Company Disclosure: Dividend Taxation Procedures

Dividend Recommendation

Board of Directors recommended a final dividend of Re. 1 per equity share (face value Rs. 2 each) for Financial Year 2025-26 at their meeting held on Monday, May 25, 2026. The dividend payment is subject to shareholder approval at the ensuing 39th Annual General Meeting.

Tax Deduction Framework

Pursuant to Income Tax Act, 2025 (as amended by Finance Act, 2026), dividend income is taxable in shareholders' hands. The company will deduct tax at source when making dividend payments if approved at AGM.

Resident Shareholder TDS Provisions

  • Section 393(1): 10% TDS where aggregate dividend exceeds ₹10,000 annually and valid PAN provided
  • Section 397: 20% TDS if no PAN or invalid PAN
  • Exemption conditions: No TDS if dividend ≤ ₹10,000 or valid Form 121 submitted (replaces Form 15G/15H)
  • Higher rate of 20% applies if PAN not linked with Aadhaar as per Section 262

Non-Individual Resident Exemptions

Specific documentation required for:

  • Insurance Companies (IRDA registration proof)
  • Mutual Funds (SEBI registration)
  • Category I/II Alternative Investment Funds (SEBI registration)
  • Sovereign Wealth/Pension Funds (Schedule V compliance)
  • NPS Trust
  • Recognized Provident/Approved Superannuation/Gratuity Funds
  • Corporations exempt from income-tax

Non-Resident Shareholder Provisions

  • Section 393(2): 20% TDS plus applicable surcharge and cess
  • Option to avail DTAA benefits by submitting:
  • Valid PAN copy
  • Tax Residency Certificate (translated if not English)
  • Form 41 (formerly 10F) from income tax portal
  • Treaty eligibility declaration
  • SEBI registration certificate for FIIs/FPIs
  • Additional documentation for Singapore tax residents

Critical Dates and Procedures

  • Submission deadline: All tax-related documents must be uploaded by Friday, September 11, 2026
  • Payment mode: Electronic only for physical shareholders after providing PAN, nomination, contact details, mobile number, bank account details, and specimen signature
  • RTA contact: MUFG Intime India Private Limited (formerly Link Intime India Private Limited)
  • Toll Free: 1800 1020 878
  • Address: C-101, 247 Park, LBS Marg, Vikhroli (W), Mumbai - 400083

Additional Provisions

  • Shareholders with multiple accounts under single PAN: Highest applicable tax rate will apply to entire holding
  • Rule 203 declaration required if dividend income assessable in hands of person other than deductee
  • Tax credit viewable via Form 168 on TRACES portal or income tax e-filing website

Disclaimer

The company explicitly states this communication is not tax advice and no claims shall lie against the company for taxes deducted. Shareholders should consult tax professionals for specific advice.