Company Disclosure

BF Investment Limited (Scrip Code: 533303, ISIN: INE878K01010) has issued a communication regarding Tax Deduction at Source (TDS) procedures for its proposed final dividend for Financial Year 2025-26.

Dividend Recommendation

  • The Board of Directors, in their meeting held on May 29, 2026, recommended a Final Dividend of ₹10 per equity share of ₹5 each (200%) for FY 2025-26.
  • This dividend recommendation is subject to approval by shareholders at the forthcoming Annual General Meeting (AGM).

Key Dates

  • Annual General Meeting: Thursday, July 30, 2026
  • Record Date: Friday, July 03, 2026
  • Dividend Payout Date: On or after Monday, August 03, 2026
  • Last date to submit tax-related documents: Friday, July 03, 2026

TDS Implementation

As per the Income Tax Act, 2025, dividend income is taxable in the hands of shareholders, and the company is required to deduct tax at source (TDS) at the time of dividend payment if approved by shareholders.

Banking Details Requirement

SEBI regulations mandate that all listed companies must pay dividends exclusively through electronic means. Shareholders must update their bank account details:

  • For demat holdings: Update with Depository Participant
  • For physical holdings: Update with MUFG Intime India Private Limited, including PAN, mobile number, email ID, bank details, specimen signature, and nomination

TDS Rates and Documentation Requirements

For Resident Shareholders

  • TDS at 10% where shareholders have registered valid PAN
  • TDS at 20% for invalid PAN/PAN not linked with Aadhaar under Section 397(2)
  • No TDS if total dividend during Tax Year 2026-27 does not exceed ₹10,000
  • No TDS if shareholder provides Form 121 meeting all eligibility conditions

Specific Resident Non-Individual Categories (Nil TDS with documentation)

  • Insurance companies: Self-declaration as 'Insurer' per Insurance Act, 1938 with PAN and IRDA registration
  • Mutual Funds: Self-declaration of SEBI registration and Schedule VII specification with PAN and SEBI registration
  • Alternative Investment Funds (AIF): Self-declaration of exemption under Schedule V with PAN and SEBI registration
  • NPS Trust: Self-declaration of qualification as NPS trust with PAN
  • Other non-individual shareholders: Documentary evidence supporting exemption with PAN

For Non-Resident Shareholders

  • Default withholding tax rate of 20% (plus applicable surcharge and cess) under Section 393(2)
  • Option to be governed by Double Tax Avoidance Agreement (DTAA) benefits under Section 159
  • Required documents for DTAA benefit: PAN (or Rule 217 declaration), Tax Residency Certificate for 2026-27, Form 41 for TY 2026-27, Non-Resident Tax Declaration (Annexure 4)
  • For FIIs/FPIs: SEBI registration certificate required
  • Special requirements for Singapore tax residents regarding Article 24 limitation

Other Provisions

  • Lower withholding possible with certificate under Section 395 of the Act
  • Rule 203 benefit available for intermediaries/stock-brokers with declaration within 2 days from record date
  • Residential status must be correctly updated with DP/RTA as TDS rates vary for Resident and Non-Resident shareholders
  • Highest applicable TDS rate will be applied across all holdings linked to the same PAN

Submission Process

  • Required forms and documents for TY 2026-27 must be submitted on RTA's website at https://web.in.mpms.mufg.com/formsreg/submission-of-Form-121-41.html or via email to tds@bfilpune.com
  • Deadline: Friday, July 03, 2026
  • Incomplete/unsigned documents or submissions after the deadline will not be considered

TDS Certificate and Refund

  • Tax credit can be viewed in Form 168 on TRACES or e-filing website
  • TDS certificates will be emailed to shareholders after filing of TDS return
  • Shareholders may claim refund through Income Tax Return if tax deducted at higher rate

Disclaimer

The communication explicitly states it should not be treated as tax advice, and shareholders should obtain professional tax advice for their specific situations.