Hyderabad

GST will not affect 2BHK constructions

GST will not affect 2BHK constructions

Hyderabad: GST affected very little on the construction of 2BHK for which contractors need not worry. This was highlighted by Special Principal Secretary of the Dept. of Housing, Ms. Chitra Ramachandran, IAS. She told that a monitoring system would be organized at district level to monitor the construction work.

A meeting of the district nodal officers was held to review the implementation of GST. It was held at the office of the Federation of Telangana and AP Chamber of Commerce and Industry.

It was attended by Ms. Chitra Ramachandra, Mr. Anil Kumar, Commissioner of Sales Tax, Mr. Sai Kishore, Joint Commissioner of Sales Tax, Mr. Satya Murthy, Chief Engineer of Housing Corporation.

Joint Commissioner of Sales Tax, Mr. Sai Kishore while highlighting various features of GST made an attempt to remove the apprehensions of the traders. He told that VAT is being collected on the construction of 2BHK. It is therefore not going to affect when GST is introduced. He further told that 17% expenditure is incurred on the purchase of cement, steel and other construction materials. The remaining 30% expenditure is incurred on labour charges. He also told that Rs. 5.04 lakh is the cost of construction in rural areas. At the time when VAT was being collected, the expenditure was Rs. 4.80 lakh and Rs. 24000 was being collected as VAT.

–Siasat News