GST Council's RERA Exemption: A Major Step Towards Real Estate Transparency
The GST Council's decision to exempt RERA collections has far-reaching implications for the real estate industry, regulatory bodies, and homebuyers.
Gst CouncilReraReal EstateComplianceAffordabilityReal EstateJul 16, 2024
Information
RERA, a regulatory body established under the Real Estate (Regulation and Development) Act, 2016, aims to promote transparency, accountability, and fairness in the real estate sector. The Act seeks to protect the interests of homebuyers and ensure that developers comply with the necessary regulations.
The exemption of RERA collections from GST is a major step towards promoting transparency and compliance in the real estate sector. With this exemption, the RERA authorities will no longer be required to pay GST on the collections made from developers, which will help reduce the financial burden on these authorities.
For homebuyers, this exemption is a welcome move as it will reduce the cost of buying a property. Developers will no longer be able to pass on the GST liability to homebuyers, which will make properties more affordable.
White & Brief - Advocates & Solicitors is a leading law firm that provides expert legal services to clients in the real estate sector. Prateek Bansal, a partner at the firm, is a seasoned lawyer with expertise in real estate laws and regulations.
The RBETA Initiatives is a non-profit organization that works towards promoting transparency and accountability in the real estate sector.
This move is expected to benefit the real estate sector as a whole, and will help promote transparency, accountability, and fairness in the industry. With the exemption of RERA collections from GST, the real estate sector is set to become more compliant, transparent, and affordable for homebuyers.
Frequently Asked Questions
What is RERA?
RERA is a regulatory body established under the Real Estate (Regulation and Development) Act, 2016, which aims to promote transparency, accountability, and fairness in the real estate sector.
Why was RERA exempted from GST?
RERA was exempted from GST because it is a regulatory body, rather than a commercial entity, and the collections made by RERA are not commercial in nature.
How will this exemption benefit homebuyers?
This exemption will reduce the cost of buying a property, as developers will no longer be able to pass on the GST liability to homebuyers, making properties more affordable.
What are the implications of this exemption for the real estate sector?
This exemption will promote transparency, accountability, and fairness in the real estate sector, and will help reduce the financial burden on RERA authorities.
Who will benefit from this exemption?
The RERA authorities, developers, and homebuyers will all benefit from this exemption, as it will promote transparency, accountability, and fairness in the real estate sector.
Related News Articles
Godrej Interio Launches 'Reserve Plus' and 'Gain Pro' for Enhanced Office Efficiency
Godrej Interio, a leading home and office furniture business, introduces the 'Reserve Plus' and 'Gain Pro' storage solutions to optimize workspace and enhance productivity.
Kalyan Station Derailment Throws a Wrench in Mumbai Local Train Services, Operations Normalized Post-Midnight
A derailment at Kalyan Station on a busy evening caused significant disruptions to Mumbai’s local train services. Here’s a detailed look at what happened and how the railway authorities managed to restore operations.
MHADA Proposes to Eliminate 11% Housing Quota for Politicians and Government Workers
In a significant move, the Maharashtra Housing and Area Development Authority (MHADA) has proposed to remove the 11% housing quota allocated to politicians and government employees. This decision is aimed at making more housing units available to the gene
Real Estate in 2025: A Year of Transformation and Growth
Industry leaders and analysts share their insights on the residential market trends and outlook for 2025.
Man Infra to Announce Second Interim Dividend in Q3: Here’s What You Need to Know
Man Infraconstruction, a leading construction engineering and real estate development firm based in Mumbai, is set to announce its second interim dividend in its Q3 financial results. The dividend announcement is expected to bring significant interest fro
A Comprehensive Look at the Real Estate (Regulation and Development) Act, 2016 (RERA)
In today's world, every person purchases immovable property from Real Estate Developers, whether for residential or commercial purposes. The Real Estate (Regulation and Development) Act, 2016 (RERA) was introduced to regulate the real estate sector and pr