Announcements

The recently levied STT on F&O trades has created a lot of speculation in trading circles across the nation. Here’s a low-down of what we’ve gathered from various sources to simplify the hike in STT for you.

In the Finance Bill 2023, passed by the Lok Sabha on March 24, 2023, the Securities Transaction Tax (STT) on Futures & Options trades was increased by 25%. According to the Bill, the STT has been hiked from Rs. 1700 on a turnover of Rs. 1 crore to Rs. 2100 on the sale of Futures, and increased to Rs. 1250 from Rs. 1000 on a turnover of Rs. 1 crore on the sale of Options. For Options, the STT is levied on the Premium and not the Strike Price.

This hike will mostly impact the volumes churned by High-Frequency Traders (HFT) with regard to high-octane automated machines. It is estimated that 95% of India’s equity market volume is concentrated in derivatives and that the majority are HFTs. It will also increase the cost of operations for HFT foreign portfolio investors (FPIs) in India.

What is Securities Transaction Tax (STT)?

STT is a type of direct tax levied on transactions of securities like Equity, Futures and Options, and Mutual Funds. This was first introduced in 2004 and is levied only on transactions via the Stock Exchange. It was introduced to avoid tax evasion resulting from capital gains.

The government plans to collect more than Rs. 20000 crores in STT from the Stock markets by the end of March 2023. According to the Union Budget disclosures, the STT collected for the year 2022 was Rs. 23191 crores. 

Offer for Sale of below company is open in BSE/NSE. To Place your OFS Request:

A stock sub-division or stock split is a corporate action in which a company increases the number of its outstanding shares by issuing more shares to its existing shareholders.

As per a recent circular, 1 equity share of Vivanza Biosciences Ltd. (Scrip Code: 530057) will be subdivided into 10 equity shares. The key dates for the same are as follows:

Refer: BSE circular

A Bonus Issue is one of the corporate actions where a company issues bonus shares as new or additional shares, free of cost and in proportion to the shares held by the shareholder.

As per the recent BSE circular, Magellanic Cloud Ltd. (Scrip Code: 538891) is issuing 3 bonus shares for every 1 existing share. The key dates for the Bonus Issue are as follows:

Refer: BSE circular

Udayshivakumar Infra Ltd. is engaged in the business of construction of roads including national highways, state highways, district roads, and smart roads. It also undertakes constructions of bridges across major and minor rivers, railway over bridges, construction of major and minor irrigation and canal projects, industrial areas, based in the state of Karnataka.

The below table has important dates with respect to the IPO allotment and listing.

How to Check Allotment Status

In case you have not been allotted for any partial allotment of IPO shares, the blocked amount, if any, will be unblocked/released on or before UPI mandate expiry date as mentioned in the above table. Please reach out to your bank in case funds are not unblocked/released post the mandate expiry date.

A stock sub-division or stock split is a corporate action in which a company increases the number of its outstanding shares by issuing more shares to its existing shareholders.

As per a recent circular, 1 equity share of Hi-Tech Pipes Ltd. (Scrip Code: 543411) will be subdivided into 10 equity shares. The key dates for the same are as follows:

Refer: BSE circular

As per a recent circular, the name of Everlon Synthetics Ltd. (Scrip code: 514358) will be changed as follows w.e.f 16-Mar-23.

Refer: BSE Circular

22-Mar-23 is a Settlement Holiday due to Gudi Padwa. The Currency Segment will be closed on this day for trading. However, other segments are open for Trading.

What this means for you:

Just so you know: Settlement holidays refer to days when markets (except the Currency segment) are open for trading but when Depositories and/or Banks are closed. Due to this, all trades done during that day will be settled on the next settlement cycle, as per the respective segments.

A stock sub-division or stock split is a corporate action in which a company increases the number of its outstanding shares by issuing more shares to its existing shareholders.

As per a recent circular, 1 equity share of Medico Remedies Ltd. (Scrip Code: 540937) will be subdivided into 5 equity shares. The key dates for the same are as follows:

Refer: BSE circular

Bonus Issue is one of the corporate actions where a company issues bonus shares as new or additional shares, free of cost and in proportion to the shares held by the shareholders.

As per the recent NSE circular, Astral Ltd. is issuing 1 bonus share for every 3 existing shares held. The key dates for the Bonus Issue are as follows:

In pursuant to the bonus issue of equity shares, the market lot size for F&O contracts of Astral Ltd. will be revised w.e.f. 14-Mar-23 as follows:

Refer: BSE circular | NSE Circular