‘Stamp duty revision will create buoyancy in market’
Updated:
Updated:
Realty firms expect the benefit to bolster the affordable homes segment
Share Article
Realty firms expect the benefit to bolster the affordable homes segment
Karnataka budget brings a slight respite to the worst business casualty of the pandemic: the real estate sector.
It is clear that the State government wants to infuse some buoyancy in the sector as it has a fixed revenue collection target of ₹12,655 crore for the Stamps and Registration Department for fiscal 2021-22.
On the stamps and registration front, the State proposes to reduce stamp duty from 5% to 3% on first registration of apartments valued between ₹35 lakh and ₹45 lakh to promote affordable housing, a proposal to attract new home buyers to the market.
Tax rationalisation, liquidity enhancement top real estate sector s Budget wishlist
While measures announced by the government in 2020 to kickstart the economy have been in right direction, the real estate sector is hoping for upcoming Budget to give a shot on the arm for the beleaguering sector
Rukmini Rao | January 25, 2021 | Updated 15:06 IST
The real estate sector contributes nearly 8 per cent to the economy
Through the course of 2020, the Centre announced several measures such as moratorium on equated monthly instalments, restructuring of loans of real estate companies at project level, setting up of Swamih fund - rescue capital for affordable and mid-income housing projects - along with capital infusion to the National Housing board to help Indian real estate sector . The Reserve Bank of India also announced massive repo rate cut of 140 basis points over the course of time, leading to lowest home loan interest rates in over 15 years.
Updated Jan 25, 2021 | 19:38 IST
The sector also hopes that the budget will introduce GST reforms by bringing back the Input Tax Credit. This will help in bringing down the cost of construction thus reducing the property prices. Tax sops to liquidity enhancement: What the real estate industry expects from Budget 2021
New Delhi: Hit hard by the Covid pandemic and the subsequent lockdowns, the nation’s real estate sector is betting big on this year’s budget for the revival of the sector. Besides contributing majorly to the GDP, it is also one of the biggest employers in the country. The sector has been instrumental in the economic growth and stability of the nation.
Property developers seek GST cut for joint development deals on TDR
January 18, 2021
×
Currently, GST is paid by the developer on the value of undivided share of land pertaining to unsold area of the project as on the date of receipt of occupancy certificate
Developers are seeking relaxation on GST for joint development transactions on Transfer of Development Rights (TDR). They say, the number of projects either residential or commercial has reduced significantly.
For residential projects, currently, GST is being paid by the developer on the value of undivided share of land (UDS) pertaining to unsold area of the project as on the date of receipt of occupancy certificate.