Dalmia Bharat Limited has informed stock exchanges that it sent a communication to shareholders regarding tax deduction at source on the final dividend for the financial year 2025-26. Dalmia Bharat's board at its meeting on April 28, 2026 recommended a final dividend of Rs 5 per equity share with a face value of Rs 2 each.
For resident shareholders with a valid PAN, TDS will be deducted at 10% on the dividend amount, while shareholders without a valid PAN will face TDS at 20%. No TDS will apply if the total dividend received during FY 2026-27 does not exceed Rs 10,000. Resident individuals can submit Form 121 to avail nil withholding, subject to eligibility.
For non-resident shareholders, TDS will be withheld at 20% plus applicable surcharge and cess. Specified funds and GDR holders qualify for a 10% rate plus surcharge and cess. Non-resident shareholders may opt for beneficial rates under the Double Tax Avoidance Agreement by submitting a Tax Residency Certificate, electronically filed Form 41, and a self-declaration of treaty eligibility.
Shareholders must submit the required documents by June 23, 2026 for Dalmia Bharat to determine the appropriate withholding tax rate. Documents received after the cutoff will not be considered. Resident shareholders can upload documents on the KFintech portal or email scanned copies, while non-resident shareholders must email their documents.
The final dividend, if declared by shareholders at the ensuing annual general meeting, will be paid after deducting tax at source. Shareholders have been requested to update their bank account details in their demat accounts for timely dividend credit.
Disclaimer: This article is based on company filings submitted to the Bombay Stock Exchange (BSE) and National Stock Exchange of India (NSE) and is for informational purposes only. It does not constitute investment advice or a recommendation. Investors should conduct their own research and consult a qualified financial advisor before making investment decisions.