Budget | 'Counter gloom and doom home-buying scenario'

Budget 2021 | Govt needs to counter gloom and doom home-buying scenario, says Jaquar Group Director

Relief for taxpayers/reduced income tax rates will nurture the spur of demand in the housing sector this year, he writes

Representative Image. Credit: iStock Photo

By Rajesh Mehra,

‘Revival Push’ is the key expectation from the Union Budget 2021. From an affordable housing perspective, corrective measures which ease out the liquidity challenges and improve home buying sentiments will be critical.

Covid-19 has enforced changes such as -- working from home, online education for the students, push towards touch-free consumer products -- resulting in buyers looking for improved home buying options. This gives a much-needed fillip to counter the gloom and doom home-buying scenario especially in Tier 1 and 2 markets.

UNION BUDGET 2021 SPECIAL COVERAGE ONLY ON DH

Relief for taxpayers/reduced income tax rates will nurture the spur of demand in the housing sector this year. It will be beneficial to have a limited waiver on GST to aid the pricing burden on property owners.

Additionally, the GST for sanitary ware and LED/smart lighting is marked at 18% and 12% respectively -- a reduction will be conducive to improved demand and help with the adoption of better consumer habits to gratify the Government’s Vocal for Local, Swasth India and affordable housing for all by 2022 goals.

From a manufacturing perspective, enhanced infrastructure spends, clearing of pending industry dies and a continued thrust on MGNREGA will generate employment opportunities.  

From an MNC perspective like ours, an extension on the Infrastructure for Exports Scheme and interest rate equalisation for all exporters will ensure more of Indian products find their way in international markets. 

(The author is Director & Promoter at Jaquar Group)