F&O STT hike a conscious decision: FM

AS changes in the Securities Transaction Tax (STT) on Sunday roiled the markets, the government described the move as aconscious step to discourage speculative trading.

- PUSHPITA DEY @NewDelhi

“There has not been any other change in STT except the ones relating to speculation, which is highly risky. We often receive messages that people without adequate savings are incurring heavy losses due to such speculation,” Finance minister Nirmala Sitharaman said during the post-Budget media briefing.One of the most notable changes relates to STT on futures and options (F&O) trading. The Budget raised STT on futures contracts to 0.05% from 0.02% and on options to 0.15% from 0.10%. As per the ministry, the move is aimed at curbing speculative activity in the derivatives market.