Before we dive into the
charges, let's understand what commodity trading is. It's like buying and
selling stocks, but instead of company shares, you're trading things like gold,
silver, oil, wheat, or cotton. These are physical goods that have value.
Main Charges at 5paisa:
- Brokerage Fee: ₹20 per order
- This is what
5paisa charges you for executing your trade, whether you're buying or
selling.
- It's a flat
fee, not a percentage, so it's the same whether you trade ₹1,000 or
₹1,00,000.
- Transaction
Charges:
- This is a fee
the commodity exchange charges, not 5paisa.
- It varies
based on what you're trading: a. Most commodities (Group A- 28
commodities): 0.0026% (about ₹26 for every ₹1,00,000 traded) b. Special
commodities (Group B- 4 commodities):
- Black Pepper:
0.00005% (very low)
- Brass & Castorseed:
0.0005% (low)
- Palm Oil:
0.001% (slightly higher)
- Option
Contracts: Free until March 31, 2021 (a special offer)
- Stamp Duty:
- Think of this
as a legal fee for making the trade official.
- It varies by
state, just like stamp paper costs differ in each state.
- SEBI Fees:
0.00010%
- A tiny fee
that goes to SEBI, the stock market regulator.
- Example: ₹1
for every ₹1,00,000 traded.
- GST (Goods and
Services Tax): 18%
- This is a tax
on the services 5paisa provides.
- It's 18% of
the total of all fees (brokerage, transaction charges, etc.).
- DP (Depository
Participant) Charges:
- This is for
settling your trades.
- Cost: 0.025%
or ₹25, whichever is higher.
- Example: If
your trade value is ₹50,000, you pay ₹25 (not 0.025%, which would be
₹12.50).
- Commodity
Transaction Tax (CTT):
- A special tax
only for commodity trading.
- Rates:
A.
Selling an option: 0.05% (₹50 per ₹1,00,000)
B.
Buying an option and using it: 0.0001% (very low)
C.
Selling a futures contract: 0.01% (₹10 per ₹1,00,000)
In Simple Words:
- Main fee: ₹20 per trade (brokerage)
- Small fees:
Transaction charges, SEBI fee (based on trade value)
- Taxes: GST (18%
on fees) and CTT (varies)
- Other: Stamp
duty (state-based) and ₹25 or more for settlement
Example: Let's say you buy
gold worth ₹1,00,000 and later sell it:
- Brokerage: ₹20 x 2 (buy + sell) = ₹40
- Transaction
charges: ₹26 x 2 = ₹52
- SEBI fee: ₹1 x
2 = ₹2
- GST: 18% of
(₹40 + ₹52 + ₹2) = ₹17
- DP charges: ₹25
(for settlement)
- CTT: 0.01% of
₹1,00,000 (on sell) = ₹10
- Stamp duty:
Let's say ₹10 in your state
Total costs: About ₹156
(plus stamp duty)
Remember:
- Costs add up with each trade.
- Some fees are
percentages, so they grow with larger trades.
- Always consider
these costs when planning your trades.