Pradhan Mantri Awas Yojana: You can buy home easily now! Income Tax department will help

Under Pradhan Mantri Awas Yojana for urban areas, the Modi government is resorting to facilitate probable beneficiaries ahead of the upcoming Lok Sabha elections. According to a Times of India report, the government is tapping into income tax data to identify the potential beneficiaries. Citing sources, the report said that such people will get get a certificate from the I-T department which they would be able to use to avail the subsidised home loan. 

With an annual income of upto Rs 18 lakh, the first time home loan seekers for purchasing a flat or building house under the PM Awas Yojana can avail the credit linked subsidy of Rs 6 lakh over a period of 20 years with upfront concession of Rs 2.5-2.7 lakh, said the report. 

Further, it said that by December end, about 3.4 lakh availed of the benefit under this scheme showing that this number should be several times higher. 

Notably, beneficiaries are not aware of benefits under the scheme or have to run from pillor to post to avail interest subsidy. One official told the newspaper that on the pattern of loan facility for traders under 59 minutes, more people will be able to get the benefits. 

To facilitate people, broad details have been finalised by lenders and government as it was discussed between bankers and interim finance minister Piyush Goyal, said the report, adding that finer details is being chalked out by a panel which would be announced soon.    

Sources told the newspaper that the Modi government has floated the idea to reward those who are in the tax net or are under the below poverty line. 

Notably, Pradhan Mantri Awas Yojana (Urban) was launched in June 2015 to provide affordable houses with water facility, sanitation and electricity supply round-the-clock to urban poor. The government has identified as many as 305 cities and towns in 9 states to begin construction of these affordable houses. 

Under this scheme, about 2 crore houses for urban poor, including Economically Weaker Sections and Low Income Groups in urban areas will be built by the year 2022. For this purpose, the Centre will extend a financial assistance of Rs 2 trillion.

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Under the Yojana, the houses would be constructed through eco-friendly technology. The objective is to deliver the project by 2022, wherein, houses will be allocated to females of the family or jointly with males.