Before GST, for pledging a stock you charged ₹60/- per script…but after GST you are charging ₹60+GST…= ₹70.8/- per script…
Here can you clarify whether that GST amount of ₹ 10.8 goes to government account or Zerodha account…if you have prove then please clarify…
Nitin please comment…
Since GST has gone live, we’ve made it a point to include GST on all of our services, regardless of whether service tax was charged on these services pre-GST. We’ve missed charging Service tax on the pledging services we provide but we’ve ensured that GST is charged on all our services.
The GST charge is levied by the Government of India and it is not an additional charge by Zerodha.
When you decide to pledge shares, the shares have to be transferred from one demat account to another and to transfer the Depository charges a transaction fee. Since the transaction fee charged on such share transfers falls under the purview of the GST Act, GST @ 18% is levied over and above such transaction fee. Earlier we were levying service tax on it and were absorbing the service tax, but now we’re charging GST over the actual transfer fee. We don’t earn anything out of the levy & as Bharath’s said, the GST is paid to the Government.
Earlier no service tax was charged on pledging a stock…a flat fee of ₹60 was charged but after live of GST why it is charged alongwith pledging charge…which amounts to 70.8
