Service tax on transaction chgs

This query is : Resolved

Share Report Follow Query Ask a Query

manish

manish (Querist)
Follow

24 December 2013 IS THERE SERVICE TAX APPLICABLE ON TRANSACTION CHARGES OF A STOCK BROKER BILL

manish

manish (Querist)
Follow

24 December 2013 PLEASE ANSWER IF ANY SERVICE TAX EXPERT

manish

manish (Querist)
Follow

16 January 2014 can anybody expert please answer

Aashok Kumar Sharma online

Aashok Kumar Sharma online

(Expert)
Follow

24 July 2025 Hi! Regarding your query on **service tax on transaction charges of a stock broker**:

* **Yes, service tax is applicable on transaction charges levied by a stock broker.**
* Transaction charges are considered part of the **"Stock Broker’s Service"**, which is taxable under service tax law.

### Key points:

* The stock broker charges service tax on the brokerage/transaction charges collected from clients.
* The rate of service tax on stock broking services (as per pre-GST regime) was 14% plus applicable cesses (total around 14.5% or 15%).
* The service tax is usually included in the bill/statement sent to the client by the broker.
* If you are a client receiving such bill, you don’t pay service tax separately; it is included in the brokerage invoice.

---

If you want I can help with more detailed examples or legal references. Would you like that?

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

DHANASHRI KARMARKAR

CA Aakarsh Jain

Michael & Co.

divakar podaturu

sachingurav

Subscribe Now

Service tax on transaction chgs

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA