Budget 2020 Reactions of CREDAI-Pune Metro Members

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1 Feb 2020, Pune-

Suhas Merchant, President, CREDAI-Pune Metro-  

The budget was disappointing as there is no stimulus for growth and substantial provisions for the Real Estate and even for luxury or affordable housing. There are some small provisions, which we’ll have to study. The MSME’s with turnover of Rs 1 crore were required to be audited but now level for audit has been increased to Rs 5 crore. However, small companies may benefit in the procedure, but taxes have not been reduced so it won’t make much of a difference. Provision of infrastructure cost will show benefits after few years. Extension of period for approval of unaffordable houses under 80IB by one year will benefit to add more affordable housing stock.

Shrikant Paranjpe, Former President, CREDAI-Pune Metro

The reduction of taxes for the potential middle-class house-buyers increases the consumption in the market. However, we’ll have to wait and see the impact of the changed tax slabs for the tax payers. Also, instead of the Dividend Distribution Tax (DDT), dividend will be taxed at the hands of investor individuals, which will not make much difference as their net savings may not increase much.

Vishal Gokhale, Chairman and MD, Gokhale Construction

We had lots of expectations for the housing sector from the budget. We were hoping for more positive developments. However, the provisions in the infrastructure sector and changes in the tax slab for middle class individuals is a welcome decision taken by the government.

Sachin Kulkarni, MD, Vastushodh Projects

The primary analysis of the budget leaves us in a confused state of mind. Though the budget provisions appear to be farmer and middle class friendly, is it really going to leave them with higher disposable income to spend?  For Real Estate sector- one more lost opportunity, in fact some tax provisions announced may negatively impact the market movement.