Tenants of commercial spaces will pay 18% GST on electricity charges bundled with rent. However, actual cost recovery by real estate owners acting as agents is exempt. Experts debate the implications.
Amendments to GST regulations now make renting residential properties to GST-registered individuals taxable, effective July 18, 2022, impacting reverse charge mechanisms.
Mr. Lalit Jain from CREDAI advocates for reforms to boost housing construction, urging the Central Government to address delays, land costs, and taxation issues.
Apartment buyers face additional burden with service tax on under-construction residential projects, developers demand buyers to pay.
India's 2024 budget lacks major direct real estate tax changes, but personal income tax cuts may indirectly boost housing demand. The awaited REIT clarification and tax holiday for developers didn't materialize.