Coin by Zerodha offers commission-free mutual fund investing. However, all mutual fund investments are subject to regulatory and fund house fees that apply across all investment platforms. Here are the charges:
| Charges | Description | Rate | Applicability | Levied by |
| Stamp duty on allotment | A tax levied on the purchase of mutual fund units, applicable to transactions such as lump-sum investments, Systematic Investment Plans (SIPs), Systematic Transfer Plans (STPs), and dividend reinvestments. | 0.005% of the investment amount. | Deducted from the investment amount at the time of unit allotment. For example, investing ₹1,00,000 would incur a stamp duty of ₹5, resulting in an effective investment of ₹99,995. | Government of India |
| Securities Transaction Tax (STT) | A tax imposed on the sale of equity-oriented mutual fund units. | 0.001% of the redemption value. |
Applicable only to equity-oriented mutual funds.For example, redeeming units worth ₹1,00,000 would incur an STT of ₹1.
|
Government of India |
| Exit Load | A fee charged by the fund house when investors redeem (sell) their units before a specified period, intended to discourage premature withdrawals. | Varies by scheme; commonly around 1% if redeemed within one year. |
Specific exit load details are outlined in each scheme's offer document. For example, redeeming units worth ₹1,00,000 within the specified period with a 1% exit load would result in a charge of ₹1,000. |
Asset Management Companies (AMC) |
| Tax Deducted at Source (TDS) | A tax deducted on dividend income from mutual funds, applicable if the dividend exceeds a certain threshold. | 10% on dividend income exceeding ₹5,000 in a financial year. |
Applicable to dividend payouts; not applicable to growth options. Investors need to report this income and the TDS in their income tax returns. |
Government of India |
Did you know?
- There are no Depository Participant (DP) charges for investing through Coin.
- There are no additional Account Maintenance Charges (AMC) for using Coin since all the Coin investments are held in demat form.