Wait...
  1. Home >
  2. Export Import News >
  3. GST News >
  4. Revealed: Even after GST Council meet, here is why real estate developers are unhappy >
  5. Revealed: Even after GST Council meet, here is why real estate developers are unhappy

Online Export Import Data Search

Complete Training Video : Click Here

Revealed: Even after GST Council meet, here is why real estate developers are unhappy.


Date: 12-01-2019
Subject: Revealed: Even after GST Council meet, here is why real estate developers are unhappy
GST Council's decision for real estate sector: The Indian real estate developers have shown their displeasure over the GST Council's decision to keep the GST rates applicable to the real estate unchanged. They were of the view that reduction in GST rates would have helped to lower of prices, some sigh of relief to the developers having a huge number of unsold inventories into the residential realty segment helping the sluggish realty market to see some sign of revival in near future.

It bears remembering that the modest growth numbers we witnessed last year were significantly led by sales of ready-to-move properties – not only because they are exempt from GST, but because incessant project delays have taught buyers to be wary of under-construction projects.

Showing displeasure over the GST Council's decision Anuj Puri, Chairman – ANAROCK Property Consultants told in a written statement, "After much anticipation, the GST Council has failed to deliver a final verdict on GST applicable on real estate — but how much would it really have mattered?"

He said that GST on under-construction properties was a severe hurdle in 2018, and the possibility of a possible GST rate cut in late December literally froze property buying decisions for many.

Regardless of how much or how little such a rate cut will actually do to revive the market, all stakeholders – from industry players to buyers – hoped for it with bated breath.

"The biggest paradox in Indian real estate is that numbers suggest a massive burden of unsold housing stock in the midst of a chronic shortage of housing. As long as prices don’t reduce significantly, the housing shortage will only widen regardless of tax sops," Puri of ANROCK added.

Standing in sync with Anuj Puri of ANROCK; Rakesh Yadav, CMD at Antriksh India told Zee Business online, "While the major focus of anticipation for a GST rate change was on the residential sector, commercial real estate cannot be ignored. As of now, GST on commercial real estate continues to be levied at 18 percent on the overall rental value without the builder getting any input credit benefits," adding, "In 2018, there was a perceptible increase in site visits and buyers actively scouting for options at the best deal.

Negotiations were getting increasingly interesting and meticulous as the parties debated out the costs and discounts to arrive at mutually acceptable figures. A final decision on the GST rate and clarity or the abolition of the ITC could have triggered demand, but would it really have helped close transactions?

Thus, we may need to look beyond minimal tax sops and consider whether they actually make homes affordable and catalyse sales. Perhaps, instead of constantly looking for tax sops, we need to question the very fundamentals of pricing in real estate."

Source: zeebiz.com

Get Sample Now

Which service(s) are you interested in?
 Export Data
 Import Data
 Both
 Buyers
 Suppliers
 Both
OR
 Exim Help
+


What is New?

Date: 23-06-2019
Notification No. 25/2019-Customs (ADD)
Seeks to amend notification No. 23/2013-Customs(ADD), dated the 10th October, 2013 to extend the anti-dumping duty on ductile iron pipes originating in, or exported from China PR till 9th October, 2019

Date: 21-06-2019
Notification No. 25 /2019 – Central Tax
Seeks to extend the date from which the facility of blocking and unblocking on e-way bill facility as per the provision of Rule 138E of CGST Rules, 2017 shall be brought into force to 21.08.2019.

Date: 21-06-2019
TRADE NOTICE NO. 19/2019-2020
Response to various representations against Allocation of Quota for Pulses/Peas.

Date: 20-06-2019
Notification No.45/2019 - Customs (N.T.)
Exchange Rates Notification No.45/2019-Custom(NT) dated 20.06.2019

Date: 19-06-2019
Circular No. 17/2019-Customs
Applicability of Additional Customs duty on goods re-imported under Customs Notification No. 94/96-Customs dated 16.12.1996 exported earlier for exhibition purpose/ consignment basis

Date: 19-06-2019
Notification No. 44/2019-Customs (N.T.)
Manufacture and other operations in Warehouse Regulations, 2019

Date: 18-06-2019
Notification No. 24/2019-Customs (ADD)
Seeks to levy anti dumping duty on jute sacking cloth under tariff heading 5310 originating in or exported from Bangladesh to prevent the circumvention of levy of anti dumping duty levied on jute sacking bags vide notification No. 1/2017-Customs(ADD) dated 5th January, 2017.

Date: 18-06-2019
Notification No. 42/ 2019-Customs (N.T.)
Customs (Supplementary Notice) Regulations, 2019

Date: 18-06-2019
Notification No. 43/2019-Customs(N.T.)
Proper officer for Customs (Supplementary Notice) Regulations, 2019

Date: 17-06-2019
Circular No. 16/2019-Customs
–IGST refunds- mechanism to verify the IGST payments for goods exported out of India in certain cases- reg.



Exim Guru Copyright © 1999-2019 Exim Guru. All Rights Reserved.
The information presented on the site is believed to be accurate. However, InfodriveIndia takes no legal responsibilities for the validity of the information.
Please read our Terms of Use and Privacy Policy before you use this Export Import Data Directory.

EximGuru.com

C/o Infodrive India
E-2, 3rd Floor, Kalkaji Main Road
New Delhi - 110019, India
Phone : 011 - 40703001