an endeavor to provide a much needed revamp to the crippling real estate
sector, the GST Council in its 34th meeting on Tuesday approved a transition
plan for the execution of new tax structure for housing units.
line with, the GST council has determined that builders can pick
between paying 12percent for non-affordable houses with Input tax credit
benefits or 5percent without the tax rebates for under-construction houses. Similarly, in case of affordable housing
projects, builders can opt between 8 percent with tax rebates or 1 percent
without it. The revised rates, without
Input tax credit benefits, will apply for all projects that begin construction
only after April 01, 2019.
On Wednesday in stock market, Nifty Realty gained 2.43% at 265.30 as GST
Council granted approval to a transition plan for the implementation of new tax
structure for housing units.
of Godrej Properties rose 8.35%, Indiabulls Real Estate went up 4.08%, Prestige
Estate Projects advanced 3.85%, DLF rose 2.94%, Sun Tech rose 1.67%, Brigade
Enterprise spiked 1.44% and Oberoi Realty went up 0.75%, were lead gainers of
the index. However, shares of Sobha,
Mahindra Lifespace Developers and Phoenix Mills dropped maximum by 0.73%.
benchmark indices ended on a flat note on Wednesday with Sensex rising 23
points at 38,387, while Nifty50 was down 11 points at 11,521 on Wednesday.