Revised GST Rates Bring Fresh Hope for Real Estate and Construction Sector: AREIDA President

Guwahati, Sept 8: The recent revision of Goods and Services Tax (GST) rates has sparked optimism in the real estate and construction sector. The Assam Real Estate and Infrastructure Developers’ Association (AREIDA) has welcomed the reforms, calling them a positive step towards simplifying the tax structure and boosting affordability in housing.

On September 4, following the GST Council meeting, Union Finance Minister Nirmala Sitharaman announced the revised GST rates and reforms aimed at streamlining the existing structure. AREIDA President P.K. Sharma hailed the move to reduce the number of GST slabs from four to two, calling it a significant step towards simplification.

Speaking on the development, Sharma said, “This reform will benefit all sections of society and is expected to ease inflationary pressures. The reduction of GST on cement from 28% to 18% is a remarkable move. It will directly impact the real estate and construction sector, potentially reducing overall construction costs by nearly 5%. Ultimately, this will benefit home buyers and enhance housing affordability.”

He further added that the changes represent “a positive stride towards a more transparent and efficient taxation system, which could improve compliance and revenue collection. This is a game-changing step that will stimulate demand across sectors while providing much-needed support to builders, suppliers, and developers alike.”

Reiterating AREIDA’s commitment, Sharma noted, “We are determined to work closely with the government to make GST on housing more rational and ensure that quality homes become more affordable for all.”