Off-market deal of shares

ars (Querist) 04 December 2014 This query is : Resolved

I have been given to understand that the off-market deal in shares of a listed co. is subject to tax, irrespective of holding time, at the current income tax slab applicable to the seller.

this is because he is not paying STT at the time of trade.

if that is the case then can one enter into block deal at the exchange itself and do the trade by paying STT? and save tax.

What is current STT rate?

Kindly comment .

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ajay sethi (Expert) 04 December 2014
raise query in ca clubindia .com

For sale of these shares, 0.1% is charged on the turnover. For equity MFs, you will now pay 0.001% on redemption. For equity intraday trades, there is no STT on buying, but on sale you pay 0.025% on the turnover. On equity futures transactions the STT applicable is at the time of selling at a rate of .01% of turnover.