Core terms
SEC Section 31 fee
A transaction fee set by the SEC under Section 31 of the Securities Exchange Act, charged on the dollar value of covered sales. Brokers usually pass it through on each sell.
As of 2026-10-05, the rate is $20.60 per million dollars of covered sales, in effect since 2026-04-04 and until 60 days after the SEC's fiscal year 2027 appropriation is enacted (SEC Section 31 fee rate advisory). On a $10,000 sale that is about $0.21 (computed from that rate, Illustrative).
The fee applies to sales, not purchases. Because it scales with dollar value rather than shares, it weighs differently from per-share costs: 2,000 shares sold at $0.80 and at $8.00 pay the same per-share commission but a tenfold different Section 31 fee. The SEC adjusts the rate periodically and publishes each change in a fee rate advisory.
What traders should verify
Include the Section 31 fee as its own line in the cost-per-round-trip worksheet, on the exit side for longs and the entry side for shorts, with the advisory date you checked.
Do not conflate
The rate changes, sometimes more than once a year; check the current SEC advisory. Brokers round the pass-through differently, and some show it combined with other fees on statements.
Primary source
Primary sourceSEC Section 31 fee rate advisory for fiscal year 2026