Welspun Corp Limited has communicated to shareholders the tax deduction at source provisions on the dividend recommended for the financial year 2025-26. The board had proposed a dividend of 100 percent per share at its meeting on May 21, 2026.
The recommended dividend is Rs 5 per equity share with a face value of Rs 5 each for the year ended March 31, 2026. The payout is subject to shareholder approval at the annual general meeting, and the record date will be announced later.
For resident shareholders, Welspun Corp will deduct tax at source at 10 percent where a valid Permanent Account Number is registered. A 20 percent rate applies for shareholders without a valid PAN or where PAN is not linked with Aadhaar. Resident individuals receiving total dividend up to Rs 10,000 in financial year 2026-27 will not face any tax deduction. Resident individuals meeting eligibility conditions can submit Form 121 for nil deduction.
Non-resident shareholders will face withholding tax at 20 percent plus applicable surcharge and cess. Those eligible for Double Tax Avoidance Agreement benefits may opt for a lower treaty rate upon submitting a tax residency certificate, Form 41, and other prescribed documents.
Shareholders seeking nil or lower tax deduction must submit the required forms and documents on or before June 30, 2026. Welspun Corp has stated that submissions received after this cut-off will not be considered for determining the withholding tax rate.
Welspun Corp has also requested shareholders to update their bank account details in their demat accounts or physical folios for timely credit of the dividend.
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.