Dividend Recommendation and Key Dates

The Board of Directors of Greaves Cotton Limited, at its meeting held on 6th May 2026, recommended a final dividend of ₹2 per equity share of face value ₹2 each for FY26. This dividend is subject to approval by shareholders at the 107th Annual General Meeting (AGM) scheduled for 4th August 2026. The record date for determining eligibility to receive the dividend is Tuesday, 28th July 2026.

TDS Framework and Rates

In accordance with the Income-tax Act, 2025, dividend income is taxable in the hands of shareholders, and the company is obligated to deduct TDS at prescribed rates.

For Resident Shareholders:

  • 10% TDS rate: Applied if a valid PAN is updated in the company's/RTA's records.
  • 20% TDS rate: Applied if PAN is not registered, is invalid, or is inoperative (as per Section 397 of the Act).
  • 0% TDS rate (Exemption): Available for resident individual shareholders if either:
  • The aggregate dividend payable during Tax Year 2026-27 does not exceed ₹10,000; or
  • A duly completed and signed Form 121 for Tax Year 2026-27 is furnished along with a valid PAN, subject to eligibility conditions.

Specific exemptions with required documentation are also detailed for other resident entities:

  • Mutual Funds: Require a self-declaration, SEBI registration certificate, and PAN.
  • Alternative Investment Funds (AIFs): Require a self-declaration, AIF registration certificate with SEBI, and PAN.
  • New Pension System Trust: Require a self-declaration, registration documents, and PAN.
  • Other entities (HUF/LLP/AOP/Companies/Firm): Require a self-declaration, supporting documentary evidence for exemption, and PAN.

Shareholders holding a valid certificate under Section 395 of the Act for a lower/nil deduction rate must submit a self-attested copy.

For Non-Resident Shareholders (including FIIs/FPIs):

  • A standard TDS rate of 20% (plus applicable surcharge and cess) applies.
  • A beneficial rate under a Double Tax Avoidance Agreement (DTAA) may be applied upon submission of:
  • i. Self-attested PAN card copy (if any).
  • ii. Self-attested Tax Residency Certificate (TRC) for FY 2025-26.
  • iii. Self-declaration in Electronic Form 41 (erstwhile Form 10F).
  • iv. A specific self-declaration format confirming no Permanent Establishment in India and beneficial ownership.
  • v. For FIIs/FPIs: A self-attested SEBI registration certificate.
  • vi. For Singapore residents: Evidence demonstrating non-applicability of Article 24 of the India-Singapore DTAA.

The company reserves the right to seek additional information and will apply the higher statutory rate if documents are incomplete or unsatisfactory.

Critical Deadlines and Submission Process

Shareholders must submit all requisite documents and information to enable the company to determine the appropriate TDS rate on or before 23rd July 2026. Documents must be uploaded with the Registrar and Share Transfer Agent (RTA), KFin Technologies Limited, via their online portal https://ris.kfintech.com/form15/forms.aspx?q=0 or emailed to einward.ris@kfintech.com (with a copy to investorservices@greavescotton.com).

The company states that the TDS deducted is final, and no requests for revision of the TDS return will be entertained. No claim shall lie against the company for tax deducted at a higher rate for any reason.

SEBI Mandate on Electronic Payments and KYC

SEBI has mandated electronic payment of dividends. Shareholders holding shares in physical form will only receive dividends electronically if their folios are KYC compliant. Amendments to SEBI LODR Regulations (notified 18th November 2025) have omitted provisions for issuing payable-at-par warrants/cheques.

Shareholders are urged to update their bank account details before the record date (28th July 2026) to avoid delayed payment:

  • Physical Shareholders: Must submit a duly signed Form ISR-1 with supporting documents to the RTA.
  • Demat Shareholders: Must update their email addresses, mobile numbers, and bank account details with their respective Depository Participants (DPs).

TDS Certificate and Indemnity

A soft copy of the TDS certificate will be emailed to shareholders' registered email IDs. The TDS amount will also be reflected in Form 26AS / Annual Information Statement (AIS) on the Income Tax portal (www.incometax.gov.in). The document includes an indemnity clause, stating that shareholders will be responsible for any income tax demand (including interest/penalty) arising from misrepresentation or omission in the information they provide.