Key Quantitative Figures

  • Recommended dividend: ₹ 3.00 per equity share (30% on face value of ₹ 10 each)
  • TDS threshold for resident individuals: ₹ 10,000 aggregate dividend income during Tax Year 2026-27

Parties Involved

  • Registrar & Transfer Agent: Bigshare Services Private Limited
  • Depositories: National Securities Depository Limited (NSDL), Central Depository Services (India) Limited (CDSL)
  • Tax Authority: Income Tax Department, Government of India

TDS Rate Structure

I. Resident Shareholders

A. Individual Shareholders:

  • Nil TDS: If aggregate dividend ≤ ₹10,000 OR if Form 121 submitted with PAN for dividend > ₹10,000
  • 10% TDS: Valid PAN, dividend > ₹10,000, no Form 121 submitted
  • 20% TDS: No PAN/invalid PAN/PAN not linked with Aadhaar where applicable

B. Other Entities:

  • Nil TDS: For government entities, RBI, specified mutual funds, corporations exempt from income tax, LIC, GIC, Business Trusts (REIT, InVIT) upon submission of Annexure 1 declaration with documentary evidence
  • Nil TDS: For Category I & II Alternative Investment Funds (AIFs) established in India with registration certificate and declaration
  • Nil TDS: For entities exempt under Section 393(6) with supporting documentation and lower tax withholding certificates
  • Certificate Rate: For residents obtaining certificate under Section 395 of the Act (copy of valid certificate required)

II. Non-Resident Shareholders

  • 20% + surcharge + cess OR tax treaty rate: For non-residents/FIIs/FPIs requiring PAN copy, Tax Residency Certificate, Form 41, and Annexure 3 declaration
  • 10% + surcharge + cess: For Category III AIFs located in International Financial Services Centres requiring PAN (if available) and Annexure 4 declaration
  • 20% + surcharge + cess OR tax treaty rate: For other non-residents (except Notified Jurisdictional Area residents) requiring extensive documentation including permanent establishment declaration
  • Nil TDS: For sovereign wealth funds and pension funds notified under Schedule V to Section 11 of the Act with supporting notifications and declarations (Annexure 5 & 6)
  • Nil TDS: For Subsidiary of Abu Dhabi Investment Authority (ADIA) as prescribed under Schedule V with Annexure 7 declaration

Documentation Requirements

All documents must be emailed to tds@bigshareonline.com by 21st August 2026:

  • Form 121 (for resident individuals seeking nil deduction)
  • Form 41 (for non-residents)
  • Various Annexures (1-7) as applicable to different shareholder categories
  • PAN card copies
  • Tax Residency Certificates
  • Supporting documentary evidence for exemptions

Important Conditions

  • PAN-Aadhaar linking mandatory for resident shareholders; non-linked PAN deemed invalid attracting 20% TDS
  • Higher tax rate applied across all holdings if single PAN has multiple accounts with different residential statuses
  • Company reserves right to reject incomplete documents and apply higher withholding rates
  • Shareholders responsible for indemnifying company against any tax demands arising from misrepresentation
  • Post-dividend TDS credit available in Form 168 from income tax e-filing portal

Payment Mechanics

  • Dividend payment will be electronic only as per SEBI regulations
  • Bank details from depository participants will be used for payment
  • Shareholders must update bank details, PAN, KYC, and nomination details with their DP before record date

Disclaimer

The communication is not exhaustive tax advice and shareholders should consult their tax advisors. The company and its RTA do not provide tax advice through this communication.