Real Estate & Construction Industry
Brief Industry Introduction
The real estate and construction sector is one of the largest drivers of India’s economic growth, contributing heavily to GDP, employment generation, and infrastructure development. With rapid urbanization, government-led initiatives like Smart Cities Mission, RERA implementation, Affordable Housing schemes, and increased private investments, the industry is poised for sustained expansion. However, the sector continues to face unique challenges in taxation, project financing, regulatory compliance, project execution delays, and risk management.
At Mangesh Kadam & Associates, we bring industry-focused expertise, regulatory knowledge, and financial insight to deliver practical, value-driven solutions for developers, builders, contractors, and real estate investors.
Key Challenges & How We Help
GST, RERA & Indirect Tax Compliance
Challenge
Real estate developers deal with complex GST rules on under-construction properties, input credit restrictions, joint development agreements, and frequent regulatory amendments. Non-compliance with RERA timelines and tax regulations can lead to heavy penalties and project delays.
Our Role
We manage end-to-end GST and RERA compliance including registrations, return filings, reconciliations, e-invoicing, RERA project filings, and audit support. Our structured approach ensures proper ITC utilization, smooth refund claims, reduced litigation risks, and timely adherence to RERA provisions.
Project Costing & Profitability
Challenge
Rising material prices, labour costs, land acquisition expenses, and interest outflows often erode margins. Absence of effective project costing and budgeting reduces profitability visibility.
Our Role
We implement robust project costing systems, conduct cost audits, and develop budgeting & MIS frameworks. By identifying cost overruns and benchmarking against industry norms, we enable better pricing, financing, and project execution decisions.
Project Financing & Cash Flow Management
Challenge
Real estate projects often face long gestation cycles, delayed receivables from buyers, and dependency on external borrowings. Cash flow mismatches can stall construction timelines and increase financial risks.
Our Role
We provide advisory on project financing, structured funding, and cash flow forecasting. Our solutions cover receivable management, credit structuring, escrow account management, and working capital optimization to ensure liquidity and timely project completion.
Risk Management & Internal Controls
Challenge
The sector faces risks like project delays, contract disputes, fraud in procurement, environmental clearances, and compliance lapses. Weak controls increase financial leakages and investor distrust.
Our Role
Through risk-based internal audits, contract reviews, and control framework design, we strengthen governance systems. We recommend practical SOPs that enhance project monitoring, ensure accountability, and safeguard against frauds or operational inefficiencies.
Statutory & Regulatory Compliance
Challenge
Builders and developers must comply with multiple laws including RERA, Companies Act, labour regulations, environment laws, FEMA provisions, and municipal approvals. Non-compliance can cause penalties, project stoppages, and reputational loss.
Our Role
We provide comprehensive compliance support including statutory audits, secretarial filings, RERA filings, labour law audits, and environmental law reviews. Our compliance monitoring framework minimizes risks and enhances trust among investors and stakeholders.
Inventory & Revenue Recognition
Challenge
Recognition of real estate revenue under IND AS 115, treatment of unsold inventory, and valuation methods pose accounting and taxation challenges. Incorrect recognition can impact reported profits and compliance.
Our Role
We advise on correct revenue recognition methods (project completion vs percentage completion), valuation of unsold inventory, and financial statement disclosures. This ensures accurate reporting, tax efficiency, and better investor transparency.
Why Partner with CA Mangesh Kadam & Associates?
01
Project Audit & Financial Structuring
02
Full-Spectrum Compliance
03
Transaction Support
04
Construction Audit & Risk Assessment
05
Real Estate Advisory
06
Property Due Diligence
Why Choose Us for the Real Estate & Construction Industry?
Specialized Real Estate Knowledge
We understand the sector’s unique complexities – from RERA compliance to project financing. With years of domain experience, we provide tailored solutions for developers, builders, and investors.
Comprehensive Compliance & Financial Partner
One-stop solution for tax, audit, costing, funding, and RERA compliance. Our integrated approach ensures you stay compliant while focusing on timely project delivery and growth.
Profitability & Growth Enablers
Beyond compliance – we enable sustainable project profitability. We assist with financial modeling, project reports for funding, subsidy/benefit schemes, cost optimization, and investor presentations.
Robust Risk & Governance Frameworks
Strong governance ensures sustainable growth and investor confidence. Our internal audit, risk management, and compliance frameworks protect against frauds, project risks, and regulatory failures.