Route Mobile Limited has issued a detailed communication to its shareholders regarding the tax implications on its recently declared Second Interim Dividend of ₹4 per equity share. The company is explaining the process of withholding tax (TDS) on dividend payments, outlining various scenarios for resident and non-resident shareholders, and detailing the necessary documentation required to avail beneficial tax rates or exemptions. The information is also available on the company’s website.
Route Mobile Clarifies Dividend Tax Procedures
Route Mobile Limited has provided shareholders with comprehensive information regarding the Tax Deducted at Source (TDS) applicable to the recently declared Second Interim Dividend of ₹4 per equity share for the Financial Year 2026-27. This announcement follows the Board’s decision on October 27, 2026, with the dividend set to be paid on or after November 17, 2026. The company aims to clarify the withholding tax process and documentation requirements for both resident and non-resident investors.
Key Information for Shareholders
According to the revised Income-tax Act, 2025, dividend payments are taxable in the hands of shareholders. Route Mobile will be required to deduct TDS at applicable rates unless specific exemptions apply. Notably, for resident individual shareholders, TDS is not applicable if the aggregate dividend payout in Tax Year 2026-27 is less than ₹10,000. Shareholders are urged to ensure their Permanent Account Number (PAN) details are updated with the company or their depositories to avoid a higher TDS rate of 20%.
Resident Shareholder Requirements
Resident shareholders can avail lower TDS rates or exemptions by providing specific documentation. This includes a valid PAN, a lower/nil tax deduction certificate from the Income Tax Department, or submitting Form 121 for individuals under certain conditions. Specific categories like securitisation trusts, insurance companies, alternative investment funds, provident funds, and NPS trusts have distinct documentation requirements for tax benefits.
Non-Resident Shareholder Guidelines
Non-resident shareholders, including FIIs and FPIs, will have tax withheld as per the Act or their respective tax treaty rates, whichever is more beneficial. To avail beneficial treaty rates, shareholders must submit documents such as a SEBI registration certificate (for FPI/FII), a Tax Residency Certificate (TRC) for TY 2026-27, a self-certified PAN, and Form 41 in electronic format. A self-declaration regarding the non-existence of a permanent establishment in India and eligibility for Tax Treaty benefits is also required.
Document Submission and Deadlines
All tax-related documents, including Form 121 and supporting declarations, must be uploaded by 5:00 PM IST on Monday, November 02, 2026. Documents submitted after this deadline will not be considered. Shareholders holding shares in physical form are also reminded of the mandate to update KYC details, including PAN, through the company’s Registrar and Share Transfer Agent, KFin Technologies Limited.
The full communication, including links to forms and detailed procedures, is available on the company’s website and has been emailed to registered shareholders.
Source: BSE
