27th May, 2005

N O T I C E

 

Sub: Change of rates of Securities Transaction Tax

 

Members are requested to refer our notice on Securities Transaction tax dated 27/9/04 & 30/9/2004. As per the Finance Act 2005, the rates of levy of Securities Transaction Tax (STT) have been revised with effect from 1st June 2005 as given below. Accordingly the STT on the transactions executed on the Exchange on or after 1st June, 2005 shall be as indicated in column 4 below.

 

SI. No.

Taxable securities transaction

Old Rate

New Rates wef 01.06.05

Payable by

(1)

(2)

(3)

(4)

(5)

1.       

Purchase of an equity share in a company or a unit of an equity oriented fund, where

(a)    the transaction of such purchase is entered into in a recognised stock exchange; and

(b)    the contract for the purchase of such share or unit is settled by the actual delivery or transfer of such share or unit.

0.075 per cent.

0.1 per cent

Purchaser

2.       

Sale of an equity share in a company or a unit of an equity oriented fund, where

(a)    the transaction of such sale is entered into in a recognised stock exchange; and

(b)    the contract for the sale of such share or unit is settled by the actual delivery or transfer of such share or unit.

0.075 per cent.

0.1 per cent.

Seller

3.       

Sale of an equity share in a company or a unit of an equity oriented fund, where

(a)    the transaction of such sale is entered into in a recognised stock exchange; and

(b)    the contract for the sale of such share or unit is settled otherwise than by the actual delivery or transfer of such share of unit

0.015 per cent

0.02 per cent

Seller

 

Members are requested to note that the Exchange will continue to adopt the existing procedure for calculation, levy and collection of STT, with the Revised STT rates. This is for information and compliance of the members and also for onward transmission to the constituents.

 

 

 

Secretary