NEW DELHI (INDIA): India’s Finance Minister Arun Jaitley is all set to present the Union Budget for 2017-18 on 1st February.This would be his third full-year Budget. So all eyeballs on his briefcase, what Jaitley is going to present for India.
Lets go through Magicbricks ’s pre-budget expectations from Jaitley.
We feel the Budget announcement should be to achieve four goals:
· Remonetise real estate to enhance consumer sentiment
· Make finance available to industry to complete stalled projects
· Make facilitating policy changes to give clarity to the proposed policies like GST
· Create equitable tax structure to leave more money in hands of consumer to buy real estate
To achieve these , the budget needs to:
· Stimulate demand, through tax incentives to consumers so that they have more money in their wallet to buy real estate
· Enhance tax breaks on property purchase by increasing the tax exemptions on housing loan principal and interest deduction
· Offer financial protection from project delays by allowing Section 80C and 24 deduction on under construction properties
· Rationalise the 30-35% taxation on the industry
· Formulate specific valuation rules to allow deduction of land value from transaction value and clarification on whether developer or contractor gets credit under GST regime
Jayashree Kurup, Head of Content & Advisory- Magicbricks.com