Budget 2022: Additional supply side reforms with higher incentives for home buyers can boost realty’s performance

Union Budget 2022-23: Notwithstanding the various industry-specific amendments to the insolvency resolution laws, the implementation of the bankruptcy process for real estate companies remains a challenge In the recent past, schemes such as the Pradhan Mantri Awas Yojana have played a pivotal role in improving homeownership. Extend tax holidays for affordable housing beyond March ‘22 Incentives of extra deduction of home loan interest on affordable houses and tax holidays for the affordable housing segment were extended till March-2022. Targets on actual monetisation of land bank needed Post the last Budget announcements, multiple SPVs have been set up by the public sector undertakings to unlock the land bank potential; the forthcoming Budget can provide an additional thrust and lay down targets on actual monetisation of this land bank, helping to improve the supply of land parcels for real estate development in the country. Take steps for faster adoption, implementation of resolution plans Notwithstanding the various industry-specific amendments to the insolvency resolution laws, the implementation of the bankruptcy process for real estate companies remains a challenge.