How to do an off-market transfer to a family member via Zerodha

Tue, 12 May 2026 00:00:00 +0000

Transferring shares from your Zerodha demat account to a family member’s demat account is a common estate-planning and gifting transaction. Under the Income Tax Act, 1961, a transfer of securities at nil consideration (gift) from one individual to a relative is exempt from the provisions of Section 56(2)(x) (gifts taxable as income). Relatives include spouses, siblings, parents, children, in-laws, and certain other lineal descendants as defined in the Act.

The technical process is an off-market transfer executed through CDSL Easiest, identical to a broker-switch transfer except that the target BO ID belongs to a different person rather than the same person at a different broker.

Off-market transfer charges at Zerodha

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

Overview

An off-market transfer is the movement of securities from one demat account to another without involvement of a stock exchange. Unlike exchange-settled trades (where the clearing corporation facilitates delivery), off-market transfers are direct demat-to-demat instructions settled through the depository (CDSL or NSDL) alone. Common scenarios include transferring shares as a gift, inheritance, restructuring of holdings between family members, or consolidating holdings from multiple demat accounts.

At Zerodha , off-market transfers from a client’s CDSL demat account carry a charge of Rs 25 per instruction or 0.03 percent of the transfer value, whichever is higher, plus 18 percent GST. This charge applies to both transfers initiated via the CDSL easiest portal and those processed through physical Delivery Instruction Slips (DIS) submitted to Zerodha.

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How to do an off-market transfer to a family member via Zerodha

Off-market transfer charges at Zerodha

Overview