Govt nod for one lakh affordable houses in Maharashtra.

There is more cheer for those looking to buy affordable houses near the city. The Maharashtra government, recently, gave its in-principle approval to construct over 1 lakh dwelling units in the State under the Pradhan Mantri Awas Yojna (PMAY). The State’s decision comes close on the heels of the announcements in the Union Budget to exempt affordable houses (measuring up to 60 sq metres) from service tax. The no service tax rule applies to affordable houses coming up under any scheme of the Central or State government, including the PPP Schemes.

On Wednesday, the State Empowered Committee on construction of homes for the economically weaker section cleared as many as 28 proposals of the Maharashtra Housing Area Development Authority (MHADA), the nodal agency for implementing the PMAY. These proposals were to build homes for first-time buyers with a monthly household income of not more than Rs 25,000, and those who are willing to buy units of not more than 30 sq metres or 322 sq feet. A subsidy of Rs 2.5 lakh for each EWS buyer is jointly shared by the Centre and the State. The empowered committee of the State is headed by the Chief Secretary of Maharashtra.

THE HINDU