Abbott India Limited has issued a communication regarding the Tax Deduction at Source (TDS) on dividends for the financial year 2025-26. Shareholders are informed about the applicable TDS rates, required documents, and deadlines, particularly July 24, 2026, for submissions. The company emphasizes the importance of accurate Permanent Account Number (PAN) and other details for correct tax application and encourages shareholders to review the provided guidelines to ensure compliance.
Dividend Tax Deduction at Source (TDS) Announcement
Abbott India Limited has formally communicated crucial information to its shareholders concerning the Tax Deduction at Source (TDS) applicable to dividends for the financial year 2025-26. This announcement, dated June 15, 2026, outlines the essential procedures and requirements for shareholders to ensure compliance with the Income Tax Act, 2025.
Key Dates and Submission Requirements
Shareholders are strongly advised to submit updated details, including their Permanent Account Number (PAN), bank information, email address, mobile number, residential address, and residential status, by July 24, 2026. This deadline is critical for the company to accurately determine and apply the applicable TDS provisions. Failure to submit these details by the stipulated date may result in higher tax deductions.
Dividend Details and TDS Rates
The Board of Directors has recommended a final dividend of INR 525/- and a special dividend of INR 131/- per equity share for the financial year ended March 31, 2026. This dividend is subject to shareholder approval at the Annual General Meeting on August 13, 2026. The dividend is expected to be paid on or after August 18, 2026, to shareholders on record as of July 24, 2026.
The TDS rates will vary based on the shareholder’s residential status and category. For resident individuals, no tax will be deducted if the total dividend received does not exceed INR 10,000/- for FY 2026-27. For resident individuals receiving over INR 10,000/-, a 10% TDS will apply if a valid PAN is provided. In cases where PAN is not provided, is inoperative, or for specific resident non-individuals, higher TDS rates may apply, up to 20%.
Non-Resident Shareholders
Non-resident shareholders can avail of Double Tax Avoidance Agreement (Tax Treaty) benefits by submitting specific documents, including a self-attested copy of their PAN card and Tax Residency Certificate (TRC). The company has also detailed the process for obtaining Form 41 for eligible non-residents. In the absence of required documentation, non-residents may face a TDS rate of 20% plus applicable surcharge and cess, or the beneficial tax treaty rate upon submission of necessary documents.
Important Notes for Shareholders
All submitted documents must be scanned copies, duly completed and signed, and uploaded via the link provided by the Registrar and Transfer Agent, KFin Technologies Limited, by July 24, 2026. The company reserves the right to reject any documents found to be discrepant or incomplete. Communication regarding tax determination post the deadline will not be entertained.
Shareholders are advised to consult with a tax professional for personalized advice. The company will rely on the Income Tax Department’s Compliance Check Functionality for applying withholding tax rates. Detailed information and forms are available on the company’s website, www.abbott.co.in.
Source: BSE
