Affordable homes in Mumbai up to 500 sq ft would be not paying tax.
This waiver will be in effect from this year itself 1 Jan 2019.The chief minister of Maharashtra Mr. Devendra Fadnavis in the state cabinet meeting on this Friday gave the approval to the proposal.
This proposal will give benefits of tax cuts up to 17 to 18 lakh Affordable homes in Mumbai up to 500 sq ft .
This was actually a very smart move because elections are too near and the government wants to make happy to the people are who are in the real estate sector.
Earlier in last month, GST rates for real estate sector have been brought down up to 5 percent gst on real estate from 12 percent. And for an affordable house, GST was only 1 percent.
If you see numbers it is really big almost 85,00,00,000 sq ft would be not paying tax to the government.
This proposal was actually placed by BMC in front of state government for the approval in July 2017.
But what about residential properties which are above 500 sq ft?
Here you will get the answer to the above question
The 2nd proposal which state cabinet approved is about giving the concession of tax to flats which are between 501 sq ft to 700 sq ft the tax concession will be of 60 percent.
This will be definitely beneficial for the people who want to invest in properties . This tax game is all about the square foot, you will pay according to the square foot now, people who are having a good budget to Affordable homes in Mumbai up to 500 sq ft will also go for flats which are under 500 sq ft there would be no tax on it.
No tax for affordable homes in Mumbai up to 500 sq ft
These tax cut would help a lot to grow the real estate sector there are the list of projects for Affordable homes in Mumbai upto 500 sq ft like
Proejcts name : DHARTI PRESSIDIO ,Vardhman Grandeur , J P Jeevan Heights , Sumukh Hills and many more…..
There was also more proposal which was approved like registered cooperative societies will be facing a tax cut in the development of properties on semi-government land private land.
concessions in taxes and fees to promote self-redevelopment of registered societies on government, semi-government, and private land.
Societies who have self-development scheme will have total control over the construction and representative of such societies will get the benefit of Higher floor index and completion of projects should be within 3 years.
For growing these kinds for projects the government will bring the policy soon which help these projects to grow in a very rapid way and will provide loans at low-interest rates.
Want Know the Sad truth about GST or fact about GST – Click here
Residential property buyers might be getting some relief by Govt. – Click here
5 percent GST on real estate on houses under construction. – Click here