Jubilant Pharmova Limited has issued a communication to its shareholders regarding the deduction of tax at source (TDS) on the proposed final dividend for the financial year 2025-26. The notice clarifies the tax rates applicable to resident and non-resident shareholders, the required documentation for claiming lower or nil tax deductions, and the deadlines for submission, which is primarily August 14, 2026. Shareholders are advised to update their PAN details and consult tax advisors.
Dividend Tax Disclosure for FY 2025-26
Jubilant Pharmova Limited has provided a detailed disclosure concerning the Tax Deducted at Source (TDS) on the proposed final dividend for the financial year 2025-26. This communication is sent to shareholders to inform them about the procedures and tax implications related to the dividend, subject to its approval at the upcoming Annual General Meeting.
Key Dates and Deadlines
Shareholders are informed that the record date for determining eligibility for the final dividend is Friday, July 24, 2026. Crucially, all required documents and declarations for claiming appropriate TDS rates, including lower or nil tax deductions, must be submitted on or before August 14, 2026. Submissions received after this date will not be considered for determining the applicable tax rate.
Resident Shareholders
For resident individual shareholders, no tax will be deducted if the total dividend paid during FY 2026-27 does not exceed INR 10,000. A valid PAN updated in the company’s register of members will attract a 10% withholding tax rate. If a PAN is not updated or not linked with Aadhaar (for individuals), a 20% TDS rate will apply. Shareholders seeking lower or nil tax deduction must submit specific certificates or declarations by the specified deadline.
Non-Resident Shareholders
Non-resident shareholders are subject to a 20% withholding tax rate, plus applicable surcharge and cess, or a lower tax treaty rate, whichever is more beneficial. To avail these beneficial rates, required documents such as a Tax Residency Certificate, PAN declaration, and self-declaration for non-existence of a Permanent Establishment in India must be submitted by August 14, 2026. Failure to provide these documents may result in withholding tax at a higher rate of 35%.
Document Submission and Compliance
All necessary documents, including Form 121, FPI/FII registration certificates, Tax Residency Certificates, and Lower Tax certificates, can be submitted via email to [email protected] or [email protected]. Shareholders are strongly advised to update their KYC details and PAN information with their respective Depository Participants or the Company’s Registrar and Share Transfer Agent to ensure smooth processing of dividend payments and communications.
The company reserves the right to independently verify submitted information and apply the appropriate withholding tax rate based on its assessment and the provisions of the Income-tax Act, 2025.
Source: BSE
