Multiple choice

Which of the following is a tax that is levied on all transaction codes on the stock exchange at rates prescribed by the Central Government from time to time?

  1. Transactions Tax

  2. Stock Exchange Transactions Tax

  3. Securities Transaction Tax

  4. Securities Tax

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Securities Transaction Tax (STT) is a tax that is payable in India on the value of securities (excluding commodities and currency) transacted through a recognised stock exchange. The tax is not applicable on off-market transactions or on commodity or currency transactions.