The premium is not the only money that changes hands. Every options order also pays brokerage and a set of statutory charges, which are the same at every broker.
| Charge | Rate on index options | Charged on |
|---|---|---|
| Brokerage | Flat ₹20 per order at most discount brokers | Each executed order |
| STT | 0.15% of premium | Sell side |
| Exchange transaction charges | 0.03553% of premium (NSE) | Both sides |
| SEBI turnover fee | ₹10 per crore | Both sides |
| Stamp duty | 0.003% of premium | Buy side |
| GST | 18% | On brokerage, exchange charges and SEBI fee |
Worked example (illustrative numbers)
Buying one Nifty lot (65 units) at ₹100 and selling it at the same ₹100 costs about ₹62.61 in charges for the round trip, even though the price did not move. On a ₹6,500 position that is 0.96%.
Two charges people miss
- STT on exercise. An in-the-money option held to expiry is exercised automatically, and STT is charged on its settlement value rather than on a premium. Compare the two before deciding to hold to expiry.
- Charges on losing trades. Charges are paid whether the trade wins or loses, so they add to losses as well as cut profits.
Use our options calculator to see the full charges for your own numbers. Rates change with budgets and exchange circulars; check your broker's contract note.
Examples use illustrative values, not current market data. This is general education, not investment advice.