Brokerage and STT in case of Capital Gians

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CA Amit Jaiswal (Querist)
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03 August 2009 Are Brokerage charges paid on trading of securities deductible for calculating Capital Gains??
What will be the treatment for STT paid ?????

chetan soni

chetan soni (Expert)
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03 August 2009 Please note.

STT paid at the time of purchase of shares/units - add this to cost of purchase

STT paid at the time of sale of such shares/units - deduct this form the sales consideration.

Then calculate the capital gains.

CA Amit Jaiswal

CA Amit Jaiswal (Querist)
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03 August 2009 Thanx but this is only about STT. What about Brokerage charges paid ??

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chetan soni

chetan soni (Expert)
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03 August 2009 same treatment.

CA Amit Jaiswal

CA Amit Jaiswal (Querist)
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04 August 2009 Sir, I've come to knoe that if the income is taxable under the head PGBP then STT will be allowable u/s36, but if it is Capital Gain then STT will not be allowable.