#RealtyNewsRoundup: Holding Period Of House Starts From Date Of Allotment, Rules ITAT
Description
The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has ruled that date of allotment of a house starts from the day when the owners takes possession for taxing purposes. This would help property owners who sell their properties and pay long-term capital gains on the sale proceeds.
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Due to weak consumer sentiments, India's residential real estate sector outlook remains negative, says a report by rating agency Icra. Factors responsible for the negative outlook, says the report, are demand-supply mismatches, money crunch, challenging macro-economic environment and low affordability levels for buyers.
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The Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) has sent letters to the zonal heads of 42 banks to be more vigilant of the escrow accounts of the promoters and developers. The authority has asked banks for strict compliance of the provisions of Section-4 (2) (I) (D) of the Real Estate (Regulation & Development) Act, 2016. The section states that builders deposit 70 per cent of amounts collected for projects in a separate account.
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The Indore Development Authority is set to come up with two residential colonies. The proposed schemes, Scheme-172 and Scheme-176, will be developed along the super corridor, to be developed on about 500 acre of land in two years.
Source: Media reports