Lumax Industries Limited

Dividend Announcement

The Board of Directors of Lumax Industries Limited recommended a final dividend of ₹55 per equity share of ₹10 each for Financial Year 2025-26 at their meeting held on May 28, 2026. The dividend payment is subject to shareholder approval at the Annual General Meeting scheduled for Wednesday, August 26, 2026.

Record Date and Eligibility

The dividend will be payable to members whose names appear in the Register of Members as at the close of Thursday, August 6, 2026 (Record Date), based on beneficial ownership data from NSDL/CDSL/RTA.

TDS Implementation

Pursuant to the Income Tax Act, 2025, dividend paid shall be taxable in the hands of shareholders, and the Company is required to withhold taxes at prescribed rates. No tax will be deducted on payment of dividend to resident individual shareholders if total dividend for FY 2026-27 does not exceed ₹10,000.

Key Deadlines

Shareholders must submit required documents by Monday, August 3, 2026 to comply with applicable TDS provisions. Documents should be emailed to lumaxshare@lumaxmail.com.

Resident Shareholder TDS Rates

  • No TDS: Resident individual shareholders receiving dividend not exceeding ₹10,000 during FY 2026-27
  • 10% TDS: Valid PAN updated with Depository Participant/RTA
  • 20% TDS: No/invalid PAN with Depository Participant/RTA (higher rate if PAN not linked with Aadhaar)
  • Lower rates: Available with certificate issued by Income Tax Department u/s 395(1)

Nil TDS Categories for Residents

Specific categories eligible for nil withholding upon submission of required documents:

1. Resident Individual furnishing Form 121

2. Shareholders covered u/s 393(4) [Table: Sl No. 10] such as LIC, GIC

3. Persons covered under Section 393(5) (e.g., Govt., RBI, Corporations established by Central Act)

4. Category I and II Alternative Investment Fund (AIF)

5. Other entities exempt from withholding tax

Non-Resident Shareholder TDS Rates

  • 20% plus surcharge/cess: Other non-resident shareholders (except tax residents of Notified Jurisdictional Area)
  • Tax treaty rates: Available upon submission of PAN, Tax Residency Certificate, Form 41, and self-declaration
  • 30%: Non-resident shareholders who are tax residents of Notified Jurisdictional Area
  • NIL: Sovereign Wealth funds and Pension funds notified by Central Government under Schedule V
  • NIL: Subsidiary of Abu Dhabi Investment Authority (ADIA)
  • Lower rates: Available with certificate issued by Income Tax Department u/s 395(1) or 395(2)

Documentation Requirements

Shareholders must provide appropriate documentation including PAN cards, tax residency certificates, lower tax withholding certificates, and various declaration forms (Annexures A-L available on company website).

Important Provisions

  • Determination of withholding tax rate subject to verification of shareholder details
  • Higher tax rates applied for discrepancies in documents
  • Valid PAN mandatory - absence results in 20% TDS
  • Category determination based on fourth letter of PAN
  • Shareholders responsible for any tax demands arising from misrepresentation

Dividend Payment Method

SEBI Master Circular mandates electronic dividend payments effective April 1, 2024. Physical shareholders must furnish PAN, contact details, mobile number, bank account details, and specimen signature for seamless receipt.

Additional Information

This communication is available on the company website at https://www.lumaxworld.in/lumaxindustries/index.html. Annexure formats available at https://www.lumaxworld.in/lumaxindustries/taxdeduction-at-source-on-dividend.html.