The Board of Directors of the Company at the Meeting held on 11th February, 2021, have declared Interim Dividend of Rs. 5.00 per Ordinary Share of Re. 1/- each for the financial year ending on 31st March, 2021. The said dividend will be paid to the shareholders entitled thereto on 10th March, 2021.
In terms of the Income-tax Act, 1961 read with the Finance Act, 2020, payment of dividend by the Company, effective 1st April, 2020, is taxable in the hands of the shareholders. The Company will be therefore required to deduct tax at source (TDS), as applicable, from the aforesaid Interim Dividend, in the manner following:
TDS will be deducted @ 7.5% on the amount of dividend payable where a valid Permanent Account Number (PAN) has been furnished by the concerned resident shareholders to their respective Depository Participants (in case shares are held in dematerialised form) or to the Investor Service Centre (ISC) of the Company (in case shares are held in certificate form). In the absence of a valid PAN, TDS will be deducted @ 20%.
Shareholders who are yet to furnish their PAN to their respective Depository Participants / ISC are therefore requested to do so immediately.
No TDS, however, will be deducted from dividend payable to:
|Category of Shareholders||Documents required|
|Alternative Investment Funds (AIF)||
|Other non-individual resident shareholders||
TDS will be deducted @ 20% (plus applicable surcharge and cess) on the amount of dividend payable.
TDS will be deducted @ 20% (plus applicable surcharge and cess) or the Tax Treaty Rate, whichever is lower, on the amount of dividend payable, except where requisite documents [viz. self-attested copy of Tax Residency Certificate (TRC), Form 10F etc.) have been received from the shareholders for availing the benefit of Tax Treaty Rate.
The last date for submission of Form 15G, Form 15H, TRC, Form 10F etc., for the purpose of the Interim Dividend was 23rd February, 2021. Documents received after 23rd February, 2021 and / or incomplete documents will not be considered.
In the event the benefit of lower tax on dividend cannot be provided by the Company in the absence of, or due to late receipt of, the aforesaid documents, shareholders will still have an option to claim appropriate refund, if eligible, at the time of filing their income tax returns. No claim shall lie against the Company for taxes once deducted.