Calculating Other Charges (Apart from brokerage)

Roops · #1 11th August 2008, 01:14 AM

Hi

I am a day trader (sometimes short term) trading with Sharekhan. At the EOD when I review my transactions I get several expenses (taxes) apart from brokerage levied on me. I wonder how they calculate these figures that seem to be coming from nowhere. Offcourse while browsing this forum (and also others) I found out some of them, but still confused if my conclusions are right. Below I list all the heads I find there and also my calculations:-

Service Tax: 12.36% on Brokerage
STT : --no idea--
Stamp Charges: --no idea--
Turn Over Charges: 0.0035% on total Turnover
DP Charges: --no idea--
Edu Cess: 0.025% on brokerage
HEdu Cess: half of Edu Cess

Can any body tell me if I am right about these calculations. Also can somebody guide me on how to calculate the "--no idea--" heads? Please help.

Thanks in advance.

vpsarathy · #2 11th August 2008, 03:27 AM

Quote:

Originally Posted by Roops

Hi

I am a day trader (sometimes short term) trading with Sharekhan. At the EOD when I review my transactions I get several expenses (taxes) apart from brokerage levied on me. I wonder how they calculate these figures that seem to be coming from nowhere. Offcourse while browsing this forum (and also others) I found out some of them, but still confused if my conclusions are right. Below I list all the heads I find there and also my calculations:-

Service Tax: 12.36% on Brokerage
STT : --no idea--
Stamp Charges: --no idea--
Turn Over Charges: 0.0035% on total Turnover
DP Charges: --no idea--
Edu Cess: 0.025% on brokerage
HEdu Cess: half of Edu Cess

Can any body tell me if I am right about these calculations. Also can somebody guide me on how to calculate the "--no idea--" heads? Please help.

Thanks in advance.

I wrote Sharekhan help line ppl a no of times. They couldnot help but just sent me the rates. Unable to understand I asked them to show me example of calculations. They havenot done that till date. from ay 15th STT calculation is slightly varied. I have no details.

This is what they sent me:--
Dear Sir / Madam,

Thank you for writing in.

We would like to inform you that we have below mentioned the Transaction charges for your account.

The Transaction Charges are :-

NATURE OF TRANSACTION - RATE OF STT (Charged on Traded Value)

Delivery based transaction in equity - Buyer and seller each to pay 0.125%

Non-delivery based transaction in equity - Seller to pay 0.025%

Derivatives (F&O) - Seller to pay 0.017%

Stamp Duty 0.010% for delivery based trades and 0.002% for intra-day trades.

Service Tax 12.36% on Brokerage (12% Service Tax + 3% Surcharge on Service Tax)

Turnover Tax 0.0035% of traded value ( cash segment ) and 0.0023% for Futures on actual rate and 0.0512% on premium.

Would you require any further assistance do write to us and we shall be glad to assist you at the earliest.

Thank you for visiting www.sharekhan.com

Assuring you of our best services at all times and looking forward to a long and pleasant association.

Regards,

Team Sharekhan
hope this is useful to you.

vps

kcubes · #3 12th August 2008, 05:01 PM

Apart from brokerage other taxes are as in the file attached.

In the file 'Taxes', Reliance Money tab was made by me after understanding the same on the phone through the helpdesk people. It has given me exact calculations which I've matched with the contract notes that they have sent. Most of the times it is exact upto the last paise and sometimes 5-10 paise difference comes, but that is understandable.

The Unicon Investments tab was mailed to me from Unicon Investments. I haven't tried it so far but am attaching as it was mailed to me.

Do note Service Tax of 12.36% is levied on brokerage butas the brokerage in Reliance Money comes as Rs. 0.01/-, the Service Tax becomes zero and so is not mentioned in the Reliance Money tab. But note that it is applicable.

Also I have a feeling that though the charges are decided by the exchanges and/or sebi, there is always slightly different way of calculating the same by different brokers and so there will be some difference in the final amount after taxes are levied (though it will be negligible). So I'ld request you to check the same with respective brokers for exact calculations.

Else you could go with the 'Taxes - Reliance Money' file for reference.

Hope this is useful as is in tabular form.

Regards,

kcubes.

columbus · #4 12th August 2008, 06:26 PM

Quote:

Originally Posted by kcubes

Apart from brokerage other taxes are as in the file attached.

To my knowledge STT is only only one side (SELL side).

vpsarathy · #5 12th August 2008, 08:15 PM

Quote:

Originally Posted by columbus

To my knowledge STT is only only one side (SELL side).

I have verified that STTapplies to both sell and buy sides. In case os Intraday trade it applies only to sell side. I am sure because I check with Digital Contract copy which I get every night by email

vps

kcubes · #6 13th August 2008, 09:50 AM

Quote:

Originally Posted by columbus

To my knowledge STT is only only one side (SELL side).

The Taxes file that I've attached is correct (specially Reliance Money tab) and I've been verifying the same by comparing it with my contract notes that I receive from Reliance Money for the last one and half year. So rest assured that the data provided is true and safe to use for daily calculations.

Quote:

Originally Posted by vpsarathy

I have verified that STTapplies to both sell and buy sides. In case os Intraday trade it applies only to sell side. I am sure because I check with Digital Contract copy which I get every night by email

vps

The same is also verified by vpsarathy in the post above.

So dont worry.

kcubes.

The Following 2 Users Say Thank You to vpsarathy For This Useful Post:
jstraju (12th August 2008), Roops (12th August 2008)

The Following 5 Users Say Thank You to kcubes For This Useful Post:
columbus (12th August 2008), learn2trade08 (12th August 2008), mbn (4th November 2008), muralitr (13th August 2008), novice1 (15th August 2008)

The Following User Says Thank You to columbus For This Useful Post:
learn2trade08 (12th August 2008)