The Finance department of BSE Limited has issued various notices/circulars from time to time on the following subject matters:
1. Master Circular on Direct Tax Matters
2. Master Circular for Securities Transaction Tax (“STT”) and Commodities Transaction Tax (“CTT”).
This Master Circular includes a new notice pertaining to change in rate of STT on sale of Futures and Options Contracts as amended in the Finance Bill 2023.
Securities Transaction Tax (STT) was introduced in Chapter VII of the Finance (No. 2) Act 2004. The Finance Bill 2023 containing various budget proposals and amendments related to taxation was passed by Lok Sabha on March 24, 2023. One of the amendments was pertaining to increase in the rate of STT on sale of Option contracts and Future contracts. The revised rates of STT for taxable securities transactions as amended by Finance Bill 2023 is given below -
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Sr. No.
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Taxable Securities Transactions
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Effective till 31.03.23
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Effective from 01.04.23
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Payable by
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1.
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Purchase of an equity share in a company, 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 is settled by the actual delivery or transfer of such share.
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0.1%
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0.1%
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Purchaser
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1.A
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Purchase of an 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 unit is settled by the actual delivery or transfer of such unit.
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NIL
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NIL
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-
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2.
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Sale of an equity share in a company, where -
(a) the transaction of such sale is entered into in recognised stock exchange; and
(b) the contract for the sale of such share is settled by the actual delivery or transfer of such share.
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0.1%
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0.1%
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Seller
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2A.
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Sale of an 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 unit is settled by the actual delivery or transfer of such unit.
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0.001%
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0.001%
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Seller
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3.
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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 or unit.
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0.025%
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0.025%
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Seller
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4.
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(a) Sale of an option in securities.
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0.050%
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0.0625%
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Seller
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(b) Sale of an option in securities where option is exercised.
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0.125%
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0.125%
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Purchaser
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(c) Sale of a futures in securities.
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0.01%
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0.0125%
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Seller
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Note: Please note that till the date of issue of this circular, the Finance Bill 2023 as passed by Lok Sabha on March 24, 2023, is yet to receive the assent of the Honorable President of India.
Shri Rushabh Mehta – 22728647
Shri Mahesh Shivtare - 22728594
Shri Harihara Subramanian - 22728522
In order to enable the users to have access to all the applicable notices/circulars at one place, a Master Circular in regards has been prepared. This Master Circular is a compilation of the notices/circulars issued by the Finance & Accounts Department of BSE up to March 31, 2023.
For and on behalf of BSE Limited
SD/-
Shri Jayesh Shah
Financial Controller |