The evidence is inconclusive - some (Norway, Switzerland) are economically strong societies, while others (Spain, India) are economic basket cases.

Side effect of introducing a wealth tax is an increase in corruption as all of a sudden subjective evaluations of illiquid property can lead to substantial increases, so there are scenarios where it's cheaper to pay off the assessor in private than be subjected to an increase. Litigation to question the assessed value is a fairly minor occurrence nowadays, but with universal wealth tax owners of illiquid property are likely to sue more often, as there's more property to assess (and hence make mistakes).

India and Italy are known for high corruption levels, and you could argue that placing low-paid government officials into high-value positions is almost corruption by design.