The Nifty Realty index gained ~1% on Wednesday as investors are waiting for the outcome of GST Council Meeting due today. Shares of Unitech, Brigade, Godrej Properties, and Prestige Estate were leading the index’s gain.
As per media reports, the GST Council will meet on Wednesday to discuss various suggestions related to realty sector.
Apparently, the council is expected to consider the suggestion of a Group of Ministers (GoM) headed by Gujarat Deputy Chief Minister Nitin Patel to reduce tax on affordable housing category to 3% from 8%. The GoM has already submitted the report for the same proposal.
What’s more, the GST Council may also contemplate lowering cement tax from 28% to 18%. Market participants are also expecting the council to review the tax rate on lottery favored uniform GST rate. Lastly, it may also decide on GST for under-construction residential properties at 5%, down from 12% currently.
Shares of Unitech and Brigade, which gained 4% and 2%, respectively, were leading the index’s gain. Shares of Godrej Properties, Prestige Estates Projects, and DLF also gained 1% each.
Meanwhile, equity benchmark indices were trading in the green with the Sensex gaining 257 points at 35,605 levels. Nifty also climbed 80 points at 10,684 points.
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