New Delhi : GST council on Sunday announced a decision that can encourage reality sector. It reduced the GST on housing property under construction. According to the decision of the GST council, the GST rate for affordable housing for Middle Income Grade people will be 1 per cent, earlier this rate was 8 per cent. the GST rate for non affordable housing that is purchased by the above MiddleIncome Grade people is 5 per cent, earlier this rate was 12 per cent.
Housing projects of upto 60 Sq.mt. of carpet area in Metro Cities and upto 90 Sq.mt. of carpet area in non metro cities are classified as affordable housing under middle income grade.
GST council announced that these rates will be implemented from April 1.