NAREDCO Seeks GST Relief for Construction, Demands 18% Rate on Building Materials
G Hari Babu, President of the National Real Estate Development Council (NAREDCO), has called on the government to reduce the Goods and Services Tax (GST) on building materials. He advocates for a uniform rate of 18 percent across the board.
Currently, various building materials attract different GST slabs, leading to complexities and increased costs for developers. This, in turn, impacts the affordability of homes for buyers.
Mr. Babu highlighted the cascading effect of high GST rates on the overall cost of construction. This directly impacts the final price of houses and apartments, making them less accessible to a significant portion of the population.
The NAREDCO President’s appeal comes at a time when the real estate sector is striving for growth and stability. A reduction in GST on building materials would provide a much-needed boost, potentially driving increased activity and job creation.
The government’s response to this crucial demand will have significant ramifications for the housing sector and its contribution to India’s economic progress. Affordable housing remains a key priority, and this move could be a crucial step towards achieving that goal.
