New Delhi: On Wednesday, The GST regime will be a game changer for real estate sector and the 12 per cent GST on construction projects meant for sale to buyers will boost the sector, National Real Estate Development Council (NAREDCO) said .
“The GST will be a distinct advantage for industry, including for real estate sector,, since it will subsume more than 16 noteworthy duties and tolls into a solitary solidified expense,” NAREDCO President Parveen Jain said.
Moreover, he stated, the brought together duty administration will stop the undesirable routine with regards to twofold tax assessment, which hurt land and different segments, given their falling impact which expanded costs for end-clients.
“NAREDCO additionally trusts that the GST Council will likewise deliver the issues identified with moderate lodging, which was absolved from administration charge in the past assessment administration,” Jain said.
NAREDCO Chairman Rajeev Talwar told the media here on Wednesday, “The vigorously saddled land division respects a solitary stable 12 for every penny GST rate, comprehensive of the estimation of land and with full information impose credits.”
“NAREDCO is of the view that the genuine expense frequency under GST will coordinate or be lower than the current various circuitous assessments on the division. The GST rate for work contracts, which will likewise be counterbalanced by info credits, will accommodate a consistent and disentangled duty strategy,” he said.
Indian real estate sector is estimated to account for about 5 per cent of India’s gross domestic product (GDP) and is considered the second-largest employer in the country, according to an industry report.