GST on broking charges in India

Mon, 11 May 2026 00:00:00 +0000

Overview

Goods and Services Tax (GST) at 18 percent is levied on the service charges associated with securities trading in India. At Zerodha, GST applies to three components: brokerage, exchange transaction charges, and the SEBI turnover fee. It does not apply to Securities Transaction Tax, stamp duty, or the IPFT levy, which are statutory taxes or trust levies, not service fees.

For most active traders, GST on broking charges is a meaningful cost component. On large trades where brokerage is Rs 20 and exchange charges might be Rs 5, GST adds Rs 4.50 to the total debit. On delivery trades where brokerage is zero, GST is charged only on the exchange charge and SEBI fee, reducing to approximately Rs 0.55 per Rs 1,00,000 of turnover.

18% GST on WebNotes

GST on broking charges in India

Overview