The budget announcement has been affirmative by opening investment market for second homes. Tax rebate for income up to Rs 6.5 lakh under 80C will accelerate investments in the housing sector. With RERA and Benami Transaction Act, bringing in tremendous transparency in the sector, there has been a surge in housing demand from the NRI community.
The government’s proposal to extend the period of exemption from levy of tax on notional rent, on unsold inventories, from one year to two years is a good rational move. The lowering of GST on properties is a positive move provided that ITC is continued thereby allowing a real reduction in prices to consumer.