An official statement said, there was some confusion regarding tax on
services of stock exchange as announced in the Finance Bill, 2009.
The revenue division has clarified that stock brokers provide services to their
investors and earn commission on the trading.
The new budget proposes to levy GST on these services. At present, the capital
value tax at the rate of 0.2 per cent is charged under the Finance Act, 1991. As
the GST is to be levied from July under the Finance Bill, 2009, an amendment has
been proposed to exclude ‘shares of a public company registered on stock
exchange’ from CVT. |
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