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TypeBare Act JurisdictionCentral Government

Finance (No. 2) Act, 2004 Section 98

Charge of Securities Transaction Tax

~2 min read
https://sooperkanoon.com/act/18870

Bare act section · Research

About this section

Finance (No. 2) Act, 2004 Section 98 is part of Finance (No. 2) Act, 2004 - Charge of Securities Transaction Tax. Read the section text below and explore Indian court judgments that cite it.

Research copy - verify against official government publications before filing or court use.

Section Text

On and from the commencement of this Chapter, there shall be charged a securities transaction tax in respect of the taxable securities transaction specified in column (2) of the Table below, at the rate specified in the corresponding entry in column (3) of the said table, on the value of such transaction and such tax, shall be payable by the purchaser or the seller, specified in the corresponding entry in column (4) of the said Table:

TABLE

Sl. No.

Taxable securities transaction

Rate

Payable by

(1)

(2)

(3)

(4)

1

Purchase of an equity share in a company or a unit of an equity oriented fund, where --

(a) the transaction of such purchase is entered into in a recognised stock exchange; and

(b) the contract for the purchase of such share or unit is settled by the actual delivery or transfer of such share or unit.

1 [0.125 per cent.]

Purchaser

2

Sale of an equity share in a company or a unit of an equity oriented funds, where --

(a) the transaction of such sale is entered into in a recognised stock exchange; and

(b) the contract for the sale of such share or unit is settled by the actual delivery or transfer of such share or unit.

1 [0.125 per cent.]

Seller

3

Sale of an equity share in a company or a unit of an equity oriented fund, where --

(a) the transaction of such sale is entered into in a recognised stock exchange; and

(b) the contract for the sale of such share or unit is settled otherwise than by the actual delivery or transfer of such share of unit.

2 [0.025 per cent.]

Seller

5[4

(a) Sale of an option in securities

0.017 per cent.

Seller

(b) Sale of an option in securities, where option is exercised

0.125 per cent.

Purchaser

(c) Sale of a futures in securities

0.017 per cent.

Seller]

5

Sale of a unit of an equity oriented fund to the Mutual Fund.

4 [0.25 per cent.]

Seller

_________________________________

1. Substituted by the Finance Act, 2006 (21 of 2006) for the figures and words "0.1 per cent." w.e.f 01-06-2006.

2. Substituted by the Finance Act, 2006 (21 of 2006) for the figures and words "0.02 per cent." w.e.f 01-06-2006.

3. Substituted by the Finance Act, 2006 (21 of 2006) for the figures and words "0.0133 per cent." w.e.f 01-06-2006.

4. Substituted by the Finance Act, 2006 (21 of 2006) for the figures and words "0.2 per cent." w.e.f 01-06-2006.

5. Substituted by the Finance Act, 2008 w.e.f. 1st day of June, 2008 for the following :-

"4

Sale of a derivative, where the transaction of such sale is entered into in a recognised stock exchange.

3 [0.017 per cent.]

Seller"

Frequently asked questions

What does Finance (No. 2) Act, 2004 Section 98 provide?

Section Section 98 of the Finance (No. 2) Act, 2004 (Charge of Securities Transaction Tax) is reproduced on this page as part of the Finance (No. 2) Act, 2004. Lawyers and researchers use it to read the statutory wording before checking how courts have applied this section in reported judgments.

How do I find judgments on Finance (No. 2) Act, 2004 Section 98?

Open “Find citing judgments” on this page to search Supreme Court, High Court, and tribunal decisions that reference Finance (No. 2) Act, 2004 Section 98. Advanced act search can narrow results by court, year, or additional act filters.

Is the section text on SooperKanoon official?

SooperKanoon hosts bare act text for research and quick reference. For filings or compliance in Central, confirm the wording against the official state gazette or authorized publication.

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