The Supreme Court is set to take up a plea challenging the constitutional validity of the Securities Transaction Tax (STT). This is a direct tax levied on all transactions that happen through a stock exchange.

The STT was brought in under the Finance Act, 2004. It has since become a significant source of revenue for the government, netting an estimated ₹55,000 crore in FY 2025.

But this petition argues that the STT is deeply flawed, and violates constitutional guarantees of equality, freedom of trade and proportionality.

How valid are these arguments? Should the STT be scrapped, or retained with modifications?

Guest: Deepak Joshi, advocate-on-record at the Supreme Court, and a Chartered Accountant.

Recorded, produced, and edited by Jude Francis Weston

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