Arun Jaitley presented Budget 2016 on Monday, but some of the highlights have got buried in the explosion of reactions on tax being imposed on withdrawal of EPF. But as Union Minister Venkaiah Naidu explains there is a lot for the public in Budget 2016 that has escaped its attention, housing and construction being one. Here are the top 5 points to note:
Highlighting the implications of the budget proposals for the urban sector, Naidu said various tax concessions and reliefs announced would go a long way in meeting the long standing demand of the construction sector for infrastructure sector status. “Other announcements like modernisation and digitization of land records, facilitating ease of doing business and further liberalization of FDI conditions would also go a long way in channeling the much desired investments into housing sector including affordable housing,” Naidu said.
1. The housing and construction sector got various tax reliefs in the 2016-17 budget despite not being accorded the infrastructure status, he said. The sector got benefits of infrastructure status even without being formally declared so, the Urban Development and Housing and Poverty Alleviation Minister said here.
2. Referring to social media campaign by consumers and potential home buyers seeking early passage of Real Estate Bill, Naidu urged all concerned to enable early passage of this Bill which aims at promoting confidence among consumers and credibility of real estate sector.
3. Naidu said Budget 2016 proposed several measures to enable flow of investments for affordable housing and construction in the country.
4. Naidu said despite focus of the Budget 2016 on agriculture and rural development, urban sector got its due as against the increase of 15 per cent in the total central plan outlay for 2016-17 over revised estimates for the current fiscal, the plan outlay for the urban sector has been increased by 55 per cent. The share of urban sector in the total central plan outlay for the current fiscal and the next fiscal, however, remained at about 5 per cent.
5. Maintaining that he would have liked more allocations for the urban sector, Naidu said the Budget for next fiscal has acknowledged the importance of the urban sector as is evident in the allocations. He said the required resources will be made available as per the commitments given by the Centre under flagship schemes like Prime Minister’s Awas Yojana (Urban), Atal Mission, Smart City Mission and Swachh Bharat Mission.