National Real Estate Development Council (Naredco) Chairman Rajeev Talwar on Tuesday said that a flat Goods and Services Tax (GST) rate of six percent with input tax credit for housing is a win-win situation for everybody.
Flat Goods and Services Tax (GST) rate of six percent with input tax credit for housing is a win-win situation for everybody.
The effective rate for housing projects of up to 60 sq. metre is presently eight percent. Naredco proposed a GST of six percent for up to 60 sq. metre flats in projects that are commissioned in collaboration with any of the housing schemes proposed by the government.
“We have made a request that this rate should be extended to all affordable housing projects of up to 60 sq. metres, whether in the private sector or whether in any partnership with any government agency,” Talwar added.
Earlier today, Finance Ministry officials chaired a meeting with real estate developers over GST to be levied on properties owned by private developers.
The meeting followed the 23rd GST Council meeting that was held earlier this month in Guwahati, where in it was decided that real estate would be brought under the ambit of the taxation scheme.
Naredo Chairman, Rajiv Talwar; Vice Chairman, Pravin Garg; President, Niranjan Hiranandani; and Revenue Secretary, Hasmukh Adhia, among others were a part of the meeting.