NE BUSINESS BUREAU
AHMEDABAD, FEB 3
Union Finance Minister Nirmala Sitharaman presented the Budget 2021 on Monday. The Budget emphasized the health sector and seeks to give a push to infrastructure development in the post-pandemic era. Significantly, Budget 2021 has not announced any change in income tax slabs for individuals.
This is how one of the experts has reacted to Nirmala Sitharaman’s Budget 2021:
Speaking about the Budget 2021, NK Patel – President, Institute of Town Planners India (ITPI) said, “Given its tight finances and high fiscal deficit because of the pandemic, the government has done well to come out with a balanced budget, with enhanced spending on healthcare, agriculture, education, infrastructure, etc. There are several welcome measures for the real estate and infra sectors.
“The safe harbour limit for the primary sale of residential units has been hiked from 10% to 20%, which will incentivise buyers and developers. To facilitate the launch of more affordable housing schemes, the government has extended the tax holiday on such projects till March 2022 and has also extended the additional interest deduction of Rs. 1.50 lakh on purchase of affordable homes.
“Similarly, tax exemption for notified affordable rental housing projects has been allowed. The Development Financial Institution will ensure funds availability for infra projects, which will boost investments in this critical area. By allowing debt financing in INVITs and REITs by foreign investors, the FM has further eased access to finance for these instruments,” Patel added.
