Since STT is deducted automatically at the time of trading, there's nothing extra to pay during tax season. That said, how you account for it depends on how your trading activity is classified:

• Traders (Business Income): STT can be declared as a business expense, which helps lower your taxable income. This applies only when your trading income falls under business income, typically reported via ITR-3 or ITR-4.

• Investors (Capital Gains): STT cannot be offset as an expense, nor can it be added to the cost of acquisition.