Share Calculator: A Simple Tool for Investors
Are you new to the stock market and wondering how much you'll spend on buying shares or how much you'll earn after selling them in Nepal? The Share Calculator is here to make your life easier. This handy tool calculates the total cost of buying shares or the proceeds from selling them, including all the fees and charges involved. It ensures that you have a clear picture of your investments at every step.
Share Calculator Nepal
What is a Share Calculator?
A Share Calculator is an online tool designed to calculate the total cost of buying shares or the profit from selling them. It accounts for essential charges like:
- Broker Commission
- SEBON Fee
- DP Charge
- Capital Gains Tax
By using this calculator, investors can easily understand their expenses and profits, making it easier to plan their investments wisely.
Key Charges in Share Transactions
When you buy or sell shares, there are multiple charges that you need to consider. Here’s a breakdown of the most common ones:
1. Broker Commission
The broker commission is the fee charged by your stockbroker for facilitating the transaction. In Nepal, the rates vary based on the transaction amount:
- Up to NPR 50,000: 0.40% of the transaction amount
- NPR 50,000 - 500,000: 0.37%
- NPR 500,000 - 2,000,000: 0.34%
- NPR 2,000,000 - 10,000,000: 0.30%
- Above NPR 10,000,000: 0.27%
Note: The minimum broker commission is NPR 10. For bonds and mutual funds, the rates may differ.
2. SEBON Fee
The SEBON fee is charged by the Securities Board of Nepal (SEBON). It is set at 0.015% of the transaction amount and is payable during share purchases.
3. DP Charge
The Depository Participant (DP) fee is a flat charge of NPR 25 per company per day. Even if you purchase shares of the same company multiple times in a day, the DP charge remains constant at NPR 25.
4. Capital Gains Tax
If you sell shares at a higher price than their purchase cost, you are required to pay capital gains tax:
- Shares sold within 1 year of purchase: 7.5% of the gain
- Shares held for more than 1 year: 5% of the gain
- Founder shares: 10% of the gain
Note: If you sell shares at a loss, capital gains tax is not applicable, but other fees (like broker commission, SEBON fee, and DP charges) still apply.
How to Use the Share Calculator?
Using the Share Calculator is simple and intuitive. Follow these steps:
- Enter the number of shares and the buying or selling price.
- The calculator will add or deduct all applicable charges, including broker commission, SEBON fee, DP charge, and capital gains tax.
- Instantly view your total cost for buying shares or your net proceeds from selling them.
Why Use a Share Calculator?
- Transparency: Understand all charges and taxes upfront.
- Better Planning: Helps you plan your investments and set realistic profit targets.
- Time-Saving: Eliminates manual calculations.
- Accurate Results: Ensures you don't miss any hidden charges.
FAQs
1. What is the SEBON fee?
The SEBON fee is a charge of 0.015% of the transaction amount, levied by the Securities Board of Nepal during share purchases.
2. Do I need to pay DP charges for every transaction?
No, DP charges are calculated per company per day. Multiple transactions in the same company on the same day will only incur one DP fee of NPR 25.
3. What happens if I sell shares at a loss?
If you sell shares at a loss, you are not required to pay capital gains tax. However, broker commission, SEBON fee, and DP charges still apply.
4. Can I use the Share Calculator for mutual funds and bonds?
Yes, but note that broker commission rates for mutual funds and bonds might differ.
5. Is the minimum broker commission always NPR 10?
Yes, even for small transactions, the minimum commission charged by brokers is NPR 10.
Conclusion
The Share Calculator is an essential tool for every investor. Whether you're buying your first share or managing a large portfolio, this calculator helps you stay informed about all the costs involved. By understanding these charges, you can make smarter investment decisions and maximise your returns.
Start using the Share Calculator today and control your investments!
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