Great news for home buyers !!
GST rates on flats reduced significantly…….
Now pay only 5 % GST on regular housing projects from earlier 12 % and just 1 % on affordable housing category projects from earlier 8 %
The GST Council today announced a cut in the goods and services tax charged on sales of residential properties under construction.
The Goods and Services Tax Council, comprising state and federal finance ministers, announced that the new rate will be 5 percent, down from the current 12 percent, on all housing projects which were not in the affordable housing category.
The council also decided to lower the tax rate on affordable housing projects to 1 percent from 8 percent.
In metro cities, houses with a carpet area up to 60 sq mtr will be classified under affordable housing.In non-metro cities, houses with a carpet area of up to 90 sq mtr will be classified under affordable housing. The new rates will be implemented from April 1.
