Pursuant to the changes introduced by the Finance Act, 2020, the Dividend Distribution Tax has been abolished with effect from 1st April, 2020 and the Dividend income has become taxable ....

HFCL Limited has informed shareholders about the tax deduction process applicable on the dividend recommended by its Board on May 22, 2025. The Board recommended a 10% dividend, i.e. Re. 0.10 per equity share (face value Re. 1), for FY 2024-25, subject to shareholder approval at the upcoming AGM. TDS will be deducted at 10% for resident shareholders with a valid PAN and at a higher 20% if PAN is not provided or Aadhaar is not linked with PAN. No tax will be deducted if total dividend in a financial year does not exceed Rs. 10,000, which means shareholders holding up to 1,00,000 shares need not submit Form 15G/15H. Non-resident shareholders face a default TDS of 20% plus applicable surcharge and cess, with DTAA benefits available if proper documents like Tax Residency Certificate and Form 10F are submitted. The cut-off date to submit all tax-related documents to the company or its RTA is August 7, 2025.