A good news for home buyers, GST cut

The Union government led by Narendra Modi has made major slash in GST. Though many said that it is being done at the time of elections, many say it would win them the heart of middle class voters.

Tax on affordable housing - an area of 60 square meters and below in urban metropolitan areas having value upto Rs 45 lakh - is down from 8 per cent to 1 per cent. For anything above that, the tax is down from 12 per cent to 5 per cent, the Finance Ministry said. For non-urban areas, from 60 square meters, the cap has been raised to 90 square meters. The new rules will apply from 1 April.The State government is working on a vision Housing for All by 2022 of the government that ensures the country should be free from all slums.

Remember in the Union Interim Budget, the Central government announced a change in national sales tax rules that would exempt about 20 lakh small businesses from tax payment. Income tax for those earning up to Rs 5 lakh too was done away with.

GST,Housing Tax,Central government