What are the statutory costs involved while trading/investing?


Charge TypeParticulars
Brokerage
It is levied by a stock broker for your transactions/ trades. It is charged on the trade value or at a flat rate, as agreed.
Securities Transaction Tax (STT)
It is levied on transactions (buy and sell) conducted through the stock exchanges. Taxable securities include equity, derivatives and equity-oriented mutual funds.
Stamp Duty
It is levied by the state government on the transfer of ownership of securities.
Goods & Services Tax (GST)
It is levied as a percentage of the brokerage charged for the trade. The current GST rate is 18%.
Transaction Charges
It is levied by the stock exchanges (NSE, BSE, MCX). Rates vary between exchanges.
Depository Participant (DP) Charges
It is levied by the respective Depository (NSDL/CDSL) for keeping your transactions in electronic form. The Depository charges the DP (stockbroker), who in turn will charge you
SEBI Charges
It is levied by SEBI on the trade value.


Still need help? Create Ticket