Boosting the Real Estate Sector under GST: Chief Minister Pramod Sawant to Head GoM
Chief Minister Pramod Sawant has been appointed convener of the Group of Ministers (GoM) to boost the real estate sector under the GST regime.
Real EstateGstPramod SawantGroup Of MinistersGoods And Services Tax CouncilReal Estate NewsJun 26, 2024
As a permanent member of the GST council, Sawant recently took charge of his seat, replacing Minister Mauvin Godinho, who had been deputed from Goa for the past six years. The GoM, headed by Sawant, consists of prominent ministers from various states, including Maharashtra Deputy Chief Minister Ajit Pawar, Bihar Deputy Chief Minister Samrat Choudhary, and Minister for Finance and Parliamentary Affairs, Uttar Pradesh Suresh Kumar Khanna, among others.
The terms of reference for the GoM include analyzing the tax rate of GST, examining issues related to the proposal for boosting the real estate sector, and suggesting ways to implement a composition scheme or any other scheme to revitalize the sector. The group will also examine various aspects of levy of GST on transfer of development rights (TDR) and development rights in a joint development agreement, and suggest a suitable model. Additionally, the GoM will examine the legality of inclusion/exclusion of land or any other ingredient in composition and suggest a valuation mechanism.
The appointment of Sawant as the convener of the GoM is a significant step towards boosting the real estate sector, which has been facing challenges under the GST regime. The sector has been seeking relief in the form of a composition scheme, which would provide a simpler tax regime and reduce the burden of compliance.
With the formation of the GoM, the real estate sector is hoping for a positive outcome, which would lead to increased growth and development in the sector. The sector is a significant contributor to the country's GDP, and any relief provided to it would have a cascading effect on the overall economy.
About Goods and Services Tax Council The Goods and Services Tax Council is a constitutional body that decides on the GST rates and laws. The council is headed by the Union Finance Minister and comprises the Finance Ministers of all states.
About Pramod Sawant Pramod Sawant is the Chief Minister of Goa and a permanent member of the GST council. He has been instrumental in promoting the real estate sector in Goa and has been working towards providing relief to the sector under the GST regime.
Frequently Asked Questions
What is the main objective of the Group of Ministers (GoM) headed by Pramod Sawant?
The main objective of the GoM is to analyze the tax rate of GST and examine issues related to the proposal for boosting the real estate sector under the GST regime.
Who are the members of the GoM headed by Pramod Sawant?
The members of the GoM include prominent ministers from various states, including Maharashtra Deputy Chief Minister Ajit Pawar, Bihar Deputy Chief Minister Samrat Choudhary, and Minister for Finance and Parliamentary Affairs, Uttar Pradesh Suresh Kumar Khanna, among others.
What is the significance of the composition scheme for the real estate sector?
The composition scheme would provide a simpler tax regime and reduce the burden of compliance for the real estate sector, leading to increased growth and development in the sector.
What is the role of the Goods and Services Tax Council in the GST regime?
The Goods and Services Tax Council is a constitutional body that decides on the GST rates and laws, and is headed by the Union Finance Minister and comprises the Finance Ministers of all states.
Why is the real estate sector significant for the country's economy?
The real estate sector is a significant contributor to the country's GDP, and any relief provided to it would have a cascading effect on the overall economy.
Related News Articles
Rustomjee Group Unveils Luxury Residential Project in Mumbai with Rs 1,300 cr GDV Potential
Rustomjee Group launches new residential project 'Rustomjee 180 Bayview' in Mumbai's Matunga West, anticipating a gross development value of Rs 1,300 crore.
Mindspace REIT Sees 9% Increase in Net Operating Income, Announces Rs 300 Crore Distribution to Unitholders
Mindspace Business Parks REIT reports 9% growth in net operating income and declares distribution of Rs 300 crore to unitholders for Q1 2024.
Revolutionizing Urban Living: 12 New Industrial Smart Cities to Decongest India's Metros
The decongestion of major metro areas could lead to a more balanced real estate market, stabilizing property prices in over-saturated urban regions while opening up new opportunities in emerging smart cities.
CIDCO's Navi Mumbai Housing Lottery: 12,400 Applications on Day One
CIDCO's housing lottery in Navi Mumbai has seen an overwhelming response on its first day with 12,400 applications. The project aims to provide affordable housing for the Low-Income Groups (LIG) and Economically Weaker Sections (EWS) across various nodes
Housing Crisis: Supply of Affordable Homes Dips 36% in Top 9 Cities
A recent report by real estate data analytics firm PropEquity highlights a significant decline in the supply of homes priced Rs 1 crore and below in the top 9 cities, with Mumbai, and Hyderabad emerging as the worst performers.
Housing.com's Parent Company, REA India, Reports 46% Revenue Growth to Rs 357 Crore in H1 FY25
Dhruv Agarwala, Group CEO of Housing.com & PropTiger, announced that Housing.com has solidified its position as India's leading real estate app, with a significant revenue growth of 46% to Rs 357 crore in the first half of the fiscal year 2025.