No. You cannot claimed STT as business expenses.
STT will be same expenses as your other taxes and brokerage, Your contract note amount will be your profit and lost. You can add/deduct other expenses rent, electricity, internet etc to your contract note amount.
In case of capital gain, (either long term LTCG or short term STCG), STT cannot be claimed as an expense.
But if you are an active trader, trading F&O, yes STT along with all your other taxes and charges are an expense.
Thanks for your answer. But it turns out that STT, CTT or other taxes can actually be deducted as an expense.
Yes. It is expenses and never reclaim if you are in lost in one financial year. STT was refundable 3-4 years back when you r in lost but govt change the rule.
Claim in the question i meant was showing as an expense in the calculation of income/losses from business. Yes as u say we cannot claim a refund of what STT we have paid.
Do u mean, if we r active trader and we r in lost in the end of financial year, than can we reclaime our STT from govt. ??
You cannot reclaim, but if you are in net loss you can carry forward this loss to next year (upto 8 years) and set it off against any future profits that you would make. Check this blog: https://zerodha.com/z-connect/traders-zone/taxation-for-traders/taxation-simplified
Confusing on second part. Did you mean, if I do both STCG & F&O, while showing profit & loss, I can claim as an expense in F&O, but not in STCG.
Yes as Nithin said you can’t show STT as expense in STCG but you can show STT as expense in F&O if you are showing F&O as business.