Date: September 26, 2026
Dividend Declaration
- The Board of Directors declared a second interim dividend of ₹8 per equity share (face value Re. 1) for the financial year ending December 31, 2026.
- Record date: Thursday, October 1, 2026.
- Dividend payment will be made on or before October 24, 2026.
Tax Deduction at Source (TDS) Guidelines
For Resident Shareholders
- TDS rate: 10% under Section 393(1) read with Section 393(4) of Income Tax Act, 2025.
- No TDS if dividend receipt does not exceed ₹10,000 in a financial year for resident individuals.
- Higher TDS rate of 20% applies if: PAN is not available/invalid/inoperative, or PAN is not linked with Aadhaar.
- Lower/nil TDS certificates under Section 395(1) accepted with specified rate.
Exemptions for Resident Shareholders (with required documentation)
- Resident individual shareholders (dividend exceeding ₹10,000): Form No. 121 for nil TDS.
- LIC, GIC, etc. (exempt under Section 393(4)): Self-declaration with documentary evidence.
- Government, RBI, corporations established by Central Act & Mutual Funds (Section 393(5)): Self-declaration with evidence.
- Category I and II Alternative Investment Funds: Self-declaration with SEBI registration.
- Mutual Funds: Self-declaration with SEBI registration certificate.
- NPS Trust: Self-declaration with documentary evidence under Section 11.
- Recognized provident funds, approved superannuation funds, approved gratuity funds: Evidence per CBDT Circular No. 18/2017.
- Any resident shareholder exempted from TDS: Necessary documentary evidence.
- Lower withholding certificate under Section 395(1): Self-attested PAN copy with certificate.
For Non-Resident Shareholders
- TDS rate: 20% plus applicable surcharge and cess under Section 393(2), or beneficial tax treaty rate.
- Required documents: FPI registration certificate (for FIIs/FPIs), Tax Residency Certificate, electronically generated Form 41 for FY2026-27, PAN or declaration under Rule 217, self-declaration for non-existence of PE/fixed base and beneficial ownership.
- Indian Branch of Foreign Bank: 35% plus surcharge and cess, or nil with lower tax deduction certificate under Section 395(1).
- Any non-resident shareholder exempted from WHT: Necessary documentary evidence.
Important Deadlines and Procedures
- All tax-related documents must be submitted by Thursday, October 1, 2026.
- Documents should be uploaded at: https://web.in.mpms.mufg.com/formsreg/submission-of-Form-121-41.html
- Declaration under Rule 203 must be filed by October 1, 2026, if dividend income is assessable by someone other than the deductee.
- TDS certificates will be emailed to registered email addresses post-dividend payment.
- Shareholders with multiple accounts under different statuses: Higher applicable tax rate will be applied to entire holding.
Additional Information
- Shareholders are requested to update bank account details in demat accounts/physical folios for direct credit of dividend.
- Queries can be directed to rsystems.india@rsystems.com.
- The communication is a summary; shareholders should consult tax advisors for specific circumstances.
Attachments Available
- Format - Form 121
- Format - Declaration (Resident)
- Format - Declaration (Non-Resident)
- Format- Declaration under Rule 217