Comment on Option Strategy - Zerodha Trader

Nandan Priyadarshi commented on 18 Jan 2018, 02:33 PM

Hi ,
Really Nice Article.
Can you please clarify this below :-
3. STT(Security Transaction Tax charged by the government) for Future is charged on the contract value whereas for options it is charged on the option premium. What this means is if you buy and sell 1 lot of nifty futures at 6000, the turnover generated is Rs 6lks( 3lks+3lks). STT is 0.017% of Rs 3lks which is Rs 51, whereas if you had bought and sold an option with premium Rs 100, the turnover would have been Rs 10,000(5000+5000) and STT of Rs 0.85.
what is Rs 6lks ?
Thanks in advance.

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