The Great Eastern Shipping Company has announced details regarding Tax Deduction at Source (TDS) on dividend payments for the financial year 2025-26. The company will deduct income tax at source on dividend payments, with rates varying based on the shareholder’s residential status and submitted documents. Shareholders are requested to submit necessary documents to claim applicable tax exemptions before February 4, 2026.
Interim Dividend Announcement
The Board of Directors of The Great Eastern Shipping Company has declared an interim dividend of Rs.9/- per equity share for the financial year 2025-26. Dividends paid or distributed by the Company are taxable in the hands of the shareholders, as per the Income-tax Act.
Tax Deduction at Source (TDS) Details
The Company is required to deduct Income-tax at source (TDS) or withholding tax at the time of making the dividend payment. The TDS or withholding tax rate will depend on the residential status of each shareholder and the documents they submit.
TDS for Resident Shareholders
For resident shareholders holding a valid Permanent Account Number (PAN) linked with Aadhaar:
- Tax will be deducted at source under section 194 of the Income-tax Act at 10% on the dividend amount.
- No tax will be deducted for individual shareholders if the dividend amount does not exceed INR 10,000, or if they submit Form 15G or Form 15H.
No tax will be deducted on dividend payable to resident non-individuals who provide necessary documents, including self-declarations and PAN details, to KFin Technologies Limited.
TDS for Non-Resident Shareholders
Tax will be deducted at a rate of 20% (plus applicable surcharge and cess) on the dividend amount for non-resident shareholders.
Non-resident shareholders can opt to be governed by the Double Tax Avoidance Treaty (DTAA/Tax Treaty) between India and their country of tax residence, if beneficial. They must furnish necessary documents by February 4, 2026, to KFin Technologies Limited.
Required Documents for DTAA Benefit
Non-resident shareholders need to furnish the following documents by February 4, 2026:
- Self-attested copy of Permanent Account Number (PAN).
- Self-attested Tax Residency Certificate (TRC) for the financial year 2025-26.
- Form 10F electronically filed on the Income-tax department’s website, with a self-attested copy.
- Self-declaration meeting treaty eligibility and beneficial ownership requirements.
Important Dates and Contact Information
Shareholders are requested to submit all necessary documents by February 4, 2026, to avail applicable tax benefits. All documents and queries should be directed via email to [email protected] and [email protected].
Source: BSE
