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Zerodha Brokerage is one of the least in the industry and in fact delivery trades are completely free and just taxes are levied. However, there are other sorts of charges that you must know of before you open an account.
We will discuss all such sorts of charges, be it STT, Transaction Charges, Stamp Duty, GST or Goods and Service Tax etc. All your trades will have these charges added before your profit is calculated.
Let’s take a close look!
Zerodha Brokerage – Basics
Zerodha, the first discount stockbroker in India, provides one of the lowest brokerage charges across trading segments. Apart from that, the discount broker is known for various other propositions such as:
- High-Performance Trading Platforms
- Free Delivery Trades
- Investing allowed across multiple trading segments including Equity, Commodity, Currency, Mutual funds etc.
More more details, check this complete Zerodha Review.
When it comes to brokerage charges, the discount broker has kept a maximum cap of ₹20 per executed trade, be it any segment. Furthermore, the brokerage can be even less depending on your trade value.
Apart from Brokerage, you are charged the following as well:
- Brokerage – Amount a stockbroker (here, Zerodha) charges for providing trading services to you.
- STT – Securities Transaction Tax is charged by the Government of India.
- Transaction Charges – a charge levied by specific exchanges (NSE or BSE)
- SEBI Charges – SEBI is a regulatory body in the Indian stock market ecosystem and charges specific rates on your trades.
- GST – the much-talked-about Goods and Service tax is levied on the sum of brokerage generated and transaction charges.
- Stamp Duty – is levied by your specific state in India and it varies based on the state you opened your trading account in.
For complete details, let’s check the Zerodha brokerage charges across different segments:
Zerodha Brokerage Charges – Equity Delivery
The Equity Delivery Trades have ₹0 Brokerage attached to them. In other words, if you buy a stock today and sell it on any other day – then you will not be charged any brokerage. Yes, there will be few taxes and other charges but as far as the brokerage is concerned, you will not pay anything for such trades.
Here are the details:
Now, how does the calculation works? To get an answer to that obvious question, you can check the Zerodha Brokerage Calculator.
Zerodha Brokerage Charges – Equity Intra-day
If you are someone who trades at an intra-day level i.e. buys and sells the stocks on the same trading day, you will be levied a maximum of ₹20 per executed trade. Although most of the other charges remain the same, except the STT which is much lower as compared to Delivery trading.
Here are the details:
Check the Zerodha Brokerage Calculator for complete calculation on your Intra-day trades.
Zerodha Brokerage Charges – Equity Futures
For traders preferring to trade in futures segment, the brokerage charges remain the same as Intra-day trades but the STT and Transaction charges see a dip.
Here are the details:
You can check the Zerodha Brokerage Calculator for complete calculation on your Equity Futures trades.
Zerodha Brokerage Charges – Equity Options
In Options Trading, Zerodha Brokerage charges are set flat at ₹20 per executed trade without any dependency on your trade value. Thus, even if your trade value is ₹100, the brokerage will still be ₹20.
At the same time, STT charges increase as compared to futures segment while Transaction charges are at their highest value for this segment. Here are the complete details:
You can check the Zerodha Brokerage Calculator for complete calculation on your Equity Options trades.
Zerodha Brokerage Charges – Currency Futures
Moving on and talking about Currency Segment, let’s see what you will end up paying if you trade in currency futures segment. This needs to be told that there are no STT charges when it comes to currency segment and transaction charges are relatively low too.
Here are the complete details:
You can check the Zerodha Brokerage Calculator for complete calculation on your Currency Futures trades.
Zerodha Brokerage Charges – Currency Options
When you trade in currency options, there is not much of a difference as compared to currency futures as far as the total payment is concerned apart from the transaction charges.
Check the details:
You can check the Zerodha Brokerage Calculator for complete calculation on your Currency Options trades.
Zerodha Brokerage Charges – Commodity Futures
Finally, when we talk about commodity trading, the brokerage charges stay in the same range but there are some segregations made in STT charges for agri and non-agri based commodities.
Here are the Commodity futures details:
You can check the Zerodha Brokerage Calculator for complete calculation on your Commodity Futures trades.
Zerodha Brokerage Charges – Commodity Options
And as far as Commodity option is concerned, you will end up paying 5 times STT you would have paid for commodity futures trading but rest of the charges remain more or less similar.
You can check the Zerodha Brokerage Calculator for complete calculation on your Commodity Options trades.
As mentioned above, apart from brokerage there are other charges you are supposed to shell out in your trades. Transaction charges are levied by Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) and are a small percentage of your trade value.
In other words, higher your trade value – higher is the transaction charge you end up paying. But still, the percentage value is very miniscule as shown below:
Zerodha Account Opening and Maintenance Charges
If you open your account with this discount stockbroker, you will be required to pay some upfront costs as Account Opening Charges.
Furthermore, it depends on the kind of trading account you open with Zerodha. Here are the details:
Zerodha Stamp Duty Charges
As mentioned above, stamp duty varies based on your state in India and correspondingly charges are levied on your trades. Some trades charge a percentage of your trade value, others have a maximum cap on a daily basis while a few levies a flat rate of Stamp duty on a day level basis.
Zerodha – Other Charges
Apart from all the charges mentioned above, there could be few more charges that Zerodha might levy on you. However, these charges are not generically applied to everyone and are only applicable if you actually use any of these services.
Thus, be wary of these charges before using those unless you want to get surprised later. Here are the details:
This sums up this piece on Zerodha Brokerage charges. We have tried to cover as many specific details as possible. However, if you have any comments or queries regarding the different charges levied by this discount stockbroker – feel free to add your thoughts in the comments section below.
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