DIPAK AGARWAL (Service) (554 Points)
21 August 2009Whether STT is allowable expenses w.e.f.1-4-08 means to say it will be not disallowed while calculating income tax liability. & hence will be added as cost of share purchased & to be reduced from sale price of shares.
pl. also let me know if the same was published in any notifiation/circulars
CA Kingsley
(Audit Manager)
(470 Points)
Replied 22 August 2009
STT can be claimed as deduction only if you have held the shares as stock and trade. This is for those who purchase and sell large amounts of shares. But if you hold the shares as capital asset (where transactions are relatively low), then you wont get deduction for stt.
CAclubindia
