NITN | @notintownlive | 01 Jan 2020, 04:23 am
Kolkata: Laxman Jaiswal, Chairman and Managing Director of Ascon India Infrastructure Limited, a real estate giant of Eastern India, recently outlined the measures that should be adopted to come out of the mess that the real estate sector is in present times, in the last quarter of the financial year and he felt that the measures were urgently needed for an immediate redress.
He said a few doses of vaccination to boost the ailing sector must be immediately made in form of Stamp Duty and Registration at the rate of 8% and GST at the rate of 5% should be merged immediately, lnput Credit should be allowed immediately, Real Circle Rate should be imposed after survey of locality by registered survey agency, Transaction to allow minimum 10% plus minus on circle rate and Super Built up area to be abolished in Registration process by state Government which is also contradictory to the provisions of HIRA, the West Bengal state Government Act governing the real estate sector.
He felt that several not stated factors like profession tax, fringe benefits tax of staff, freebies to sanctioning authorities on many occasions are also impediments and these are not even taken into account and then developers are forced to purchase the construction materials from local people which are most often highly-priced inferior materials.
Over and above NBFC and banks are also not prepared to help the developers, he said.
Even in Denmark, banks are providing loans on the negative interest rate to encourage the Real Estate Business as there is so many ancillary industry involved in the said business, he added.
But the general perception in the minds of the public is that of the builders fleecing the customers, said Jaiswal.
He felt that there are several reasons for the slump with a negative growth in the real estate sector. According to National Housing Bank data, property prices in Mumbai and Bengaluru increased annually by just about 7.5% and 5.75% respectively between June 2013 and September 20I7.
In Delhi, prices actually fell by -0.70% annually during the same period. But beyond the data, we hear numerous stories of investors in distress with their money stuck in delayed projects.
The entire realty ecosystem is struggling to cope with this slowdown. Demand in real estate started declining from 2013. By 2016, it had hit an all-time low.
He concluded by stating that both the Central and State Governments are equally responsible for the decline of the real estate industry primarily thanks to the faulty tax structure governing the real Estate industry.
- Rotary Club of Calcutta Metro City partners with British Deputy High Commission to celebrate leadership in disability cricket
- HireMee launches career navigation assessment for school students
- Garuda Shopping Festival: Zubeen Garg mesmerises Bangalore
- Alive India in Concert Season 10 presents Zubeen Garg and Kunal Ganjawala
- Plastonix -Vee Technologies to develop a plastic waste recycling system in Karnataka
- Eighty students attend interactive session titled 'Connecting Hearts and Minds' in Mumbai-based institution
- Srijit Mukherji, Swastika Mukherjee launch author Soma Bose's second book 'I’ve Had Enough of You'
- PE firm TA Associates' strategic investment in Vee Healthtek
- Alive India and ITC Aashirvaad Svasti Milk releases Chhath Puja anthem
- Kolkata: Rotary hosts World Polio Day with students in Gyan Manch
Indian airline IndiGo has announced the launch of daily direct flights connecting Bengaluru, Karnataka with Ayodhya, Uttar Pradesh, effective from December 31, 2024.
Jazeera Airways, Kuwait’s leading low-cost carrier, is offering 50% off on fares to all destinations across its network from July 28 to 31.
New Delhi : Air India Express, a subsidiary of Air India and a part of the Tata group, has launched its "Time to Travel" sale on the airline’s website, airindiaexpress.com, the Air India Express mobile app and other major booking channels.