Trading charges in India explained: every line on your contract note
Brokerage is only one of seven charges on an Indian trade. Here is what each line on a contract note means, the 2026 rates, and a full worked example.
The seven lines on a contract note
Every equity or F&O trade in India carries the same stack of charges. Your broker shows them on the contract note it emails after each trading day. Here is what each line means:
- Brokerage is your broker’s fee for executing the order. Discount brokers usually charge ₹20 per order or a small percentage capped at ₹20; some charge nothing on delivery.
- Securities transaction tax (STT) is a central government tax on the value of shares and derivatives bought or sold on an exchange. Commodity trades pay commodity transaction tax (CTT) instead.
- Exchange transaction charges are the fees NSE or BSE charges for the trade. NSE now includes the investor protection fund charge (IPFT) in this line.
- SEBI turnover fee is ₹10 per crore of turnover, collected for the market regulator.
- Stamp duty is charged on the buy side only, at a uniform national rate since July 2020, and passed to the state where the buyer lives.
- GST is 18% on the service portion: brokerage, exchange charges and the SEBI fee. It is not charged on STT or stamp duty.
- DP charges apply only when shares leave your demat account after a delivery sale. They usually appear in your ledger rather than on the contract note.
Rates by segment (October 2026)
| Charge | Delivery | Intraday | Futures | Options |
|---|---|---|---|---|
| STT | 0.1% buy & sell | 0.025% sell | 0.05% sell | 0.15% of premium sold |
| NSE transaction | 0.00307% | 0.00307% | 0.00183% | 0.03553% of premium |
| SEBI fee | ₹10 per crore | |||
| Stamp duty (buy) | 0.015% | 0.003% | 0.002% | 0.003% |
| GST | 18% on brokerage + exchange charges + SEBI fee | |||
The F&O STT rates were raised by the Finance Act 2026 with effect from 1 April 2026. NSE’s transaction charges were revised from 1 March 2026. BSE charges differ and vary by scrip group.
A full worked example
Suppose you buy 100 shares at ₹500 and later sell them at ₹520 (equity delivery, Zerodha). Buy value is ₹50,000, sell value ₹52,000, turnover ₹1,02,000.
| Line | Working | Amount |
|---|---|---|
| Brokerage | ₹0 on delivery | ₹0.00 |
| STT | 0.1% × ₹1,02,000 | ₹102.00 |
| Exchange | 0.00307% × ₹1,02,000 | ₹3.13 |
| SEBI | ₹10/crore × ₹1,02,000 | ₹0.10 |
| Stamp duty | 0.015% × ₹50,000 | ₹7.50 |
| GST | 18% × (₹0 + ₹3.13 + ₹0.10) | ₹0.58 |
| DP charge | ₹15.34 per scrip (incl. GST) | ₹15.34 |
| Total | ₹128.66 |
The gross profit of ₹2,000 becomes ₹1,871.34. Charges took 6.4% of the profit.
Which charge is biggest?
- Delivery: STT, because it is 0.1% on both sides. Brokerage is often zero.
- Intraday: brokerage, then STT. On ₹1 lakh each way, brokerage is ₹40 and STT ₹25.
- Futures: STT at 0.05% of the sell value. On one Nifty lot at 25,000 that is about ₹812.
- Options: brokerage, because STT and exchange charges apply only to the small premium.
Charges outside the contract note
Some costs never appear on the contract note: account maintenance charges (AMC) on your demat account, DP charges, call-and-trade fees, pledge fees for margin, payment gateway fees and interest on margin trading facility (MTF) positions. Check your broker’s full rate card for these.
How to check your contract note
- Confirm the trade type: a delivery trade marked as intraday, or the reverse, changes STT completely.
- Recalculate STT and stamp duty from the trade values; they should match to the rupee.
- Check that brokerage matches your plan and that GST is 18% of brokerage plus exchange and SEBI charges.
- Run the same trade through the brokerage calculator. Small differences are usually rounding or partial fills.
Sources: NSE and BSE transaction charge circulars, the Finance Act 2026 (STT), SEBI fee schedule, the Indian Stamp Act as amended in 2020, and the published rate cards of Zerodha, Groww, Upstox and Angel One, checked in October 2026.
Frequently asked questions
What charges are deducted when I sell shares?
On a delivery sale you pay STT (0.1% of the sell value), exchange transaction charges, the SEBI fee, GST on fees, brokerage if your broker charges it, and a DP charge per scrip. Stamp duty is paid on the buy side only.
What are total charges on a trade in India?
It depends on the segment. A ₹50,000 delivery round trip costs roughly ₹128 at a zero-brokerage broker; a ₹1 lakh intraday round trip costs about ₹83 with ₹20 brokerage per order.
Is GST charged on STT?
No. GST of 18% applies only to service charges: brokerage, exchange transaction charges, the SEBI fee and DP charges. STT and stamp duty are taxes and attract no GST.
Why is stamp duty only on the buy side?
Under the Indian Stamp Act amendments effective 1 July 2020, stamp duty on exchange trades is collected only from the buyer, at uniform rates across states.
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Written and maintained by Mantu Kumar
Mantu builds TradeProfy’s calculators and checks every statutory rate against exchange circulars, broker rate cards and the Finance Act. He is not a SEBI-registered adviser, so TradeProfy explains costs and maths but never tells you what to trade.
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