RSM India

Real estate and construction

Our service offerings for the Real Estate and Construction industry

The Indian infrastructure (construction) and real estate industry is playing key role in the nation’s progress towards achieving the status of ‘developed nation’ from a ‘developing nation’. However, there is a consensus that infrastructure inadequacies would constitute a significant constraint in realising our growth potential.

An ambitious program of infrastructure investment has therefore been evolved for strengthening and consolidating recent infrastructure and real estate related initiatives. To supplement the estimates of Gross Capital Formation in infrastructure, the Planning Commission has made projections of public-private investments in each sector, basing these on a detailed review of sectoral trends and projected expenditures.

The Indian real estate sector plays a significant role in the country's economy, which is second only to agriculture in terms of employment generation and contributes heavily towards the gross domestic product (GDP). About five per cent of the country's GDP is contributed to by the housing sector.

Almost 80 per cent of real estate developed in India is residential space, the rest comprising of offices, shopping malls, hotels and hospitals. According to the Tenth Five-Year-Plan, there was a shortage of 22.4 million dwelling units. Thus, over the next 10 to 15 years, 80 to 90 million housing dwelling units will have to be constructed with a majority of them catering to middle- and lower-income groups.

Between April 2000 and about end of 2014, the construction development sector received about $24 bn, constituting 10 per cent of the overall FDI into the country during the period.

How we can help:

RSM provides a wide range of professional services to the real estate and construction industry in the following areas:

  • Techno-commercial and / or concurrent internal audits for the real estate sector
  • Internal, special audits to ensure improved efficiency, internal processes and controls
  • IT and IT security advisory services and related audits of hardware, connectivity and software
  • Designing and setting up enterprise wide Standard Operating Processes (SOPs) and systems for uniform working
  • Direct and indirect tax advisory and representation services
  • Concurrent audits of toll plazas (even if they are located at remote places) with focus on cash collection, vehicular movements, security aspects, etc.

Advantage RSM:

  • RSM in India is consistently ranked amongst India’s top six accounting and consulting groups and RSM globally is the seventh largest network of audit, tax and consulting firms
  • Extensive experience in catering to the real estate and construction industry in advisory, taxation and accounting matters across functions and borders
  • Multi-disciplinary team of professionals comprising of Chartered Accountants, Management Graduates, Engineers, Company Secretaries, Cost Accountants and Law Graduates

Newsflash On The New Taxation Window To Declare Undisclosed Income In The Form of Cash Deposits

6 December 2016
With effect from 9th November, 2016, bank notes of existing series of denomination of the value of Rs. 500 and Rs. 1000 ceased to be legal tender as part of the monetization plan of the government directed to curb black money in the economy.

Newsflash - Service tax payable by foreign entities on cross-border B2C OIDAR services

6 December 2016
The Central Government has amended Service Tax regulations to make foreign entities without presence in India providing B2C OIDAR services in India liable to Service Tax and comply with Service Tax regulations. This appears to be a first time that Central Government has made a non-resident person as a person liable to pay Service Tax.

Newsflash Income Tax Rate of depreciation brought down to 40 percent for all assessees

23 November 2016
Recently, the CBDT has made changes in the Income Tax Rules to restrict the rate of depreciation maximum up to 40% for block of assets which are currently eligible for depreciation at a higher rate ( 50%, 60%, 80%, 100%).

Newsflash - Revised ICDS notified-Applicable from AY 2017-18 onwards

12 October 2016
The Central Government had notified 10 Income Computation and Disclosure Standards (‘ICDS”) to be applicable to all assessees following mercantile system of accounting for computing business income and income from other sources from AY 2016-17 and onwards.

Newsflash - Electronic filing of MVAT Return in new automation processes and changes in procedures

30 August 2016
On 25th February 2016 the Maharashtra Sales Tax Department (hereinafter referred to as "MSTD") had issued Trade Circular No 7 T of 2016 which explains the new automation process of filing of returns for the periods from April 2016.

Newsflash - Stand-by arrangement for issuance of e-CST declarations in State of Maharashtra

30 August 2016
The Maharashtra Sales Tax Department (MSTD) is in the process of implementing SAP based New Automation System. Retums for periods after 1 April 2016, under Maharashtra Value Added Tax Act (MVAT) and Central Sales Tax Act (CST) will be started in the new automation system in due course.

Limited Liability Partnerships in India - The NewAge Business Vehicle

29 August 2016
The dynamic business environment we live in today calls for constant change and upgradation. In order to remain relevant, there is need for a business structure that appeals to business and service sectors alike with lesser restrictions and government intervention.

Newsflash - Fourth set of clarifications on the Income Declaration Scheme 2016

22 August 2016
The Income Declaration Scheme, 2016 came into effect on 1st June, 2016. So far the Central Board of Direct Taxes has issued three sets of FAQs vide Circular Nos. 17, 24, 25 & 27 of 2016. In order to address further queries received from the public relating to the Scheme, CBDT has further issued fourth set of clarifications on 18 August 2016.

Newsflash – FAQs on Goods and Services Tax

9 August 2016
The newsflash summarises certain frequently asked questions (FAQs) on the Goods and Services Tax (GST) law.

White Paper "The Direct Tax Dispute Resolution Scheme, 2016- An opportunity to resolve pending litigation"

8 August 2016
Rising tax dispute has been a matter of serious concern for taxpayers. The Direct Tax Dispute Resolution Scheme (‘the Scheme’) which has  been introduced as a part of the Finance Act, 2016 provides an opportunity to taxpayers to settle their pending tax disputes at the level of the First Appellate Authority i.e.

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