Business Bureau :
IFYOU want to ownahouse and avail subsidy upto Rs 2.35 lakh under PMAY, you have less than 45 days to go as the part of credit linked subsidy scheme is getting over by by March 31, 2020. Sogearupandfinalize thedream home immediately. The Credit Linked Subsidy Scheme (CLSS) was introduced in June 2015 under the Pradhan Mantri Awas Yojana (PMAY) for home loans to customers from theeconomicallyweaker section (EWS), low income group (LIG) and was extended to the middle income groups (MIGs) from January 2017. While people in EWS and LIG categories (annual income up to 6 Rs lakh) can avail CLSS benefits until March 31, 2022, those falling under MIG I (annual income inbetweenRs 6 lakh and Rs 12 lakh) and MIG II (annual income in between Rs 12 lakhs andRs18lakh) categories will not beabletoavailitsbenefitsbeyond March 31, 2020. The subsidy for MIG I&MIG II category was available earlier up to March 31, 2019. It was extendedonpopulardemandby theindustryandprospectivebuyers by one year i.e. up to March 31, 2020. Theindustry and theprospective buyer who fall under MIG I andMIGIIcategorieswouldhope the Government extends the deadline to get PMAY-CLSS benefits further by a few more years.
Hope for the further extension which may or may not be considered by the Government. Other than above subsidy, an additionalIncomeTaxdeduction benefit under Section 80EEA of up to Rs 1.5 lakh on home loan interestpaymentwasannounced by the Government in the previous annual Budget. This 80EEA benefit is over and above tax deduction of up to Rs 2lakhunderSection24BoninterestpaymentanduptoRs1.5lakh under Section 80C on principal paymentforfirst-timehomebuyerswhosepropertydoesn’texceed the value of Rs 45 lakh as per the Stamp Duty.
This is a significant benefit because the interest component isveryhighduringtheinitialyears of a home loan. So to getthe benefit of subsidy under PMAY, MIG I&MIG II prospectivehomebuyersmustact immediatelyotherwisetheeffective costoftheapartmentwillget expensive by Rs 2.30 to Rs 2.35 lakh from April 2020 onwards. People should take advantage of theschemeasitwillendonMarch 31, informs a press release by CREDAI, Nagpur Metro.