Understand
Brokerage Charges
on Trading

Brokerage Charges on Trading

IIFL as a Stockbroker make up for a crucial link between the stock exchanges and the investors. They provide specialised services and execute various transactions to assist investors in the trading process. These stockbrokers charge a small fee called brokerage fee for managing and providing services such as buying, selling, negotiations, consultations, and delivery. This fee is the main source of income for stockbrokers.

Charges Explained

SECURITIES / COMMODITIES TRANSACTION TAX

• The government levies this tax on investors and traders when making transactions on the stock exchanges. Levied on both buy and sell orders in case of equity delivery
and only on sell orders if the trade is Intraday or F&O.

TRANSACTION CHARGES

• Transaction charges include exchange transaction charges levied by Exchange (BSE, NSE, MCX) on all trades and clearing charges levied by Clearing member (NSSL) for settling CDS & MCX transactions. It is generally specified in terms of rupees per crore of turnover.

CALL & TRADE

An Additional Charge of Rs 50 will be levied, if:

• Orders are placed through our support or dealing desk.
• Squaring off of Intraday orders (MIS/BO/CO) through our RMS team before the closing of the market.
• In case the entry order is executed by investors in multiple trades, Stop Loss/Target Orders will be placed separately for Bracket Orders. All brokerage charges, including Call & Trade, will be billed per executed order for auto square off.

GST

• The Goods and Services Tax is levied by the government on the services provided. For brokerage and transaction charges, the GST is levied at 18%.

STAMP CHARGES

• Stamp Charges are levied on shares, debentures, currency, derivatives etc. The government has revised the Stamp Duty Rates from July 1, 2020. Please refer to the brokerage table above for the current rates.

SEBI CHARGES

• SEBI charges flat Rs 5 per crore of turnover or transaction value as a charge for regulating and managing the financial markets.

ACCOUNT MAINTENANCE CHARGES (AMC)

0 (zero) for the first year. Rs 250 + GST from the next year onwards.

DEPOSITORY PARTICIPANT (DP) CHARGES

These charges are levied by IIFL (Participant) and CDSL, NSDL (Depositories) together. The charges are Rs 25 + GST per scrip (irrespective of the order quantity) on the day of selling stocks.

PLEDGING CHARGES

• The Pledging Charges are Rs 10 + GST per pledge request.

PHYSICAL CMR REQUEST

• Physical printing (when requested) Rs 100 + Rs 40 (Postal Charges) + 18% GST for following requests.

PAYMENT GATEWAY CHARGES

• Zero per transaction