Securities Transaction Tax

Collection and recovery of securities transaction tax.

100. (1) Every recognised stock exchange shall collect the securities transaction tax from every person, being a purchaser or a seller, as the case may be, who enters into a taxable securities transaction in that stock exchange, at the rates specified in section 98.

(2) The prescribed person in the case of every Mutual Fund [or insurance company] shall collect the securities transaction tax from every person who sells a unit to that Mutual Fund [or insurance company], at the rate specified in section 98.

[(2A) The lead merchant banker appointed by the company in respect of an initial public offer shall collect the securities transaction tax from every person who enters into a taxable securities transaction referred to in sub-clause (aa) of clause (13) of section 97 at the rate specified in section 98.]

[(2B) The lead merchant banker appointed by the business trust in respect of an initial offer shall collect the securities transaction tax from every person who enters into a taxable securities transaction referred to in sub-clause (ab) of clause (13) of section 97 at the rates specified in section 98.]

(3) The securities transaction tax collected during any calendar month in accordance with the provisions of sub-section (1) or sub-section (2) [or sub-section (2A)] [or sub-section (2B)], shall be paid by every recognised stock exchange or by the prescribed person in the case of every Mutual Fund [or insurance company][or the lead merchant banker in the case of an initial public offer] [or an initial offer], as the case may be, to the credit of the Central Government by the seventh day of the month immediately following the .... To read the full section download the app from Google Play store