Service Tax (ST) and Education Cess (EC) are other indirect taxes levied by the Government. This is payable as a percentage of brokerage due to the broker. These taxes are borne by the investor. ST and EC together are levied at the rate of 12.24 per cent of the brokerage cost (ST of 12 per cent + EC of 2 per cent). For instance, if you incur a brokerage cost of Rs 1,000 on a transaction, you will have to pay ST-cum-EC of Rs 122.40.