F&O charges: STT, GST and stamp duty explained
Charges are the one part of trading you can know exactly before you trade. SEBI's own study found individual F&O traders paid about ₹50,000 crore in transaction costs over three years. Here is what each charge is and how to work it out.
The six charges
| Charge | Options | Futures | Who sets it |
|---|---|---|---|
| Brokerage | Your broker (often ₹20 per order) | Your broker | Broker |
| STT (securities transaction tax) | 0.15% of premium, sell side | 0.05% of value, sell side | Government |
| Exchange transaction charges (NSE) | 0.03503% of premium | 0.00173% of value | Exchange |
| SEBI turnover fee | ₹10 per crore | ₹10 per crore | SEBI |
| Stamp duty (buy side) | 0.003% | 0.002% | Government |
| GST | 18% on brokerage + exchange charges + SEBI fee | Government | |
Rates used in our Trade Planner from 1 April 2026. BSE options are charged at NSE rates in our planner (a close estimate). Check your broker's contract note for your exact charges.
How to calculate it yourself
Work out the buy value (price x quantity when you buy) and the sell value (price x quantity when you sell). For options, the price is the premium. Then:
- STT = sell value x the STT rate
- Exchange = (buy value + sell value) x the exchange rate
- SEBI fee = (buy value + sell value) x ₹10 / 1 crore
- Stamp duty = buy value x the stamp rate
- GST = 18% x (brokerage + exchange + SEBI fee)
Worked example: options
1 NIFTY lot (65 units), buy at ₹120 and sell at ₹150. Buy value ₹7,800, sell value ₹9,750, brokerage ₹20 per order.
STT ₹14.62 · exchange ₹6.15 · SEBI ₹0.02 · stamp ₹0.23 · brokerage ₹40 · GST ₹8.31 → ₹69.33. Brokerage and GST are most of it on a small option trade.
Worked example: futures
1 NIFTY futures lot (65), buy at 25,150, sell at 25,250. Buy value ₹16,34,750, sell value ₹16,41,250.
STT ₹820.62 · exchange ₹56.67 · SEBI ₹3.28 · stamp ₹32.70 · brokerage ₹40 · GST ₹17.99 → ₹971.26. Here STT is most of it, because it is charged on the full value.
Why charges matter more than they look
SEBI's September 2024 study found individual traders spent about ₹50,000 crore on F&O transaction costs from FY22 to FY24, while their total losses were over ₹1.8 lakh crore - so costs were a large part of the losses. SEBI's August 2026 report says individuals paid about ₹25,000 crore in transaction costs in each of FY25 and FY26.
A strategy that makes a small profit per trade before costs can easily lose after them. Before you trade often, multiply your charge per round trip by the number of trades you plan in a month.
Quick rule: if your typical profit target on an option trade is under 5 times your round-trip charges, the charges will take a big slice even when you are right.
Charges per month, not per trade
One round trip of about ₹65-70 on a small option trade looks harmless. The real question is how many you do:
| Option round trips | Per month (20 trading days) | Per year (250 days) |
|---|---|---|
| 2 a day | about ₹2,800 | about ₹34,500 |
| 5 a day | about ₹7,000 | about ₹86,000 |
| 10 a day | about ₹14,000 | about ₹1,72,000 |
Using about ₹69 per round trip on one NIFTY lot at a ₹120-150 premium with ₹20 brokerage per order. More lots, higher premiums or futures cost more.
To simply break even on charges at 5 trades a day, you would need to make about ₹86,000 a year in trading profit first. Compare that with your account size before choosing how often to trade.
Charges that are not on this list
- Slippage: the gap between the price you saw and the price you got, often bigger than all the charges on fast moves.
- DP charges apply to selling delivery shares, not to F&O.
- Income tax on F&O profit is separate; F&O is usually treated as business income - ask a tax adviser.
General information about the past and about your own numbers. Not financial advice and not a recommendation. It does not consider your goals or situation.
Frequently asked questions
- How is STT calculated on options?
- In our planner (rates from 1 April 2026), STT on options is 0.15% of the premium value on the sell side. On futures it is 0.05% of the contract value on the sell side.
- Is GST charged on STT?
- No. GST at 18% is charged on brokerage, exchange charges and the SEBI fee, not on STT or stamp duty.
- Why are futures charges so much higher than options charges?
- Because STT and other fees on futures are charged on the full contract value, which is much larger than an option premium.
- Where can I see my real charges?
- On your broker's contract note for each trading day. Our planner is an estimate to plan before you trade.
See every charge before you trade
The Trade Planner adds brokerage, STT, exchange charges, SEBI fee, stamp duty and GST for your exact trade.