n NISM Certifications
V-A NISM Series V-A
Medium

Securities Transaction Tax (STT) is applicable on redemption of both Equity mutual funds and Debt mutual funds. True or False?

Practice question from NISM Series V A - Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    True

  2. False

    Correct answer

Why this is the answer

STT is not applicable on transactions involving debt securities or debt mutual fund schemes. It only applies to equity mutual fund transactions.

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