Question

Which of the following statement is true for Securities Transaction Tax (STT)?

• A. Levied on the buying or selling of shares in the stock market.
• B. Also known as inheritance tax.
• C. Imposed on the transaction of commodities in commodity exchanges.
• D. Introduced in 2022-23.

Hint:

STT ensures easy tax compliance for stock market transactions

Answer 1

The Correct Option is A

STT is a tax imposed on transactions involving shares and securities on stock exchanges. It is distinct from taxes like inheritance tax or commodity transaction taxes and was introduced earlier than 2022-23.