Hindustan Copper Limited has issued a communication to its shareholders regarding the tax deduction at source (TDS) applicable on dividend payments for the Financial Year 2025-26. The company will deduct TDS at prescribed rates based on shareholder categories. Shareholders are requested to submit necessary documents, including PAN and residential status, to ensure correct tax application. The dividend is recommended by the Board and will be declared at the AGM scheduled for 23.09.2026.
Hindustan Copper Ltd. Notifies Shareholders on Dividend TDS for FY 2025-26
Hindustan Copper Limited (HCL) has formally communicated with its shareholders concerning the Tax Deduction at Source (TDS) procedures applicable to the final dividend for the Financial Year 2025-26. This directive aligns with the provisions of the Income-tax Act, 2025.
Dividend Recommendation and Declaration
The Board of Directors of Hindustan Copper Limited, in its meeting held on 15.05.2026, recommended a dividend of Rs. 1.86/- per equity share. This dividend is subject to declaration at the Annual General Meeting (AGM) scheduled for 23.09.2026. The payment will be processed after the AGM for shareholders of record as of 16.09.2026.
Tax Deduction at Source (TDS) Procedures
As per the Income-tax Act, 2025, HCL is mandated to deduct TDS on dividend payments at rates determined by the shareholder’s category and residential status. Shareholders are urged to provide essential details, including a Valid Permanent Account Number (PAN), residential status, category of shareholder, and address with PIN code, to facilitate accurate TDS application. The company will rely on details available as of the Record Date, 16.09.2026, for TDS compliance.
For Resident Shareholders
Resident shareholders will generally face a 10% TDS on dividend income if their PAN is furnished. However, no tax will be deducted if the total dividend received during FY 2026-27 does not exceed INR 10,000 (for individuals). Resident individuals whose income is below the taxable limit can also provide a declaration in the prescribed Form 121. For resident non-individuals, specific documentation is required to avail of Nil or lower TDS rates.
For Non-Resident Shareholders
Non-resident shareholders are subject to withholding tax, typically at 20%, unless they qualify for benefits under a Double Tax Avoidance Treaty (DTAA) between India and their country of tax residence. To avail DTAA benefits, non-residents must submit a valid Tax Residency Certificate (TRC), PAN, and other relevant documents as outlined in the annexures. Shareholders residing in Notified Jurisdictional Areas will face a 30% TDS rate.
Document Submission Requirements
Shareholders are required to submit the necessary documents and declarations to the Company’s Registrar and Transfer Agent (RTA), Alankit Assignments Ltd., via their website (https://alankitassignments.com/) or email ([email protected]) by 22.09.2026. Documents submitted after this cut-off date will be considered at the Company’s discretion. It is emphasized that shareholders must submit these documents afresh, even if previously provided, to avoid TDS exemption denial.
Important Notes for Shareholders
Shareholders are advised to ensure their email IDs and bank account details are updated with the Company or their Depository Participants to receive timely communications and ensure accurate dividend disbursement. The company has also highlighted that dividend payments will be made electronically. The announcement also includes details regarding the submission of declarations for dividend income assessable in the hands of beneficiaries other than the registered shareholder.
Source: BSE
