Goods and Services Tax (GST)

What is the impact of Goods and Services Tax (GST) on real estate in India?

The Goods and Services Tax (GST) has replaced several indirect taxes such as service tax, VAT, and central excise duty. The GST rate for under-construction properties is 5% for regular properties and 1% for affordable housing. However, the GST does not apply to completed properties or resale properties. The implementation of GST has made the real estate sector more transparent and reduced the tax burden for buyers.