Withdrawals from project account
Withdrawal from project accounts – following documents are required for withdrawal from project account
A certificate from Architect certifying the percentage of completion of construction work
A certificate from the engineer for the actual cost incurred on the construction work
A certificate from a CA for the cost incurred on construction cost and land cost
The Chartered Accountant shall also certify the proportion of the cost incurred on construction and land cost to the total estimated cost of the project
The total estimated cost of the project multiplied by such proportion shall determine the maximum amount which can be withdrawn by the promoter from the project account.
As per the Act, the land cost can be withdrawn only in proportion to construction cost even if it has been paid in full.