Securities Transaction Tax (STT) is a type of tax levied by the Indian government on the purchase or sale of securities such as stocks, mutual funds, and futures and options contracts traded on recognized stock exchanges in India. The tax is collected by the stock exchanges and helps to fund the government’s social welfare programs.
The following are the STT rates for various transactions
Delivery-based equity trading: 0.1% on the turnover
Intra-day equity trading: 0.025% on the turnover
Futures: 0.01% on the sell-side only
Equity options: 0.05% on the sell-side only
Physical delivery of derivatives: 0.1%
These rates may change from time to time so be aware of the latest rates
