Realty sector hopeful of tax cuts from Budget
The industry looking for subsidies and incentives to encourage adoption of sustainable practices
image for illustrative purpose
BUDGET EXPECTATIONS:
- Reduced GST rates and investment-linked deductions
- Easier access to affordable credit to facilitate infrastructure upgrades
- Incentives for young travellers and students to explore India
Mumbai: The real estate industry is hopeful of announcement of tax cuts from the Union Budget which will be presented on the floor of parliament by the Union Finance Minister Nirmala Sitharaman on July 23.
Talking to Bizz Buzz, Pranav Dangi, Founder & CEO, The Hosteller, says, “As an Indian hostel chain owner, I am hopeful that the upcoming Union Budget will provide much-needed support and relief to the hospitality sector.”
Key expectations from the sector, as suggested by him, include tax incentives, such as reduced GST rates and investment-linked deductions, to help the industry recover from pandemic-induced losses. Easier access to affordable credit to facilitate infrastructure upgrades, expansion, and working capital requirements are also need of the hour.
Policies that boost domestic tourism, including incentives for young travelers and students to explore India, which can significantly benefit the hostel industry. Improved connectivity through investments in transportation infrastructure, enhancing accessibility to tourist destinations.
Moreover, the industry is looking for subsidies and incentives to encourage the adoption of sustainable practices, such as renewable energy and eco-friendly operations, in the hospitality sector.
A favorable budget addressing these concerns will enable the Indian hostel industry to contribute to the country's economic growth and development.
BK Malagi, COO at Experion Developers says, “We believe the upcoming budget will take care of the primary problems plaguing the real estate sector, particularly by providing tax cuts to homeowners and increasing the amount of interest that may be deducted from mortgage payments. Accelerated approval processes and improved funding for housing projects are two examples of reforms that will increase the supply of affordable housing.” Improving infrastructure in emerging urban regions and offering incentives for sustainable development will both contribute to growth. When everything is said and done, these initiatives will not only boost the housing market but also expand the pool of potential homeowners, he added.
