National Stock Exchange of India Limited (NSE) vide circular dated 17-7-2018 had informed members of petitioner-Association that it had decided to levy Securities Transaction Tax (STT) at rate of 0.10 per cent on settlement price to be paid by purchaser of futures contract which were settled by way of physical delivery. It was a grievance of petitioner that in event CBDT in future comes with a policy that rate of STT on such transaction was higher than what was provided in said circular, its members would be put to great prejudice inasmuch as they would not be in a position to recover said STT from parties whose transactions were already over. CBDT had clarified that where a derivative contract was being settled by physical delivery of shares, transaction would not be any different from transaction in equity share where contract was settled by actual delivery or transfer of shares .It further stated that, rates of STT as applicable to such delivery based equity transactions would also be applicable to such derivative transaction. Court held that  position is clarified by CBDT that it would not differentiate between transactions which were delivery based equity transaction and delivery based derivative transactions and said communication dated 27 th August  sufficiently takes care of the stake holders who are aware of the said communication and they are bound by the direction issued by the CBDT. Accordingly the petition is disposed of with the aforesaid  clarification.)