Brokerage Charges Explained: STT, GST, AMC & More
Introduction
When trading stocks, many investors focus only on brokerage fees. However, your actual cost includes several hidden and regulatory charges. These can eat into your profits if you’re not careful. In this guide, we break down brokerage charges in India and explain STT, GST, AMC, and other fees you may encounter in 2025.
1. Brokerage Fees
This is the fee your broker charges for executing trades.
| Trade Type | Typical Fee (Discount Broker) |
|---|---|
| Equity Delivery | ₹0 (Zerodha, Upstox, Groww) |
| Intraday | ₹20/order or 0.03% of trade value |
| F&O | ₹20/order (flat rate) |
Note: Full-service brokers charge a percentage-based brokerage (e.g., 0.5% per trade).
2. Securities Transaction Tax (STT)
A government tax charged on trades. It’s non-refundable, even on loss-making trades.
| Trade Type | STT Rate |
|---|---|
| Delivery Buy/Sell | 0.1% on turnover |
| Intraday Sell | 0.025% on turnover |
| F&O Options | 0.05% on premium (sell side) |
| F&O Futures | 0.01% on turnover (sell side) |
3. Goods & Services Tax (GST)
GST is charged at 18% on the total of brokerage, exchange, and SEBI fees.
Example: If brokerage + other charges total ₹100, GST = ₹18.
4. Exchange Transaction Charges
This is paid to the stock exchanges (NSE/BSE) and varies by segment.
| Segment | Approx. Charge |
|---|---|
| Equity | ₹325 per crore |
| Futures | ₹200 per crore |
| Options | ₹5,300 per crore |
5. SEBI Turnover Fees
- Fixed by SEBI at ₹10 per crore across all trades
- Applies uniformly across brokers and platforms
6. Stamp Duty
Collected by your broker on behalf of the state. Applies only on the buy side.
| Segment | Stamp Duty Rate |
|---|---|
| Delivery | 0.015% |
| Intraday | 0.003% |
| Futures | 0.002% |
| Options | 0.003% on premium |
7. DP Charges
Charged by your depository (via the broker) for selling delivery-based shares.
- Typically ₹13.5 + GST (per ISIN per day)
- Doesn’t apply to intraday or derivatives
8. AMC – Annual Maintenance Charges
AMC is charged yearly for demat account maintenance.
| Broker | AMC (Approx.) |
|---|---|
| Zerodha | ₹300/year |
| Upstox | ₹150/year |
| Angel One | ₹240–₹300/year |
Some brokers waive AMC for the first year.
Sample Cost Breakdown (Example: Intraday Trade Worth ₹1 Lakh)
| Charge Type | Amount |
|---|---|
| Brokerage | ₹20 |
| STT | ₹25 |
| Exchange Fee | ₹3.25 |
| SEBI Fee | ₹0.10 |
| GST (18%) | ₹8.14 |
| Total | ₹56.49 |
Summary Table: All Trading Charges
| Fee Type | Applies To | Range (₹) |
|---|---|---|
| Brokerage | Intraday/F&O | ₹20/order (flat) |
| STT | Delivery, Intraday, F&O | 0.01% to 0.1% |
| GST | On all service charges | 18% |
| Exchange Transaction | Per trade | ₹200–₹5,300 per crore |
| SEBI Fee | Per turnover | ₹10 per crore |
| Stamp Duty | Buy orders only | 0.003% to 0.015% |
| DP Charges | Delivery sell | ₹13.5 to ₹20 + GST |
| AMC | Annual (demat) | ₹150–₹500/year |
FAQs
1. Why are brokerage calculators not 100% accurate?
They often skip DP charges, stamp duty, or don’t reflect exact state-based rates.
2. Are these charges the same for all brokers?
Most are standard (like STT, GST), but DP charges and AMC vary between brokers.
3. Can I reduce brokerage costs?
Yes. Use discount brokers, avoid phone-based orders, and consolidate trades when possible.
4. Why is GST charged on brokerage?
Because brokerage is a service, GST is legally applicable to the total service cost.
5. Is AMC charged if I don’t trade?
Yes. AMC applies to demat accounts even if you don’t trade during the year.
