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Market Intelligence › Basic Terminologies
Where brokerage, STT, stamp duty and the other charges show up
Published by The Retail Trader · AUG 09, 2026 · Compliance & Regulation
After every trading day a contract note arrives, which most people never open. It is that day's legal record, and it is the one place where your actual cost is written down.
The time, quantity and price of each trade, and above that all the charges on separate lines. Brokerage is only one line — the other lines are statutory charges.
This same document becomes the evidence in a dispute, and it is the base for tax filing.
These are different things and go to different parties:
• Brokerage is the broker's fee — only this one is negotiable.
• STT is a tax levied on the trade, and it differs by segment.
• Exchange transaction charges belong to the exchange.
• Stamp duty, SEBI turnover fees and GST are also separate lines.
Once a month, compare your total charges with your total profit. In many active accounts that ratio alone gives the full answer on whether the strategy is working or only activity is happening.
This article is for education only — it is not a buy or sell recommendation, makes no claim of guaranteed returns, and is not advisory. Rules, rates and mechanics change from time to time with the exchange, SEBI and RBI, so verify every number yourself with your broker or an official source.