February 18 2016, 19.01 PM IST || Pocket News Alert
“Real estate industry is optimistic towards the upcoming budget, as it is 2nd largest contributor to the GDP and also supports almost 250 subordinating sectors like, ceramics, fittings and fixtures, electric and electrical equipments, cement, labour etc. Always having this huge potential, if given a little fillip, real estate would play an important role in propelling GDP further and would help it reach magic figure of 10% in next two-three years. Though most of the policy frameworks in real estate sector come under state government’s purview, there are still many fiscal and monetary stimuli the Union Government can award to this sector to give a boost.
First is bringing real estate into infrastructure ambit. This will ensure application of infrastructure policies to this sector as well and will directly benefit the sector in terms of availability of funds.
Secondly, government should extend home loan principal repayment exemption limit upto Rs 5 Lakh from taxable income under Section 80C/80CCC/80CCD. This is an immediate requirement which will benefit home buyers’ pockets and in turn will boost sales. We expect that this time Finance Minister will revise the various taxation policy framework for common man and industry as well.”
