Equity investment costsThe charges applicable on equity investments are Brokerage, demat, security transaction tax, Service tax and education cess
04 Dec 2008
Brokerage charges: You pay a nominal one-time account-opening fee and then brokerage charges for every purchase and sale transaction undertaken thereafter.
Demat charges: These are charges levied for maintaining your demat account. These charges include periodical charges for account maintenance, transaction charges for each debit and credit of shares, and other incidental charges.
Payment of Securities Transaction Tax (STT): You pay the STT while buying or selling equity.
Payment of Service Tax (ST) and Education Cess (EC): You pay ST and EC, at present levied together at a 12.24% rate, as a percentage of brokerage due to the broker.