By Gaurav Karnik
As the pandemic engulfed the Indian economy in the early part of 2020, there was a severe impact on the housing sector. Since the lifting of the lockdown, there have been few green shoots in the residential segment. These have been facilitated by cuts in stamp duty rates by states, such as Maharashtra, and interest rates for housing being at historic lows. Keeping the government’s stated objective of Housing for All by 2022, a sub-segment that has and will need attention in the forthcoming budget is affordable housing. In this connection, it is suggested that the last date for availing the Pradhan Mantri Awas Yojana (PMAY) Credit-Linked Subsidy Scheme (CLSS) both for the MIG-I and MIG-II categories be extended to March 31, 2022, as is the case with the scheme for LIG/ EWS category.
The period for availing the additional deduction of up to Rs 1.5 lakh for interest paid on loans borrowed for the purchase of an affordable house valued up to Rs 45 lakh, should be extended to March 31, 2022, and, at the same