Abhishek Jain, COO - Satellite Developers Private Limited.
Credit: Satellite Developers Private Limited
Finance Minister Nirmala Sitharaman will present the 8th consecutive Union Budget on February 1, 2025. Reports suggest that the government is mulling over cutting income tax for those who are earning up to Rs 15 lakh a year in February's budget, in turn providing relief to the middle class.
The real estate sector has pinned high hopes on the Union Budget FY 2025-26 documents and is keeping its fingers crossed regarding their expectations from the government's most important financial document of the year.
Here's what Abhishek Jain, COO, Satellite Developers Private Limited (SDPL)-- has to say--
The Union Budget 2025-26 presents an excellent opportunity to catalyse growth in the real estate sector, which is a key contributor to India's economic progress and employment generation. We have high expectations from this year's budget, as the government continues to emphasize housing and infrastructure development.
Enhancing the tax deduction limit under Section 80C and Section 24(b) for home loan principal and interest repayment can significantly boost affordability and demand in the residential sector. This step is crucial to enable middle-class homebuyers to make their dream of owning a home a reality.
As urbanisation accelerates, the need for affordable rental housing is more pronounced. The introduction of tax benefits for individuals and corporates investing in rental housing can support the government’s Rental Housing Scheme and promote organized housing options.
The announcement of funds for mega infrastructure projects such as metro expansions, high-speed rail corridors, and urban transport systems can enhance connectivity and unlock new real estate growth corridors. This will directly benefit peripheral and emerging micro-markets, attracting more investment.
To attract more institutional investments, we urge the government to introduce further tax benefits and incentives for Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs). This will provide a strong capital flow into commercial and infrastructure projects.
The real estate sector plays a pivotal role in achieving the vision of a $5 trillion economy, and we hope the Union Budget 2025-26 will reflect a balanced and forward-looking approach that addresses key challenges and accelerates sectoral growth.
Union Budget 2025 | Nirmala Sitharaman, who continues to be Finance Minister, will present her record 8th Union Budget this time. While inflation has burnt a hole in the pockets of 'aam janata', reports suggest there might be a tax relief for those making up to Rs 15 lakh per year. Track the latest coverage, live news, in-depth opinions, and analysis only on Deccan Herald. Also follow us on WhatsApp, LinkedIn, X, Facebook, YouTube, and Instagram.