Dividend Recommendation

The Board of Directors, at their meeting held on May 29, 2026, recommended a final dividend of Rs. 5.50 per equity share (i.e., 275%) on equity shares of face value Rs. 2/- each for the financial year ended March 31, 2026.

Shareholder Approval & Record Date

The dividend recommendation is subject to approval by members at the 45th Annual General Meeting (AGM) scheduled to be held on Wednesday, August 26, 2026. If approved, the dividend will be paid to members whose names appear in the Register of Members as on the close of business on Thursday, August 06, 2026 (Record Date), based on beneficial ownership data from NSDL/CDSL/RTA.

TDS Framework Overview

Pursuant to the Income Tax Act, 2025, dividend income is taxable in the hands of shareholders, and the company is obligated to withhold taxes at prescribed rates. The withholding tax rate varies based on the shareholder's residential status, category, and submission of requisite declarations/documents. The deadline for submitting all necessary documents to the company or its Registrar and Transfer Agent (RTA), Bigshare Services Private Limited, is Monday, August 03, 2026.

Detailed TDS Rates and Requirements

A. Resident Shareholders

  • A.1 Resident Individual Shareholders: No TDS will be deducted if the total dividend received during FY 2026-27 does not exceed Rs. 10,000.
  • A.2 Other Resident Shareholders:
  • With Valid PAN: TDS deducted at 10%.
  • With No/Invalid PAN: TDS deducted at 20%. A higher rate also applies if an eligible resident individual's PAN is inoperative due to non-linkage with Aadhaar.
  • With Lower/Nil Certificate u/s 395(1): TDS deducted at the rate specified in the certificate from the Income Tax Department. Requires submission of PAN copy and certificate copy.
  • A.3 Nil TDS for Specific Resident Categories (upon submission of specified documents):
  • Resident Individuals furnishing Form 121: Requires copy of PAN card and declaration in Form No. 121 (Annexure A).
  • Entities u/s 393(4) (e.g., LIC, GIC): Requires copy of PAN card and a self-declaration with documentary evidence (Annexure B).
  • Persons u/s 393(5) (e.g., Govt., RBI): Requires self-attested PAN copy (if applicable), self-declaration (Annexure C for MFs, Annexure D for others), and registration/exemption certificate.
  • Category I & II AIFs: Requires copy of PAN card, self-declaration of exempt status (Annexure B), and copy of registration certificate.
  • Sikkimese Individuals: Requires declaration in Annexure E.

B. Non-Resident Shareholders

  • B.1 FIIs/FPIs: TDS at 20% (plus surcharge & cess) OR beneficial tax treaty rate. To claim treaty benefit, must submit PAN (or Annexure F details), valid TRC for FY 2026-27, electronically filed Form 41, and a self-declaration on letterhead (Annexure G).
  • B.2 Category III AIF/Retail Scheme/ETF in IFSC: TDS at 10% (plus surcharge & cess). Requires PAN copy (if available) and self-declaration with evidence (Annexure H).
  • B.3 Other Non-Residents: TDS at 20% (plus surcharge & cess) OR beneficial tax treaty rate. Document requirements identical to B.1 (PAN/Annexure F, TRC, Form 41, Annexure G).
  • B.4 Residents of Notified Jurisdictional Area (u/s 176(1)): TDS at 30%.
  • B.5 Notified Sovereign Wealth/Pension Funds (u/s Schedule V): TDS at NIL. Requires copy of CBDT notification and self-declaration (Annexure I for SWFs, Annexure J for Pension Funds).
  • B.6 ADIA Subsidiary (u/s Schedule V): TDS at NIL. Requires self-declaration substantiating fulfillment of conditions (Annexure K).
  • B.7 Lower/Nil Certificate u/s 395(1) or 395(2): TDS at the rate specified in the certificate from the Income Tax Department.

Important Notes and Conditions

  • Credit to Another Person: If dividend income is assessable in the name of a person other than the registered shareholder, a declaration per Rule 203(2) of Income-tax Rules, 2026 (format in Annexure L) must be furnished.
  • Document Submission: All documents must be complete, signed, and self-attested where required. Originals must be provided upon company request. Documents must be emailed to shares@lumaxmail.com by August 3, 2026; late submissions will not be considered.
  • Rate Determination: The company will verify details with Depository Participants/RTA. The highest applicable rate will be applied for shareholders holding under multiple accounts with a single PAN.
  • PAN Requirement: A valid PAN recorded with the company/RTA is mandatory. TDS will be deducted at 20% for invalid/no PAN. The category is determined by the fourth character of the PAN.
  • Discrepancies & Refunds: In case of document discrepancies, tax will be deducted at a higher rate. Shareholders can claim refunds by filing income tax returns; no claims lie against the company for taxes deducted.
  • Indemnity: Shareholders are responsible for indemnifying the company against any tax demands arising from misrepresentation or omission in provided information.
  • Disclaimer: The communication is for general information and does not constitute legal or tax advice. Shareholders should consult their tax advisors.

Availability of Information

The full communication, including all annexures (A to L), is available on the company's website at https://www.lumaxworld.in/lumaxautotech/tax-deduction-at-source-on-dividend.html.