Godfrey Phillips India Limited has announced an interim dividend of ₹10/- per equity share for the financial year ending March 31, 2027. The dividend will be paid to shareholders of record as of November 12, 2026. The company has also provided detailed information regarding the Tax Deduction at Source (TDS) process applicable to this dividend payment, outlining requirements for resident and non-resident shareholders.
Interim Dividend Declared
The Board of Directors at Godfrey Phillips India Limited, in their meeting held on November 5, 2026, has declared an interim dividend. Shareholders will receive ₹10/- per equity share, based on a face value of ₹2/- per share, for the financial year ending March 31, 2027. The record date for determining the eligibility of shareholders to receive this dividend is set for November 12, 2026.
Tax Deduction at Source (TDS) Information
In compliance with the Income-tax Act, 2025, the company is required to deduct tax at source on dividend payments. The rate of TDS depends on the shareholder’s category and compliance with certain conditions.
For Resident Shareholders
- A standard TDS rate of 10% will be applied on the dividend amount, unless exempt under specific provisions of the Act.
- However, for resident individual shareholders, TDS will not be deducted if the total dividend distributed does not exceed ₹10,000/- during the financial year.
- Resident individuals can also avoid TDS by submitting a duly filled Form 121, provided they meet the eligibility criteria.
- A valid Permanent Account Number (PAN) is mandatory for all shareholders.
Exemptions for Specific Resident Categories
NIL or lower tax deduction is applicable for specific resident shareholders upon submission of self-declarations and supporting documents. These categories include:
- Insurance companies
- Mutual Funds
- Alternative Investment Funds (AIF) established in India
- New Pension System Trust
- Other shareholders claiming exemption through valid certificates or documentary evidence.
For Non-Resident Shareholders (including Foreign Portfolio Investors)
Tax will be withheld at applicable rates, generally 20% (plus surcharge and cess) on the dividend amount. Non-resident shareholders may opt for beneficial rates under Double Tax Avoidance Agreements (DTAA) between India and their country of tax residence. To avail DTAA benefits, shareholders must provide:
- Self-attested copy of PAN (if allotted).
- Valid Tax Residency Certificate (TRC) for FY 2026-27.
- Electronically filed Form 41 (valid for FY 2026-27).
- A self-declaration confirming DTAA eligibility and beneficial ownership.
- For Foreign Portfolio Investors, a self-attested copy of the SEBI registration certificate.
- For tax residents of Singapore, evidence demonstrating non-applicability of Article 24 of the India-Singapore DTAA.
Higher TDS Rate for Non-Linkage of PAN with Aadhaar
As per Section 262 of the Income Tax Act, failure to link PAN with Aadhaar may result in a deemed invalid PAN and TDS deduction at a higher rate of 20%, as per Section 397 of the Act. The company will utilize the Income-tax department’s functionality for this process.
Summary of TDS Application
- NIL: Resident shareholders receiving up to ₹10,000/- or those submitting Form 121.
- 10%: Other resident shareholders providing a PAN copy.
- 20%: Resident shareholders without a PAN copy, or where PAN and Aadhaar are not linked.
- Tax (DTAA rate if applicable): Assessed based on documents submitted by non-resident shareholders.
- 20% plus surcharge and cess: Non-resident shareholders failing to submit required documents.
- Lower/NIL TDS: Upon submission of a valid certificate under Section 395(1) of the Act.
Important Updates for Shareholders
Shareholders are urged to update their details such as tax residential status, PAN, email addresses, and bank account details with their respective depositories (for demat shares) or the Company’s Registrar and Share Transfer Agent (for physical shares). These updates should be completed by November 12, 2026, to ensure correct tax treatment and timely dividend payment. All dividend payments will be made electronically, requiring KYC compliance.
Source: BSE
