is Net Worth Certificate
The net worth of an individual or an Enterprise is the total assets of the individual or enterprise less total liabilities. A net worth certificate is a document that is compiled and certified, usually by a chartered accountant, taking into consideration all the assets and liabilities of the individual or enterprise. A net worth certificate shows the financial health of an individual or enterprise. The net worth certificate is an indicator of financial wealth. A person, while applying for a visa or a bank loan application, might need a net worth certificate.
Who provides a net worth certificate?
- A Chartered Accountant (CA) can provide you with a net worth certificate.
- In order to get a net worth, the assessee is required to submit details of all documents, records, assets, and liabilities
- After determining the total net worth calculation from the information provided, a chartered accountant will prepare a net worth certificate and certify it.
Documents required for preparing a net worth certificate?
- Details of all the Fixed assets
- Details of all the securities and Investments
- Details of all the Intangible assets
- Bank balance and Cash in hand
- Investments in shares/mutual funds
- Capital involved in Business
Taxcellent helps you in providing a net worth Certificate
FAQs For Net Worth Certificates in India
A Net Worth Certificate is a financial document that shows your total assets minus liabilities at a specific date, certified by a qualified professional (usually a Chartered Accountant). It reflects the financial standing of an individual or entity.
Only a Practicing Chartered Accountant (CA) registered with the Institute of Chartered Accountants of India (ICAI) can legally issue a valid net worth certificate. They must sign the certificate and include a UDIN (Unique Document Identification Number).
Other professionals like Company Secretaries, Cost Accountants, or Registered Valuers cannot issue legally valid Net Worth Certificates for financial purposes.
Net Worth Certificates are commonly required for:
• Visa applications (to prove financial stability)
• Bank loans and credit facilities
• Tender submissions and contracts
• DEMAT account / trading account requirements
• SEBI/RBI compliance for certain registrations
• Legal matters (like divorce or inheritance issues)
• Accredited investor proofs (though SEBI has updated rules reducing some requirements)
To prepare a Net Worth Certificate, you typically need:
Personal & ID Proofs
• PAN card, Aadhaar card, passport, or other government ID
• Address proof (utility bill, bank statement, etc.)
Financial Documents
• Balance sheet (for businesses)
• Bank statements (usually last 12 months)
• Investment records (shares, mutual funds)
• Property documents and valuations
• Loan/ liability proofs (agreements and outstanding amounts)
• Income Tax returns (helps verify income history)
Net Worth = Total Assets − Total Liabilities
Where assets include cash, bank balances, investments, property, vehicles, and business assets; liabilities include loans, credit card dues, mortgages, etc.
Yes — the certificate must be:
• On the CA’s official letterhead
• Include a breakdown of assets & liabilities
• Show the net worth figure
• Be signed and stamped by the CA with a UDIN
• Addressed to the appropriate authority if required (e.g., embassy, bank)
There’s no universal statutory “validity period,” but most institutions (banks, embassies, govt bodies) accept certificates issued within 3–6 months of submission.
• Time: Typically 24–72 hours for basic processing; some services offer same-day options.
• Cost: Fees generally starts from ₹2,500 to ₹5,000+, depending on purpose and complexity.
You cannot self-issue a valid certificate. It must be verified and signed by a CA. Many legal tech and CA-network platforms allow online submission of documents and delivery of the final certificate electronically.
If not properly certified by a CA, or missing key details (like UDIN), institutions such as embassies or banks may reject it, potentially causing visa denial or loan refusal.
For specific cases like SEBI’s accredited investor rules, certification may no longer be mandatory — though net worth data may still be needed. Always check current regulations.
