Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: General Practice

Q5: With reference to the Securities Transaction Tax (STT) changes proposed in the Union Budget 2026-27, which of the following statements is or are correct?

The STT on the sale of Futures has been increased from 0.02% to 0.05%.




The STT on the sale of Options has been increased from 0.1% to 0.15%.




The government stated the primary objective is to encourage long-term investment over speculative trading.
A
1 and 2 only
B
2 and 3 only
C
1 and 3 only
D
1, 2, and 3
✅ Correct Answer: D
All statements are CORRECT.
The STT on the sale of Futures in securities was raised from 0.02% to 0.05%. The STT on the sale of Options in securities was raised from 0.1% to 0.15%. The Finance Minister explicitly stated that the intent of the Union Budget 2026-27 is to discourage speculative tendencies in the derivative markets (F&O segment) and shift focus to capital formation.