New Delhi: Giving big relief to home buyers the 33rd reconvened Goods and Services Tax(GST) Council decided on Sunday to substantially cut tax rate of affordable housing to 1% from the previous 8%. The council also decided to lower under-construction housing to 5% from 12%.
The definition of affordable is changed to 90 square meters and 60 square meters for non-metro and metro cities respectively.
Earlier, non-BJP ruled states like Kerala, Delhi, Chhattisgarh, Punjab and West Bengal were opposing the reduction of GST rate and increase in the threshold for registration for paying GST.
