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What are the various statutory charges associated with trading and investing?
While trading, you have to pay different statutory charges such as:
- Securities Transaction Tax (STT): These are charged on the value of securities traded.
- Exchange Transaction Charges: These are levied by stock exchanges for executing trade.
- Goods & Services Tax (GST): 18% GST is charged on brokerage + transaction charges.
- SEBI Turnover Fees: It is paid to SEBI for trade regulation and is charged on the total turnover.
- Stamp Duty: It is state state-wise duty charged on the value of securities transacted (applies at the time of order execution).
- Depository Charges: It is charged for demat account services like selling shares.