Builder will pass benefit of tax holiday to consumers

Union Finance Minister has clarified that profits from housing projects, qualified under Section 80IB(10) of the Income Tax Act and approved by a local authority between April 01, 2007 and March 31, 2008, will be tax free, if they are completed before March 31, 2012. The project need to meet following criteria or conditions to get the benefit of tax holiday.

  • The project should be having at lease one acre land
  • The project should be within 25 km from local municipal limits
  • The built-up area of each residential unit should be less than 1,000 sq.ft. in metros and 1,500 sq.ft. in other places.

If you are planning to buy a property or apartment, it is likely that your property price will be affordable or much lesser price. If you are planning to buy a property from such projects, builders will pass benefit of tax holiday to your property price.

Reference:

Make full use of the home loan subsidy

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s