How to close a Zerodha account

From WebNotes, a public knowledge base. Last updated 12 May 2026. Reading time ~9 min. Level: Intermediate.

This guide explains how to permanently close a Zerodha demat and trading account, covering prerequisites, the form submission process, and what happens to any residual holdings or balance.

Step 1: Settle all open positions and outstanding dues

Log in to Zerodha Kite and confirm that the Positions tab shows no open intraday, futures, or options positions. Check the Console equity dashboard to verify that your MTM (mark-to-market) balance is zero or positive.

Check for any outstanding AMC charges or other fees in Console under Profile > Account history. Pay any pending dues by adding funds through the usual UPI or net banking method. Zerodha will not process a closure request if there is an unpaid debit balance.

Step 2: Transfer or sell all holdings

Your demat account holdings must be reduced to zero before the account can be closed.

Option A, Sell holdings: Log in to Kite and sell all securities during market hours. Settlement follows a T+1 cycle; funds from equity sales are credited to your trading account on the next business day.

Option B, Transfer holdings to another demat account: If you wish to retain the shares rather than selling them, initiate an off-market transfer to another demat account (for example, a demat account at another broker). See the guide How to transfer shares from Zerodha to another broker for the complete procedure. Transfer charges of Rs 25 + 18% GST per instruction apply via CDSL Easiest.

If you hold mutual fund units through Zerodha Coin, redeem them or transfer the units to another platform. Coin-held mutual fund units are held in demat form and can be transferred or redeemed before closure.

Step 3: Withdraw all funds

After positions are closed and share sales have settled, the entire balance in the trading account should be available for withdrawal.

Log in to Kite and navigate to Funds > Withdraw. Enter the full available balance and confirm the withdrawal. Withdrawals to the linked bank account are processed within one business day for most banks. Verify receipt in your bank statement before proceeding.

Step 4: Download and complete the closure form

Zerodha does not provide a fully online closure workflow (as of 2025); the process requires a signed physical form submitted digitally by scan/email.

Visit support.zerodha.com and search for “account closure form”. Download the PDF.
Print the form (or fill it digitally using a PDF editor that supports signatures).
Fill in:
- Client ID (your Zerodha BO ID, typically starting with ZO)
- Full name as per your account
- PAN number
- Closure type: Select whether you are closing only the trading account, or both the trading account and the associated CDSL demat account.
- Reason for closure (optional field; common choices include “switching broker”, “no longer trading”, “consolidating accounts”)
Sign the form in the box provided. The signature must match the signature on your Zerodha account records. If your signature has changed, submit a signature update first (see How to update signature on Zerodha).

If you are closing only the trading account while retaining the demat account (to move to another DP later), indicate this clearly. The demat account can remain open independently, though the AMC continues to be charged.

Step 5: Submit the form

By email (recommended): Scan or photograph the signed form clearly. Email it to closure@zerodha.com with the subject line: Account closure request – [Your Client ID]. Attach a copy of your PAN card and a screenshot of your Zerodha Kite login showing the zero-balance portfolio for confirmation.

By courier: Send the original signed form to:

Zerodha Broking Limited
#153/154, 4th Cross, Dollars Colony
J.P. Nagar 4th Phase
Bengaluru – 560 078
Karnataka, India

Zerodha acknowledges receipt of the closure form by email, typically within two business days.

Step 6: Await processing and confirmation

After acknowledgement, Zerodha processes the closure in 7–14 business days. During this period:

The trading account is marked inactive; no new orders can be placed.
The demat account (if closure was requested) is deregistered as a beneficial owner account with CDSL.
You receive a closure confirmation email from Zerodha.

Keep a copy of the closure confirmation email for your records. Once closed, the Client ID is deactivated and cannot be reused.

What can go wrong

Residual holdings block closure: Even a single share remaining in demat will cause the closure request to be rejected. Verify in Console that total demat holdings are zero.
Unsettled funds: If the closure form is submitted before T+1 equity settlement, Zerodha will ask you to withdraw the unsettled amount separately, delaying the process.
Signature mismatch: The closure form signature is verified against records. A mismatch results in rejection. Submit a signature update request first if needed.
Pending charges: Outstanding AMC, interest on margin, or other fees must be paid before closure proceeds. Check the ledger in Console.
Active SIPs or GTT orders: Cancel all standing instructions (systematic investment plans via Coin, GTT orders on Kite) before submitting the closure form. Active instructions may result in rejection.
Tax implications of selling holdings: Selling shares to clear the demat triggers capital gains. Consult a tax adviser if the gains are material.

After account closure

Once closed, you will no longer receive contract notes, account statements, or margin reports from Zerodha. However, you retain the right to access historic contract notes and tax statements for the period your account was active; contact Zerodha support with your Client ID to request these if needed after closure.

Annual Information Statements (AIS) from the Income Tax Department and your CDSL Consolidated Account Statement (CAS) will continue to reflect historical transactions even after the account is closed.

If you opened a new account with another broker using the same PAN, your central KYC record (held with the relevant KRA) remains valid and can be relied upon by the new broker.

References

SEBI, Depositories and Participants Regulations, 2018, Regulation 50–54 (beneficial owner account closure procedures).
CDSL Operational Instruction No. OI-00-047, Closure of Beneficial Owner Accounts.
Zerodha Support, “How do I close my Zerodha account?”, support.zerodha.com (accessed May 2026).
SEBI Circular No. SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2023/010, 6 January 2023, Streamlining of demat account operations.

WebNotes Editorial Team prepares factual how-to guides based on publicly available regulatory documents and broker disclosures. WebNotes is not affiliated with Zerodha Broking Limited. Procedures and charges are subject to change; verify current requirements at support.zerodha.com before acting.

Reviewed and published by

WebNotes Editorial Team

The WebNotes Editorial Team covers Indian capital markets, payments infrastructure and retail investor procedures. Every article is fact-checked against primary sources, principally SEBI circulars and master directions, NPCI specifications and the official support documentation published by the intermediary in question. Drafts go through a second-pair-of-eyes review and a separate compliance read before publication, and revisions are tracked against the SEBI and NPCI rule changes referenced in the methodology section.

Last reviewed: 12 May 2026
Conflicts of interest: WebNotes is independent. No relationship with any broker, registrar or bank named in this article.

Time required	7–14 business days after form submission
Cost	Nil (closure itself is free; transfer-out charges apply separately)
Form	Account closure form (downloadable from support.zerodha.com)