Shares of real estate companies traded higher in intra-day session on Tuesday after a state ministerial panel suggested levy of standard GST rate of 18% or 28% all across the industry. The final call shall however be taken in tomorrow's GST Council meet.
The panel comprising eight members is to take decision on the tax rate on the basis of the lottery system. In the current scenario, a state organized lottery is charged a GST of 12% whereas a a state-authorised lottery attracts a GST of 28%.
Now, the decision to keep the GST rate at 18% or 28% is left for the Council to decide. This was amongst the major agendas for the GST Council.
In intra-day trade on Tuesday, real estate companies including Prestige Estates (up 6%), Sunteck Realty (+2.4%), Unitech (up 4.55%), DLF also advanced 2.6%.