Goods and Services Tax

Panel back Lower GST on Under construction flats

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“The home buyers will get their due benefits under GST with the decision of GoM to recommend tax rate at 5% without ITC for under construction property and 3% without ITC for affordable housing. It is a welcome move as in most cases the buyers always felt that the builders were not passing on the ITC benefits to consumers under 12% levy and the ultimate burden was to be borne by the consumers. This will really change the sentiments and may bring some boost in the real estate sector,”.

Suresh Nandlal Rohira
Partner, Grant Thornton India LLP

This article appeared in Times of India on 09th February, 2019