NBR Developers
Citiescities-arrow
  • more-arrow-down
    • Please wait while loading other cities loading...

Maharashtra buyers may get a VAT blow, Check your agreement if you have already paid it, otherwise get ready for a financial hit

  • No. 1 Property Portal in India
  • Over 25 Lakhs Apartments and More
  • Post Free Residential Properties in India
  • Find Property in Bangalore
  • Buy/Sell/Rent Apartments in India
  • Search Latest Residential Property in India
  • Get Free Alerts on Property Requirements
  • Find Agents/Buyers for your Property
mobile-ad
Sunita Nair is worried that her family’s finances may go through another stress, if they have to pay Rs 4 lakh as value-added tax (VAT) by August 31. And her fears may come true. According to a sales tax notification last week, buyers of under-construction property in Maharashtra, between 2006 and 2010, should gear up to pay five per cent VAT on their flat. That’s not all. There could be additional burden due to interest and penalty charges which could increase the liability by another two per cent. Sunita and her sister bought flats in 2009 in Chembur. But, her sister will escape the tax burden as she bought a ready-for-possession flat. Sunita, on the other hand, had bought an under-construction property and has to pay the VAT now. Over 500,000 property buyers are expected to take the hit in Mumbai alone.
This norm is applicable for shops and bungalows also. VAT will not be applicable in case of resale. According to Pujit Aggarwal, managing director & chief executive officer of Orbit Corporation, even if the construction of a flat had started before June 2006 but it was delivered anytime between 2006 and 2010, the customer will have to pay VAT. If the first sale of flat is cancelled then the subsequent sale of the same flat by the developer is taxable. The tax paid on first sale can be adjusted towards subsequent sale. This levy will be applicable to redeveloped plots also, says Amit Geonka, National Director - Investments at Knight Frank. As a property buyer, the first thing you should do is check the property agreement. In many cases, the builder has already charged the buyer. Some builders have even submitted the money with the Court. Also, if you are someone who gave your land to the builder for construction, you will not be liable to pay this tax. In addition, the sales department has pegged the incremental burden at three per cent because the developer will get benefits under several heads such as labour and land costs. So check the actual numbers before paying.
Source: Business Standard

Property Listings

Apartments, Flats and Property for Sale in Mumbai

Sep 21, 2016
2 BHK APARTMENT FOR SALE AT KHARGHAR – Navi Mumbai. # Location : Kharghar , Navi Mumbai. # Sector : 20 # Area : 1055 sq ft # Cost :..
Sep 14, 2016
For Sale – Spacious 1 BHK Flats in Prime Location of Borivali East Project : Triveni, a project by Atul Corporates. Structure comprises of..
Sep 08, 2016
3 BHK FLAT FOR SALE AT KHARGHAR – Navi Mumbai. # Location : Kharghar, Navi Mumbai. # Area : 1375 sq ft # Cost : 1,25,00,000 # Parking..
Aug 28, 2016
3 BHK FLAT FOR SALE AT KHARGHAR – Navi Mumbai. # Location : Kharghar, Navi Mumbai. # Area : 1375 sq ft # Cost : 1,25,00,000 #..
Aug 27, 2016
For Sale – Luxurious 3 & 4 BHK Flats in Prominent Location of Matunga East Mody Kunj in Matunga East, near Kings Circle is a..
Aug 17, 2016
# Location : Kharghar , Navi Mumbai. # Area : 1000 sq ft # Cost : 8500000 # Parking : 1 Covered # Bed : 2 Bedroom # Balcony : 2 balcony #..
Jul 25, 2016
Primo is one of the residential developments of Ceear Realty, located in Mumbai. The project is designed by Architect Hafeez Contractor. It offers..
Apr 06, 2016
This 1 bhk flat is a specious flat with all modern amenities like gym, Swimming pool, Children play area etc.This flat has a west facing and a..
spacer

Apartments, Flats and Property for Rent in Mumbai

Sep 02, 2016
2 BHK SPACIOUS FLAT FOR RENT AT KHARGHAR – NAVI MUMBAI. # Location : Kharghar. # Sector : 18, (near to central park, golf course and ..
Aug 12, 2016
# Location : Kharghar , sector - 3 # Sector : 3 # Area : 635 sq ft # Rent : 10000 # Deposit : 40,000 # Parking : open # Balcony : balcony #..
Aug 11, 2016
# Location : Kharghar , sector - 3 # Sector : 3 # Area : 835 sq ft # Rent : 13000 # Deposit : 50,000 # Parking : open # Balcony : balcony #..
Jun 23, 2016
1 BHK flat for rent at kharghar Location : sector - 12 Area - 559.00 Rent - 15000 Station, mall, colleges at reachable..
Jun 21, 2016
Amazing flat at kharghar for sale..
Jun 04, 2016
A spacious and unfurnished 1 bhk apartment for rental in mayuresh residency situated opp. Asian paints, Lbs marg, Bhandup west. This flat is..
Dec 09, 2015
Fully Furnished Condo in Royal Palms, Goregaon East. Area : 344 sq.ft., Rent : Rs.11000/-, Deposit : Rs.30000/-, Flat is on 3rd floor out of 7..
Oct 15, 2015
Unfurnished Property Description Elegantly unfurnished 1 bhk apartment in luxurious and excellent apartment makes a definitive statement in..
spacer
spacer
spacer
spacer
spacer