Dividend Recommendation and Approval Process

The Board of Directors, at their meeting held on August 14, 2026, recommended a Final Dividend of ₹20 per share (200%) on shares of face value ₹10 each for FY26. This recommendation is subject to the approval of shareholders at the 42nd Annual General Meeting (AGM) scheduled for September 28, 2026.

Dividend Payment Details

Upon shareholder approval, the dividend will be paid on or before October 27, 2026, to eligible shareholders. The record date for determining eligibility is September 21, 2026. Eligibility is based on:

  • Names appearing in the Register of Members of the Company as of September 21, 2026, for physical shares.
  • Beneficial ownership as per the list furnished by NSDL/CDSL as of September 21, 2026, for dematerialized shares.

TDS Applicability

In accordance with the Income-Tax Act, 2025, the dividend will be taxable in the hands of shareholders, and the Company is required to deduct TDS at prescribed rates. The rate of TDS varies depending on the residential status and category of the shareholder.

Shareholder Action Required: Document Submission Deadline

Shareholders are requested to update relevant details and submit necessary documents to determine the applicable TDS rate. The absolute deadline for submission of all documents is September 21, 2026 (Monday). Documents must be submitted via the specified online portals:

  • For updating KYC details: https://ipostatus.integratedregistry.in/KYCRegister.aspx
  • For submitting TDS exemption forms (Form 121, Form 41): https://ipostatus.integratedregistry.in/TaxExemptionRegistration.aspx

Key TDS Provisions for Resident Shareholders

  • TDS Rate: 10% under Section 393(1) for most shareholders.
  • No TDS if the aggregate dividend to an individual shareholder during the financial year does not exceed ₹10,000.
  • No TDS upon furnishing a valid Form 121 (for individuals with no tax liability).
  • Higher TDS Rate: 20% under Section 397 if a valid PAN is not available.
  • Exemptions: Specific categories like Mutual Funds, Insurance Companies, AIF Category I & II, Government entities, etc., are exempt from TDS subject to providing valid self-attested documentation (e.g., SEBI/IRDAI registration certificates).

Key TDS Provisions for Non-Resident Shareholders

  • TDS Rate: 20% or the rates in force as per the Finance Act (plus surcharge and cess) under Section 393(2).
  • Tax Treaty Benefits: Non-resident shareholders can opt to be governed by beneficial Double Tax Avoidance Agreement (DTAA) rates. To avail this, they must provide:

1. Self-attested copy of Indian PAN.

2. Self-attested copy of a valid Tax Residency Certificate.

3. Online Form 41 (earlier Form 10F) containing a self-declaration regarding tax residency, beneficial ownership, and lack of permanent establishment in India.

Important Operational Notes

  • Physical Shareholders: SEBI has mandated the issuance of dividends only in electronic mode. Dividend will be paid electronically upon furnishing complete details including PAN, bank account, and specimen signature.
  • Demat Shareholders: Dividend will be credited electronically only to the core banking account linked to the demat account. Shareholders must ensure bank details are updated with their Depository Participant (DP).
  • Rejected Payments: If an electronic payment is rejected, a re-attempt will be made only electronically upon correction of bank details; dividend warrants/cheques will not be issued.
  • Indemnity: Shareholders will be responsible for indemnifying the Company against any income tax demands arising from misrepresentation or omission in the information provided.
  • Rule 203: A declaration is required if the dividend income is assessable in the hands of a person other than the registered shareholder.

Disclaimer

The communication summarizes TDS provisions and is not a complete analysis. Shareholders are advised to consult their own tax advisors.