Dividend Declaration

The Board of Directors declared a final dividend of ₹3 per equity share of ₹1 each (300%) for Financial Year 2025-26 in their meeting held on Friday, May 22, 2026. The dividend will be payable upon shareholder approval at the Annual General Meeting scheduled for Tuesday, July 21, 2026 at 5:30 PM IST.

TDS Framework

Under the Indian Income Tax Act, 2025, dividend income is taxable for shareholders, requiring the company to deduct tax at source (TDS) at applicable rates. TDS rates vary based on shareholder residential status and documentation submitted.

Resident Shareholders

  • TDS deducted at 10% under Section 393(1) read with 393(4) when aggregate dividend exceeds ₹10,000
  • Requires valid PAN linked with Aadhaar (Section 262)
  • Invalid/inoperative PAN triggers 20% TDS under Section 397(2)
  • Deadline for document submission: Friday, July 17, 2026 by 5:00 PM IST

Specific Resident Categories

  • Insurance Companies: Nil TDS with declaration as per Insurance Act, 1938 (Annexure 2)
  • Mutual Funds: Nil TDS if specified under Schedule VII (Table: Sl. No 20 or 21) (Annexure 3)
  • AIF Category I/II: Nil TDS if registered with SEBI and dividend not chargeable under business income (Annexure 4)
  • Other Entities (Company/Firm/HUF/AOP/Trust): Submit lower withholding certificate or exemption evidence by July 17, 2026

Non-Resident Shareholders

Can avail Double Tax Avoidance Agreement (DTAA) benefits subject to GAAR and MLI provisions. Required documents:

  • Tax Residency Certificate (TRC) for 2026-27
  • Form 41 (Tax Treaty Relief claim)
  • PAN copy or information under Rule 217(2) (Annexure 7)
  • Beneficial ownership declaration (Annexure 8)
  • No permanent establishment declaration (Annexure 9)
  • Treaty eligibility declaration

Critical Deadlines

  • Joint shareholder credit transfer declarations: June 10, 2026
  • Resident shareholder document submission: July 17, 2026 by 5:00 PM IST

Documentation Requirements

Multiple annexures provided for different shareholder categories:

  • Annexure 1: Form 121 for resident individuals
  • Annexure 2: Insurance company declaration
  • Annexure 3: Mutual fund declaration
  • Annexure 4: AIF declaration
  • Annexure 5: Circular 18/2017 exemption
  • Annexure 6: Joint shareholder credit transfer
  • Annexure 7: Non-resident PAN relaxation information
  • Annexure 8: Non-resident beneficial ownership
  • Annexure 9: Non-resident permanent establishment
  • Annexure 10: Additional joint shareholder format

Submission Procedures

  • Resident Shareholders: Upload documents via Purva Sharegistry portal or email support@purvashare.com
  • Non-resident/Institutional Shareholders: Email documents to shareholder@modison.com

Additional Requirements

  • Mandatory PAN recording for all folios/DP IDs
  • Higher tax rate applied across all holdings under single PAN if any account has invalid status
  • Bank account details must be updated with depositories for timely dividend credit

Tax Credit Verification

Shareholders can view TDS credits in Form 26AS through TRACES portal or Income Tax e-filing website.

Disclaimer

The communication explicitly states it should not be treated as tax advice, and shareholders should consult tax professionals for their specific situations.