When you sell shares from your Demat account, a small fee called a Depository Participant (DP) Charge is deducted. This fee is not a brokerage charge but rather a back-end cost that covers the electronic transfer of your shares from your Demat account to the buyer’s account.
Who Levies the DP Charges?
DP charges are collected jointly by two entities:
Depository – This is the central organization that holds your securities electronically. In India, there are two depositories:
CDSL (Central Depository Services India Limited)
NSDL (National Securities Depository Limited)
Depository Participant (DP) – This is your broker (for example, Zerodha, Groww, Upstox, etc.) who acts as an intermediary between you and the depository.
Typically, the depository charges around ₹3.50 to ₹5 per transaction, and your broker adds their own participant fee on top of that. The total amount you see as DP charges is therefore a combination of both.
How Zerodha Calculates DP Charges
Let’s understand this with the example of Zerodha, one of India’s most popular brokers.
Calculation Method:
DP charges are applied per day, per stock basis.
If you sell shares of the same company multiple times in one day, DP charges are levied only once for that stock.
However, if you sell shares of two or more companies, DP charges are applied separately for each company’s shares.
Gender-Based Pricing at Zerodha
Interestingly, Zerodha has different DP charges depending on the gender of the primary Demat account holder.
| Category | Total DP Charges (Including CDSL) | Breakdown | GST (18%) Extra |
|---|---|---|---|
| Male Primary Holder | ₹13 | ₹9.50 (Zerodha) + ₹3.50 (CDSL) | Yes |
| Female Primary Holder | ₹12.75 | ₹9.50 (Zerodha) + ₹3.25 (CDSL) | Yes |
| Mutual Funds | ₹0 | No DP charges on mutual fund redemptions | – |
Example Scenarios
For Accounts With Male Primary Holders
Case 1: Selling the same stock multiple times in a day
10:00 AM – Sell 50 shares of Reliance
2:00 PM – Sell another 50 shares of Reliance
✅ DP charge applied once only
Total: ₹13 + 18% GST = ₹15.34
Case 2: Selling different stocks on the same day
10:00 AM – Sell 50 shares of Reliance
2:00 PM – Sell 10 shares of Infosys
✅ DP charge applied for each stock
Total: ₹26 + 18% GST = ₹30.68
For Accounts With Female Primary Holders
Case 1: Selling the same stock multiple times in a day
10:00 AM – Sell 50 shares of Reliance
2:00 PM – Sell another 50 shares of Reliance
✅ DP charge applied once only
Total: ₹12.75 + 18% GST = ₹15.05
Case 2: Selling different stocks on the same day
10:00 AM – Sell 50 shares of TCS
11:00 AM – Sell 50 shares of BSE
✅ DP charge applied for each stock
Total: ₹25.50 + 18% GST = ₹30.09
Important to Know: Broker-Wise DP Charge Policy
While most brokers (like Zerodha) apply DP charges once per stock per day, some brokers follow a per trade basis system.
👉 For example:
If you sell 10 shares of TCS in the morning and another 10 shares of TCS in the afternoon, some brokers will charge DP fees twice, even though the stock and date are the same.
That’s why it’s crucial to understand your broker’s DP charge structure before choosing one—especially if you frequently make delivery-based (CNC) trades.
DP Charges for Groww, Upstox, Angel One & Dhan
Groww DP Charges
| Category | DP Charges | Breakdown | GST |
|---|---|---|---|
| Male Primary Holder | ₹20 | ₹19.75 (Groww DP) + ₹0.25 rounding | 18% Extra |
| Female Primary Holder | ₹19.75 | ₹19.75 (Groww DP) | 18% Extra |
➡️ Groww follows a per ISIN, per day DP charge model.
➡️ DP charges apply only to sell transactions of delivery shares.
Upstox DP Charges
| Category | Total DP Charge | Breakdown | GST |
|---|---|---|---|
| Male | ₹18.50 | ₹3.5 (CDSL) + ₹15 (Upstox) | 18% Extra |
| Female | ₹18.50 | ₹3.25 (CDSL) + ₹15.25 (Upstox) | 18% Extra |
➡️ Upstox also follows a per ISIN per day rule.
➡️ DP charges apply only when selling CNC shares.
Angel One DP Charges
Equity Delivery DP Charges
₹20 + 18% GST per ISIN per transaction
➡️ Charged per ISIN, per transaction, NOT per day.
➡️ More expensive if you sell the same stock multiple times.
Dhan DP Charges
₹12.50 per ISIN per day
18% GST extra
➡️ Dhan is one of the lowest DP charges brokers in India.
➡️ DP charges are applied once per ISIN per day.
Want to Compare These Brokers Side-by-Side?
Check full comparison here: https://comparestockbrokerages.in/compare-brokers/
Where to See DP Charges
DP charges do not appear on your contract note.
Instead, they are directly reflected in your Funds Statement or Ledger under “DP Charges” or “Depository Participant Charges.”
Key Takeaways
DP Charges apply only when you sell delivery shares from your Demat account.
Buying shares does not attract any DP charge.
The fee is split between the depository (CDSL/NSDL) and your broker.
Charges may differ based on your broker and account type (individual/joint, male/female).
Always check your broker’s charge sheet to know whether they levy it per stock per day or per trade.
Final Thoughts
While DP charges might seem small, they can add up if you trade frequently in delivery-based segments. Understanding how these charges work helps you plan your trades better and choose the most cost-effective broker.
If you regularly buy and sell delivery shares, consider a broker that charges DP fees only once per day per stock—this small difference can save you a significant amount over time.
Pingback: Compare Brokers
This post is incredibly helpful and clearly explained the Depository charges—thank you so much…