Growth in realty demand: CII
NEW DELHI: Industry sources are demanding more tax breaks for home buyers in the coming central budget. The Federation of Indian Industries (CII) has reminded Finance Minister Nirmala Sitharaman to take special steps in the government budget to increase the supply of funds to builders and to increase demand. At present there is an income ‘exemption’ of up to Rs 2 lakh per annum on interest paid on home loans. It has been asked to increase it to Rs 5 lakh.
The PMAY limit should be increased
Also, the Prime Minister Awas Yojana (PMAY) Scheme, which is meant for middle class homes, has called for a more relaxed approach. Under the scheme, Middle Income Group (MIC-1) has been asked to increase the annual income limit for buying houses from Rs 12 lakhs to Rs 18 lakhs and the annual income limit for MIC-2 house buyers from Rs 18 lakhs to Rs 25 lakhs. . “With these measures more people will come forward to buy houses under this scheme. The demand is gaining momentum, ”the CII said.
Fundamental designation
The real estate sector has always wanted to provide ‘infrastructure industry status’. The federal government wants the government to approve the appeal in the next budget. At least the integrated township wants to be recognized as an industry. This gives developers the opportunity to borrow low-interest loans from banks.
GDPK back
The CII has suggested that the government should have a clear plan to increase housing demand if the annual GDP growth rate is at least six to seven percent. It reminded us that if demand increases in this sector, it will have a positive impact on many other sectors. CII Director General Chandrajit Banerjee said employment opportunities in both organized and unorganized sectors in the country will increase.
