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Why were DP charges levied twice for selling the same stock on the same day?

The DP charge is levied when shares are sold from the demat account. The DP charges are ₹13 + GST per stock per day, irrespective of the quantity sold. DP charges can get levied twice on the same stock on the same day if stocks are sold from holdings in demat account and T1 holdings (T1 or stocks yet to be delivered to demat account).

Example scenario

  1. 100 shares of Reliance industries are held in the demat account.
  2. On Monday, additional 75 shares of Reliance industries are purchased. The total number of shares is 175.
  3. On Tuesday, 175 shares of Reliance industries are sold.
  4. The first instance of DP charge on the 100 shares from the holdings will be levied on Tuesday since these shares will be marked for delivery to the exchange.
  5. On Wednesday (T+2 with respect to Monday), the 75 shares bought on Monday are delivered to the demat account and immediately marked for delivery to the exchange on Thursday. Hence, the DP charge will be levied for these 75 shares on Thursday.

As two instances of debit of the same security from the demat account, the DP charges are also levied twice.