Real estate regulation: mandatory project registration and escrow protections enhance buyer safeguards under new framework.
The Real Estate Act mandates registration of projects and agents, requires promoters to deposit 70% of receipts into an escrow account for construction and land costs, compels disclosure of carpet area, sanctioned plans and stage-wise completion schedules, limits advance collections without a written registered agreement, restricts transfer of majority rights without buyer consent and authority approval, and prescribes penalties, remedies and administrative enforcement through state regulatory authorities and appellate tribunals. (AI Summary)

GST on real estate shifts taxation to under-construction properties and enables input tax credit, altering pricing and compliance.
Implementation of GST will subsume multiple central and state indirect taxes affecting real estate, enable input tax credit to reduce cascading taxation, and is expected to improve transparency and compliance. Sale of immovable property (land and completed buildings) is excluded due to stamp duty, whereas under-construction properties fall within GST. The sectoral impact depends on pending matters including state enactment of SGST, rate classification, valuation rules, abatements/exemptions, reverse charge treatment, and the interaction between stamp duty and GST on projects. (AI Summary)