Real estate boom fuel IT returns' rise

Benefiting from the real estate chandigarh boom and the services sector growth, the number of income tax returns filed from Mohali and its suburbs, right up to Ropar and Nangal, saw a definite growth till March 31 this year as compared to the last fiscal.

Data available with the income tax department shows that while the number of returns from some villages in Chandigarh and parts of Mohali went up from 85,277 in 2005-06 to 90,322 this fiscal year, that of Mohali proper and areas including Kharar, Ropar and Nangal went up from 55,139 in 2005-06 to 60,017.

According to income tax officials, an increase in peoples' income from jobs and business has led to this increase in returns.

Part of the rise is due to better compliance, they said. Though salaried class people settling down in Mohali and around played an important role in the number of returns going up, growth in real estate has definitely added to it.

Arvinder Singh, a Mohali-based property dealer, said, "Many farmers selling off land elsewhere in the state and buying property here had to file returns.

The property boom in Mohali in the last year led to further investments in real estate up till Ropar and Nangal as a ripple effect improving incomes of people."

Sanjay Tyagi, director, Software Technology Parks of India, said many IT and services sector professionals including telecom started living in Mohali.

"This must have contributed to the returnsgoing up,"he explained. Data on Chandigarh, including sectors 1-25, Industrial Area Phase I & II and Manimajra, show increase in the number of returns filed this year went up from 74,001 to 76,639.

In comparison, the number of returns filed in sectors 26 -62 in Chandigarh remained stagnant at 29,187 in 2005-06 to 29,019 this fiscal.
Source://indiatimes.com