Latest news with #1Finance
&w=3840&q=100)
Business Standard
4 hours ago
- Business
- Business Standard
Got crypto gains or gifts? Here's why the taxman could soon come calling
If you've made money on Bitcoin, Ethereum, or any other cryptocurrency and skipped mentioning it in your income tax return (ITR), you might be in trouble, with the Income Tax Department now using AI and advanced tech to detect such undeclared gains. 'As per Section 115BBH introduced in FY22–23, any income from the transfer of virtual digital assets (VDAs) like Bitcoin, Ethereum, or NFTs is taxed at a flat 30 per cent, with no deductions allowed except the cost of acquisition,' explains Sathvik Vishwanath, co-founder and chief executive officer, Unocoin. This includes crypto-to-INR sales, crypto-to-crypto swaps, using crypto for purchases, and even gifting. Every crypto move is taxable 'Whether you're selling, swapping coins, receiving gifts, or using crypto for shopping, every such event is a taxable transfer,' notes Purvang Mashru, senior quantitative research analyst at 1 Finance. This flat 30 per cent tax is applicable across the board: · Crypto sold for INR · Crypto exchanged for another coin · Crypto gifted or received · Crypto spent on goods/services A 1 per cent TDS under Section 194S also applies on transactions exceeding ~10,000 a year, deducted by the exchange or payer, and reported to the government. Additionally, any airdrop, staking rewards, or crypto salaries are taxed at your slab rate, adds Sonu Jain, chief risk and compliance officer, 9Point Capital. Skipping crypto in ITR? 'Risky move', say experts 'The tax department has extensive mechanisms to track undeclared crypto activity,' warns Chartered Accountant Suresh Surana. Exchanges are mandated to deduct and report TDS, and from FY26–27, must file user-level reports under Section 285BAA. 'Failing to disclose crypto gains can lead to penalties under Section 270A or prosecution under Section 276C, with jail terms up to 7 years for willful evasion,' Surana adds. Purvang Mashru warns that unexplained crypto income could even be taxed at 60 per cent under anti-evasion rules. Swapping coins? Still taxed A common myth is that crypto-to-crypto trades are tax-free. That's incorrect. 'Whether you convert Bitcoin to Ethereum or buy an NFT using crypto, it is a taxable event,' clarifies Jain. The gain is calculated as the difference between your purchase price and the value of the crypto you received. No relief, no set-offs Indian tax rules offer no mercy when it comes to crypto. 'There are no exemptions, no expense deductions, no set-off against other income, and no carry-forward of losses,' says Siva Venkataraman, vice-president, Finance at CoinSwitch. 'Even transaction fees or electricity costs for mining are not allowed.' Surana adds, 'Rebates like Section 87A may help those with total income under Rs 5 lakh, but crypto gains remain taxed at 30 per cent, with surcharge and cess.' What should you do? Experts agree that one should declare their crypto gains transparently and file taxes accurately. 'Maintaining records, tracking acquisition cost, and using compliant platforms can help manage your tax liability,' advises Venkataraman. With rising regulatory scrutiny, experts stress that tax planning is as crucial as investment strategy in the crypto world.
Time of India
14 hours ago
- Business
- Time of India
Rising prices for shrinking houses: How lavish lifestyle comes at the cost of higher loading factor; check this before you buy
Imagine an Olympic-size swimming pool, a swanky multistorey clubhouse, badminton and tennis courts, and landscaped gardens. A few years ago, you would have been picturing a luxury retreat nestled somewhere in the hills. But what was once a dreamy escape is now part of everyday life for many. An oasis of calm, comfort and luxury awaits Indian homeowners within plush housing complexes mushrooming amid the hustle-bustle of its big cities. However, this elevated living comes with a sharp trade-off: homebuyers are paying through the nose for open spaces, while making do with less living space. Lavish living, cramped spaces When you buy an apartment, you do not just pay for the liveable area within its four walls. A portion of the cost also goes toward shared spaces in the housing society—this is known as the ' loading factor '. It refers to the proportionate share of ancillary common areas and amenities added to the carpet area (usable inner home area) and included in the price charged to the buyer. It essentially refers to the difference between the super built-up and the carpet area of an apartment. To put it simply, the carpet area refers to the floor space where you can actually lay a carpet. The built-up area includes the carpet area plus the space taken up by the walls and ducts. The super built-up area includes the built-up area along with a proportionate share of common spaces such as the staircases, lift shafts, entrance lobbies, corridors, parking areas, and amenities. 'In India, property prices are usually calculated based on the super built-up area. While developers market homes based on this figure, the real value lies in the carpet area,' points out Akhil Rathi, Head– Financial Advisory at 1 Finance. A recent report by ANAROCK throws light on the steep premium homebuyers are paying for their lap of luxury. According to the real estate consultancy, the average loading factor in apartments across India's top seven markets has climbed sharply from 31% in 2019 to 40% in January-March 2025. This means that of the total space you are paying for, only 60% is the home interior, while 40% of the cost is for the common areas and amenities. In the past, a loading of 25-30% was the norm. Loading factor has surged MMR faces highest loading; Bengaluru sees steepest rise Homebuyers' preferences for a certain lifestyle is contributing to this trend. Nowadays, homebuyers covet expansive lounge areas with cafes, state-of-the-art gymnasiums, rooftop decks and multi-purpose utility areas. Experts point out that the loading factor is directly proportional to the amenities in a project. The cost of additional amenities provided by the developer is usually passed on to customers in the form of loading charges. Invariably, loading will be higher for larger projects, where more space is allotted to amenities and common areas. Live Events Prashant Thakur, Regional Director & Head–Research & Advisory, ANAROCK Group, observes, 'Today, higher amenity loading has become the norm across most projects partly because homebuyers are no longer satisfied with basic lifestyle amenities— they expect fitness centres, clubhouses, park-like gardens, and grand lobbies.' Additionally, regulatory and safety requirements, such as fire escapes, utility zones, and larger elevators, further increase the common areas, thereby adding to the loading, points out Rahul Purohit, Cofounder & Chief Business Officer, Square Yards. But the flip side is that homebuyers end up giving up on actual living spaces. Buyers often end up paying a premium for homes with less actual living area because the pricing is based on the super built-up area, not the space the residents actively use, Rathi explains. 'While such facilities may enhance the community living experience, they also reduce the size of individual units, resulting in tighter bedrooms or smaller living spaces,' he says. Jayesh Rathod, Co-Founder and Director of The Guardian Real Estate Advisory, asserts, 'Homebuyers are increasingly paying a significant portion of their total home cost for shared spaces rather than actual liveable space.' 'While high loading doesn't automatically lower resale prices, it may narrow the pool of interested buyers due to perceived space inefficiency", says Akhil Rathi, Head – Financial Advisory, 1 Finance. According to the ANAROCK report, Mumbai Metropolitan Region continues to see the highest loading among the top seven cities, with 43% in January-March 2025. Bengaluru has seen the highest percentile jump in average loading over the last seven years–from 30% in 2019 to 41% in January-March 2025. The ANAROCK report suggests this dovetails with the increasingly higher saturation of modern amenities that developers now include to cater to the higher lifestyle ask in the IT hub. Chennai, on the other hand, has the least average loading rise in January-March 2025 with 36%, aligning with a city-specific demand profile where homebuyers prefer to pay more for usable space within their homes rather than for common areas. In 2019, Chennai's average loading percentage was 30%. Same budget, different loading factors Knowing the loading factor helps assess value. Balancing act For homebuyers, the loading factor of an apartment is critical when evaluating projects with extensive amenities and open spaces. It is indicative of the functionality of the house. It also reveals the real value behind the price tag. Loading ratio tells you how much space you get for the money you spend. If the ratio is higher, it implies that you are paying a higher price per square foot than the advertised cost. Homebuyers can effectively compare relative value proposition of different projects. For example, if two apartments—Unit A and Unit B—each have a super built-up area of 1,000 sq ft and are priced atRs.75 lakh, but their loading factors are 25% and 33% respectively, it means Unit A offers more liveable space at 800 sq ft compared to Unit B's 750 sq ft. This trade-off between amenities and functional space begs careful consideration. 'This trade-off, paying more for less private space, has become a growing concern among urban homebuyers, especially in cities where affordability is already a challenge,' says Rathi. Individual preferences may differ, so buyers should evaluate offers accordingly. 'Higher amenity loading has become the norm across most projects partly because homebuyers are no longer satisfied with basic lifestyle amenities," says Prashant Thakur, Regional Director & Head -Research & Advisory, Anarock. 'For buyers who value access to curated amenities and community experiences, the premium associated with such projects can be well worth it, even if it means a slightly smaller functional space,' avers Purohit. Conversely, for those who prioritise maximum carpet area and functional layouts over lifestyle features, choosing a project with minimal loading and fewer amenities might be more suitable, he adds. Loading may also impact the resale value of your house. It can bolster or dilute the appeal of the tenement, depending on buyer preferences in the secondary market, experts say. Housing prices have shot up sharply Bengaluru has seen highest jump; Mumbai commands biggest premium. 'On one hand, projects with premium amenities and lifestyle-driven features often appeal to a certain segment of buyers looking for comfort, convenience, and community living. However, if the functional space feels significantly compromised, it could limit the resale pool or affect price appreciation over time,' contends Purohit. 'Higher loading may affect the resale value in some cases, particularly when similar properties in the vicinity or even nearby locations offer more usable space at the same price,' Thakur remarks. How to calculate loading factor Buyers must verify charges to avoid overpaying for less space. If super built-up area is 1,000 sq ft and carpet area is 750 sq ft: Older or more thoughtfully designed homes with minimal loading and better space distribution often attract greater interest during resale, Rathi points out. However, if a new project is developed by a well-known builder and offers premium amenities, some buyers may still find value in the overall lifestyle offering. 'So, while high loading doesn't automatically lower resale prices, it may narrow the pool of interested buyers due to perceived space inefficiency,' Rathi adds. Get clarity on the loading factor For homebuyers, clarity on the loading factor and actual living area is essential. Unfortunately, the practise of 'loading' in real estate is shrouded in a web of secrecy. Developers conveniently do not mention the loading factor in their glossy sales brochures. Regulations do not mandate developers to disclose this figure either. This leaves homebuyers in the dark about the value they are getting. To be sure, the Real Estate (Regulation and Development) Act, 2016, requires developers to mention the total carpet area provided to homebuyers. But not all states enforce the law. 'In most cases, buyers across cities, except in Maharashtra, are unaware of how much they pay towards the overall usable space within their apartment,' avers Thakur. Besides, there is no law that currently limits the loading factor in residential housing. It is left to the discretion of the developers, who justify higher loading for the amenities provided. In the absence of any regulation, some developers charge loading as high as 50% or more for their projects, experts point out. The onus is on buyers to remain vigilant. Here's what you can do: Ask your builder, the exact carpet area you are paying for and compare it with the super built-up area. 'Request a clear breakdown of costs, what portion goes to actual usable space and what is for common amenities,' says Rathod. Compare carpet-to-super built-up ratios across similar projects, thoroughly study floor plans, and, if needed, consult an architect or a real estate adviser. 'Comparing loading percentages across projects can highlight anomalies and offer a strong basis for negotiation, especially if the loading appears excessive,' Purohit comments.
India.com
6 days ago
- Business
- India.com
Mumbai, Bengaluru have costliest properties in India, but this big city has cheapest housing market in 2025, its name is....
Mumbai, Bengaluru have costliest properties in India, but this big city has cheapest housing market in 2025, its name is… Cheapest Housing Market: After the Covid-19 era, the real estate market of India has witnessed a massive boom, with housing prices in major cities surging by an average of 48 percent. People are showing more interest in buying houses and lands but because of the limited number of properties the prices have skyrocketed. But among all the property hunting in major cities, there is another big Indian city where the prices of housing properties have decreased. Let's know more. The figures have been mentioned in the new report of 1 Finance Housing Total Return Index (TRI), based on RERA-registered property transaction data. Most Expensive Real Estate Market In India Known as India's silicon city, Bengaluru has been witnessing a sudden increase in property prices by 79 percent. However, the country's commercial capital Mumbai, has become the most costly housing market with Rs 26,975 per square feet. Over the past five years, strong demand in the Delhi-NCR region has reduced unsold housing inventory by 30 percent. In response to market conditions, Pune developers have decreased new project launches by 20 percent. On a contrary, in Hyderabad the demand is less and the supply is massive because of which unsold houses increased by 177 percent. In Chennai, new houses launch increased by 51 percent, but sales increased only by 10 percent. However, Kolkata has become the only city is where both launches of housing property and sales declined by 29 percent. Will Home Prices Rise Further? A recent report reveals a surge in demand for new homes in major Indian cities between 2020 and 2025, outpacing supply growth. While new home launches increased by 10 percent, sales rose by 33 percent. This disparity suggests that real estate prices may continue to climb. In Pune, however, developers responded to market conditions by decreasing new project launches by 20 percent. According to experts, this sudden post pandemic increase in demand will not be witnessed again. Prices of housing properties will increase at a steady pace in the coming years. Animesh Hardia, Senior Vice President of Quantitative Research at 1 Finance, observes contrasting experiences among his firm's financial advisory clients regarding real estate. Current homeowners are profiting from rising property values, while prospective buyers struggle with the dilemma of potential price peaks and fear of missing out, leading to impulsive purchasing decisions.
India.com
15-06-2025
- Business
- India.com
THIS Indian City Saw Sharpest Rise in Property Prices in 5 Years; It's Not Mumbai, Delhi Or Kolkata, The City Is…
New Delhi: Bengaluru has emerged as the fastest-growing housing market among major Indian cities. Over the past five years, home prices in the Karnataka capital have jumped by an impressive 79 per cent, outpacing metros like Mumbai, Delhi-NCR, Chennai, and Kolkata, according to a report by 1 Finance. Bengaluru Housing Market Bengaluru and Delhi-NCR are the only two major Indian cities where unsold housing stock has come down over the past five years—showing strong demand and robust home sales despite rising prices, according to the report. Bengaluru, India's leading IT hub hosts the offices of major global tech companies and top Indian startups. With over 10 lakh well-paid tech professionals and some of the highest-paying tech jobs in the country, the demand for homes in the city has shot up, driving prices even higher. How Much Do Homes Cost in Bengaluru Now? Bengaluru home prices have jumped by 79 per cent over the last five years, with the current average rate at around Rs 10,349 per square foot. The report also highlights that Kolkata saw the next highest rise after Mumbai, with a 61 per cent increase. In contrast, Hyderabad recorded a 177 per cent surge in unsold homes, even as prices grew by 43 per cent. Meanwhile, Delhi-NCR saw a 47 per cent rise, followed by Pune (45 per cent), Hyderabad (43 per cent), and Mumbai (42 per cent). Despite the variations, Mumbai continues to have the highest real estate prices in the country. Mumbai Retains Title of India's Costliest Housing Market While Bengaluru leads in terms of price growth, Mumbai continues to be the costliest city for homebuyers in India. According to the report, the average price of a home in Mumbai stands at Rs 26,975 per square foot. Delhi-NCR comes next, with average property rates around Rs 23,378 per square foot.
India.com
14-06-2025
- Business
- India.com
House prices increased maximum in THIS city in last 5 years due to...; not Delhi, Mumbai, Noida, Kolkata, the city is...
Representational Image Bengaluru house prices: Karnataka capital Bengaluru saw highest increase in house prices in the last five years. According to a report by 1 Finance, in the last five years, Bengaluru house prices have surged by a whopping 79%, which is higher than India's four big metro cities– Mumbai, Kolkata, Chennai, and national capital Delhi-NCR. Bengaluru house prices As per the report, Bengaluru and Delhi-NCR are the only two major Indian cities where the number of unsold houses has decreased in the last five years, indicating that the demand for homes in these cities is very high and house sales are booming amid rising prices. The report noted that Bengaluru has emerged as India's primary IT-hub, and is home to the India operations of major global tech giants, as well as high-value Indian IT startups. The city offers some of the highest-paying tech jobs in the country, and is home to more than 10 lakh well-paid tech professionals, due to which the the demand of homes has increased, and prices are surging at a rapid pace. What are the current Bengaluru house prices? As mentioned earlier, Bengaluru house prices have increased by a whopping 79% in the last five years, and at present homes are being sold in the city at an average of Rs 10,349 per square feet. As per the report, house prices in Kolkata have the witnessed the highest increase after Mumbai, with the West Bengal capital witnessing a 61% surge in the last five years. Meanwhile, over the same duration, the number of unsold homes in Hyderabad increased by 177%, even as the price per square feet increased by 43%, but Mumbai remains at top in terms of expensive real estate prices. The house prices in Delhi-NCR has increased by 47 percent, 45 percent in Pune, 43 percent in Hyderabad and 42 percent in Mumbai, during the same period, the report said. Mumbai remains hub of expensive properties Notably, while Bengaluru tops in terms of rising house price, Mumbai retains its title as the hub of expensive properties in India, with homes being sold at Rs 26,975. Mumbai is followed by Delhi-NCR, where home prices average Rs 23,378 per square feet.
