18% GST on Residential Rent: Industry Reacts Cautiously
Aditya Kushwaha, CEO, Axis Ecorp, points out that the decision of the Goods and Services Tax (GST) Council, to eliminate the exemption previously granted for rental residential units to companies, will alter the dynamics of rental real estate in India.
The new rules provide home buyers with greater certainty regarding their tax liability than in the prior regime. With improved transparency arising from the GST effect on India’s real estate market, buyers would have more faith in the taxation of property transactions in India.
