Company Disclosure: Tax Deduction on Dividend

Trading Symbol: HALEOSLABS

Dividend Declaration Details

The Board of Directors at its meeting held on May 29, 2026, recommended a final dividend of ₹1.50 per equity share (15% on face value of ₹10) for the financial year ended March 31, 2026. This dividend is subject to approval by shareholders at the ensuing 20th Annual General Meeting (AGM).

Record Date and Payment Method

The record date for determining eligibility for dividend payment is September 23, 2026. Dividend will be paid through electronic credit to registered bank accounts for demat holders, and through dividend warrants/demand drafts sent to registered addresses for those without updated bank details.

TDS Requirements and Procedures

As per Income Tax Act 2025, the company is required to deduct TDS on dividend payments at prescribed rates based on shareholder category and documentation provided. The withholding tax rates vary depending on residential status, category of shareholder, and submitted documents.

Resident Shareholder TDS Rates

  • Nil TDS Categories: Insurance Companies, Mutual Funds, Corporations established by Central Act, New Pension System Trust, and Alternative Investment Funds (Category I/II AIF) - require specific declarations (Annexure-1) and supporting documents
  • Certificate Holders: Shareholders with valid Section 395(1) certificate - TDS at certificate rate
  • Other Residents: 10% TDS with valid PAN; 20% TDS without PAN/invalid PAN/unlinked Aadhaar
  • Exemption Threshold: No TDS if aggregate dividend during tax year 2026-27 does not exceed ₹10,000 for individual shareholders
  • Form 121 Requirement: Eligible individual shareholders must submit Form 121 (Annexure-2) for exemption from TDS deduction

Non-Resident Shareholder TDS Rates

  • Category III AIF: 10% plus applicable surcharge and cess
  • Certificate Holders: Non-residents with valid Section 395(1) certificate - TDS at certificate rate
  • Other Non-Residents/FPI/FII: 20% plus applicable surcharge and cess
  • DTAA Benefits: Non-residents can claim beneficial DTAA rates by submitting Tax Residency Certificate (TRC), Form 41, and self-declaration (Annexure-5) certifying tax residency, beneficial ownership, and no permanent establishment in India

Documentation Requirements

All shareholders must provide:

  • Self-attested PAN copy
  • Category-specific declarations (Annexure-1 for exemptions)
  • Form 121 for resident individuals seeking exemption
  • Valid certificates where applicable
  • Non-residents must provide TIN or equivalent unique identification number regardless of DTAA claim

Submission Deadline and Methods

All documents must be submitted on or before September 25, 2026, through:

  • Online portal: https://www.aarthiconsultants.com/investors/login.php
  • Physical submission to RTA: Aarthi Consultants Private Limited, # 1-2-285, Street No: 7, Domalaguda, Hyderabad 500029

Important Considerations

  • Documents received after September 25, 2026, will not be considered
  • Incomplete/unsigned forms will be rejected
  • Shareholders with multiple accounts under single PAN will face TDS deduction at highest applicable rate on entire holding
  • Higher TDS deductions due to missing documentation can be refunded through income tax return filing
  • Shareholders will receive TDS credit in Form 168 available through e-filing portal

Registrar and Transfer Agent

Aarthi Consultants Private Limited is the company's RTA handling all dividend-related documentation and queries.

Disclaimer

The communication explicitly states it should not be treated as tax advice, and shareholders are advised to consult their tax consultants for specific implications.