GST council meeting has begun and a big announcement on the real estate sector is possible to be announced
GST council’s 33rd meeting is likely to have big announcements for the real estate sector.
(Business Desk: New Delhi: Feb 20, 2019): The 33rd meeting of the Goods and Services Tax Council (GST) Council has started. In the meeting led by Finance Minister Arun Jaitley, there is a possibility of a big announcement for the real estate sector. In fact, a Group of Ministers (GOM) was formed to review the GST slab on houses.
This committee has recommended a 3{c27255e51a72bad2a6cb30fe58330144c0418fbd7e8dd39587873a85d63c5975} tax on affordable category homes. Currently, it is in the 8{c27255e51a72bad2a6cb30fe58330144c0418fbd7e8dd39587873a85d63c5975} slab. In addition, the council can also cut the tax slab of cement in the meeting. At present, the cement is in the 28 percent slab, which is expected to come up to 18 percent slab.
According to sources, the decision can also be taken on changing the definition of affordable housing in the meeting. Its purpose could be to bring the poorest of poor people under 2 percent tax rates. If you talk about it now, affordable houses have been defined in the carpet area of 50 sq. Meters. According to news agency IANS, it can be increased to 80 square meters. Developers and potential home buyers will benefit from this.
33rd Meeting of the GST Council started today under the Chairmanship of the Union Minister of Finance & Corporate Affairs, Shri @arunjaitley via video conferencing pic.twitter.com/8Oj1Xo2YmB- Ministry of Finance (@FinMinIndia) February 20, 2019.
Readers will recall that the 32nd meeting of GST Council was held on January 10. This meeting was announced for the relief of small businessmen. In the meeting, the limit of the composite scheme of small businessmen has been increased from Rs.1 crore to Rs 1.5 crore. In this meeting, the Group of Ministers (GOM) for the Real Estate Sector was formed.
India’s Real Estate Sector has witnessed a slight slump in recent years. The real estate industry has been requesting the Finance Ministry to re-look at the GST slabs. This news will come as a piece of welcome news to small and big real estate companies in India.