SEBI Turnover Fees, STT and Other levies
SEBI Turnover fees
| Sr. No. | Nature of securities | Rate of Fee |
|---|---|---|
| 1. | All sale and purchase transactions in securities other than debt securities | 0.0001 per cent of the price at which the securities are purchased or sold (Rs.10 per crore) |
| 2 | All sale and purchase transactions in debt securities | 0.000025 per cent of the price at which the securities are purchased or sold (Rs.2.5 per crore) |
Stamp Duty
|
Type of Security |
Applicable Stamp Duty Rate |
Applicable on |
|
Transfer of Security other than debenture on delivery basis |
0.015% |
Buyer |
|
Transfer of Security other than debenture on non-delivery basis |
0.003% |
Buyer |
|
Transfer of Debentures |
0.0001% |
Buyer |
|
Derivatives – Equity Futures |
0.002% |
Buyer |
|
Derivatives – Equity Options |
0.003% |
Buyer |
|
Currency and interest rate derivatives |
0.0001% |
Buyer |
|
Transfer of Corporate Bonds |
0.0001% |
Buyer |
|
Transfer of Securitized Debt |
0.0001% |
Buyer |
|
Transfer of Commercial Papers |
0.0001% |
Buyer |
|
Transfer of Certificate of Deposits |
0.0001% |
Buyer |
|
Repo transaction |
0.00001% |
Borrower (Buyer of forward leg) |
|
Transfer of Government Securities |
0% |
NA |
|
Transfer of Security other than debenture on delivery basis - OFS, Tender-Offers for Takeovers, Buy Back and Delisting of Securities) |
0.015% |
Offeror (seller) |
|
Commodity Futures |
0.002% |
Buyer |
The Finance Act, 2019 (No. 7 of 2019) has introduced amendment in The Indian Stamp Act, 1899, with respect to levy and collection of stamp duty for transaction in securities made through stock exchange and accordingly with effect from July 1, 2020, being the notified date, stamp duty is levied and collected by Clearing Corporations authorised by Stock Exchanges.
Goods and Service Tax (GST)
| Category | Tax Rate | Payable By |
|---|---|---|
| Stock brokers Services | 18.00% (GST) | Brokers and collected from their clients. |
Securities Transaction Tax (STT)
| SR. NO. | TAXABLE SECURITIES TRANSACTION | RATES W.E.F. OCTOBER 1, 2024 | RATES UPTO SEPTEMBER 30, 2024 | PAYABLE BY |
| 1 | Purchase of an equity share in a company or a unit of a business trust, where such contract is settled by the actual delivery or transfer of such share or unit. | 0.100 per cent | 0.100 per cent | Purchaser- on the value of taxable securities transaction based on the volume weighted average price. |
| Purchase of a unit of an equity oriented fund, where such contract is settled by the actual delivery or transfer of such share or unit. | NIL | NIL | NA | |
| 2 | Sale of an equity share in a company or a unit of a business trust, where such contract is settled by the actual delivery or transfer of such share or unit | 0.100 per cent | 0.100 per cent | Seller - on the value of taxable securities transaction based on the volume weighted average price. |
| Sale of a unit of an equity oriented fund, where such contract is settled by the actual delivery or transfer of such share or unit | 0.001 per cent | 0.001 per cent | Seller - on the value of taxable securities transaction based on the volume weighted average price. | |
| 3 | Sale of an equity share in a company or a unit of an equity oriented fund or a unit of a business trust, where such contract is settled otherwise than by the actual delivery or transfer of such share or unit. | 0.025 per cent | 0.025 per cent | Seller - on the value of taxable securities transaction based on the volume weighted average price. |
| 4a | Sale of an option in securities | 0.1 per cent | 0.0625 per cent | Seller - on the option premium. |
| 4b | Sale of an option in securities, where option is exercised | 0.125 per cent | 0.125 per cent | Purchaser - On Intrinsic value w.e.f. 01.09.2019 (prior to Septemebr 1, 2019 -on the settlement price) |
| 4c | Sale of a futures in securities | 0.02 per cent | 0.0125 per cent | Seller - on the price at which such futures is traded. |
Futher as per SEBI guidelines FII's are required to settle the transactions by delivery only and therefore sr. no.3 of the above table is not applicable in case of FIIs
Dividend Distribution Tax
| Payable by | Tax Rate | Income in the hands of the recipient |
|---|---|---|
| Domestic Company (applicable for dividend declared, distributed or paid upto 31/03/2020) | 16.225% (15% + surcharge @ 5% + education cess @ 3%) | Exempt upto FY 2019-20 |
| Equity Oriented Fund | NIL | Exempt |
| Money market Fund or Liquid Fund | - if recipient is individual or HUF - 27.0375% (25% + surcharge @ 5% + education cess @ 3%) - if recipient in others - 32.445% (30% + surcharge @ 5% + education cess @ 3%) |
Exempt |
| Other Funds | - if recipient is individual or HUF - 13.5188% (12.50% + surcharge @ 5% + edcuation cess @ 3%) - if recipient in others - 32.445% (30%+ surcharge @ 5% + edcuation cess @ 3%) |
Exempt |
The above information provided is for a general guidance only. However, in view of the specific nature of the transactions and its tax implications, FII’s are advised to consult their own tax advisors with respect to the specific tax implications arising out of India.
Updated on: 21/10/2024
