Securities Transaction Tax (STT) is a tax being levied on all transactions done on the stock exchanges at rates
prescribed by the Central Government from time to time. Pursuant to the enactment of the Finance (No.2) Act,
2004, the Government of India notified the Securities Transaction Tax Rules, 2004 and STT came into effect
from October 1, 2004.
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KYC is one time exercise while dealing in securities markets – once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary.