REALTY ARENA LOOKS FOR A REVIVAL SHOT
Anuj Puri
Mail Today
This has been a year of extremes for the Indian real estate market. Over the past four to five months, demand for property sank to its lowest point in many years, and a revival was definitely called for. There is much to be said for the fact that we have seen a significant resurgence in demand immediately after the recently announced election results.
The sector is definitely banking on the benefits of a stable and forward looking government to champion its cause.
The Budget should also provide clarity on the Software Technology Park of India ( STPI) guidelines. IT developers need to know whether this facility will continue to be available to them, or it will be modified.
The sector is reeling under unreasonable taxation burdens. Give us a Budget that frees the rental income yielded by commercial premises from service tax, and also extends the tax holiday under Section 80- IA (4) (iii) for developers who build, operate and maintain industrial parks so that the compromised IT industry gets a shot in the arm. The tax exemption for developers who construct flats of smaller size should also be reintroduced.