The Supreme Court today issued notice to the Centre on a writ petition challenging the constitutional validity of the Securities Transaction Tax (STT), a tax on buying and selling stocks and other securities on Indian stock exchanges, imposed under the Finance Act, 2004.

A bench of Justice JB Pardiwala and Justice KV Vishwanathan issued notice returnable in four weeks.

“ The principal argument canvassed before us is that the Securities Transaction Tax is the only tax levied in the country on the mere act of carrying out a profession and is sought to be levied irrespective whether there is a profit derived or not. This, according to the petitioner, renders the levy almost punitive or deterrent in nature. Otherwise, according to the petitioner, all other taxes in India are levied on the

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