How to Read Your Contract Note Line by Line
Published 2026-10-16 · Aadarna Stock Broking Pvt. Ltd.
Key takeaways
- A contract note is the legal record of the trades you made on a given day, issued by your broker.
- It shows each trade's price, quantity and time, plus every charge and tax applied.
- Check every contract note you receive; it is your first line of defence against unauthorised trades.
- If something is wrong, raise it with your broker in writing straight away.
Every time you buy or sell on a stock exchange, your broker must send you a contract note. Many investors never open it. That is a mistake: the contract note is the official record of what was traded in your account and what you paid for it.
This guide walks you through the main parts of a contract note and what to look for.
What is a contract note?
A contract note is a document your stock broker issues for each trading day on which you trade. It is usually sent by email as a digitally signed PDF and is also available in your broker's app or back-office portal.
It is a legal document. If there is ever a dispute about a trade, the contract note is the first thing that will be checked, so keep copies.
The top section: who and when
- Your details: name, client code, PAN and address. Make sure they are yours.
- Broker details: the broker's name, SEBI registration number, exchange membership details and compliance contact.
- Contract note number and trade date: the unique reference for this note and the date of the trades.
- Settlement number or date: which settlement cycle the trades belong to.
The trade section: what was traded
Each executed order appears as one or more lines. For each line you will typically see:
- Order number and trade number, with the time of the order and of execution.
- Security or contract name, with the exchange and segment.
- Buy or sell.
- Quantity and price per unit at which it was executed.
- Net rate and net total, after brokerage where it is shown per trade.
One order can be filled in several parts at slightly different prices. That is normal, and each part appears as a separate trade line.
The charges section: what it cost
Below the trades, the contract note lists every charge and tax for the day. The names you are likely to see are:
- Brokerage: your broker's fee, as per its published tariff.
- Exchange transaction charges: levied by the exchange.
- Securities Transaction Tax (STT) or Commodities Transaction Tax (CTT): taxes collected by the government.
- SEBI turnover fees: a regulatory fee.
- Stamp duty: charged on the buy side.
- GST: charged on brokerage and certain other charges, not on the taxes.
The final line shows the net amount receivable from you or payable to you for the day. For frequent traders, these charges can add up to a meaningful share of any gain, so it is worth reading them regularly.
What to check every time
- Every trade listed is one you actually placed.
- Quantities and prices match what you see in your order book.
- Brokerage matches the plan you agreed to.
- No trades appear on a day you did not trade.
- The net amount matches the change in your trading balance.
If something looks wrong
Contact your broker in writing, by email or through its official support channel, as soon as you notice the problem. Quote the contract note number and trade details. Keep a copy of your complaint.
If the issue is not resolved, you can escalate through the broker's grievance process, then to SEBI's complaint system SCORES and, if still unresolved, to the SMART ODR portal.
Frequently asked questions
I did not receive a contract note for a trade. What should I do?
Check your registered email, including the spam folder, and your broker's app or back-office portal. If it is missing, ask your broker for it in writing. Every executed trade should have a contract note.
Do I need to keep my contract notes?
Yes. They are useful for tax filing, for checking your own records and as evidence if there is ever a dispute. Saving the PDFs in one folder is enough.
Why are there several lines for one order?
A large order can be matched with several sellers or buyers at slightly different prices. Each match is a separate trade, so it appears as a separate line.