Goods and Services Tax impact: restructured rates and input tax credit changes reshaped pricing and segmental effects in real estate.
The study examines GST's economic and regulatory effects on real estate, highlighting consolidation of indirect taxes and a modified rate-and-Input Tax Credit regime. It finds concessional GST treatment and exemptions supported affordable housing, reduced certain construction material costs, and simplified tax incidence versus the prior VAT/service-tax framework, while limiting ITC altered developer pass-through and produced mixed outcomes for non-affordable and commercial segments. Survey and statistical analysis indicate overall positive perceptions of new GST rates, with heterogeneity across segments and a significant gender difference in customer-satisfaction scores. (AI Summary)