-Deepak Kapoor, Director, Gulshan Homz
“The government’s decision to increase the income tax slab from 2.5 lakh to 5 lakh is an encouraging step for the home buyers thus increasing their purchasing power to buy homes. The step would further improve the market’s sentiment”
-Prateek Mittal, Executive Director, Sushma Group
The interim budget of 2019, will boost the end user as well as the investor. Increasing income tax exemption limit to Rs 5 lakh from Rs 2.50 lakhs is going to help the middle class people to realise their dream to own their house and is a supportive move by the government towards increasing their disposable income. Secondly, no tax on notional rent on the second self-occupied house is another impressive step taken the government to motivate the investors. It will give them the opportunity to buy a second house as an additional asset.
Extension of exemption of income tax on notional rent from unsold houses to the next 2 years is going to bring relief to the developers.
Overall this interim budget has been uplifting for the buyers and to some extent for the developers too. But, the long-standing demand of granting Real estate sector the industry status has not been met this time also.
– Ashok Gupta, CMD, Ajnara India Group
“The step of increasing income tax exemption limit to Rs 5 lakh from Rs 2.5 lakhs will help people to fulfill their dream of having their own home. By making a buyer efficient enough to buy their home by maximizing their purchasing power will also boost the demand for affordable housing segment in the real estate sector.”
– Amit Modi, Director, ABA Corp, Vice President, CREDAI Western UP
We believe that benefits under Sec 80(i)BA being extended for one more year, for all housing projects approved till end of 2019-2020, and benefit of rollover of capital tax gains to be increased from investment in one residential house to that in two residential houses, for a taxpayer having capital gains up to Rs 2 crore; which can be exercised once in a lifetime are the biggest take away from this year’s budget, in addition for existing home buyers income tax relief on Notional Rent from unsold houses which has now been extended to 2 years, along with increase in TDS threshold on rental income raised from Rs 1,80,000 to Rs 2,40,000. In general we would like to congratulate the Finance Minister for a wholesome balanced budget, we believe that the move to increase income tax slab to Rs 5,00,000 is a very positive move. This is a helpful step towards increasing disposable income for a first time buyer planning to purchase a real estate asset. We also look forward to the outcome of Group of Ministers examining how prospective house buyers can benefit under GST, which we believe should not only benefit them on paper but practically as well.
At the same time we would have preferred a Single Window clearance for all Real Estate Projects just like the ones extended for Movie Industry, and increase in exemption on interest on home loan to at least Rs 5,00,000 per annum.
– Kamal Taneja, MD, TDI Infracorp
“The interim budget 2019 has been upto our expectations. The government’s decision on giving an industry status to the real estate sector is still awaited. Also, the provision of Single Window Clearance in real estate would have eased the process project completion. “
– Vikas Bhasin, CMD, Saya Group
Interim Budget 2019 has been welcoming enough for the individuals. Where on one hand, the income tax slab has increased from 2.5 lakh to 5 lakh thus enabling end users to invest in residential and commercial segment. In the same way, the decision of paying no tax on notional rent on the 2nd self occupied house will be helpful for the investors thus giving them an option to invest on another property.
– Ashma Javed, Real Estate Expert
The noteworthy take away of Budget 2019 is the benefit of rollover of capital tax gains that are to be increased from investment in one residential house to that in two residential houses, for a taxpayer having capital gains up to Rs 2 crore. The move will boost the confidence of home buyers investing in the luxury segment. Also, no tax on notional rent on the second self-occupied house will give an opportunity to investors to buy a second house as an additional asset.
– Dhiraj Jain, Director, Mahagun Group
“Extension of exemption of income tax on notional rent for unsold houses to the next 2 years is a relieving step for the developers. The step will in a way help the developer to focus on rest of his ongoing projects”
– Gaurav Gupta, Director, SG Estates and President, CREDAI Ghaziabad
The interim budget 2019 has given a major boost to the real estate sector for capital gains reinvestment. The budget presented has been for the individuals thus nurturing their confidence and improving the market sentiment. The increment in the income tax slab and no tax on notional rent on the 2nd self occupied home is beneficial for an end user and investor respectively.
– Sagar Saxena, Project Head, Spectrum Metro
Increasing income tax exemption limit to Rs 5 lakh from Rs 2.50 lakhs is going to help the middle class people to realise their dream to own their house and also will give them the power to invest in commercial segment. Increasing the tax slab is a supportive move by the government towards increasing the disposable income of an individual.
– Rajesh Goyal, MD, RG Group
“Though, the decision to extend the period of exemption from levy of tax on notional rent, on unsold inventories, from one year to two years will give impetus to the real estate sector. But, the major step for real estate sector to get an industry status is still pending. The budget 2019 presented no doubt caters to the individuals, but with real estate sector getting a n industry status would have brought more hopes of growth in the market.”
– Kushagr Ansal, President CREDAI Haryana, Director, Ansal Housing
“The move by government to extend the tenure of registry of affordable housing by 1 year is another step to accelerate the affordable housing segment, thus boosting the real estate sector.”