What is PF STT?

PF STT refers to "Provident Fund Securities Transaction Tax," which is a tax levied on the transfer of securities in the Indian financial markets. It is applicable to transactions involving stocks, mutual funds, and other securities, primarily aimed at curbing tax evasion and enhancing compliance. This tax is deducted at the time of the transaction and is typically a percentage of the transaction value. The revenue generated contributes to the government's overall tax collection efforts.