TD Power Systems: TDS on Dividend Communication to Shareholders

TD Power Systems Ltd has issued a communication to its shareholders regarding Tax Deducted at Source (TDS) on dividends. The company reminded shareholders that dividend income is taxable as per the Income Tax Act, 2025. A detailed note on TDS procedures was sent with the AGM notice and Annual Report, and is also available on the company's website. The Board recommended a dividend of ₹1.10 per equity share for FY26, payable post shareholder approval. The company will withhold taxes at prescribed rates, varying based on shareholder residency and submitted documentation. Resident shareholders with valid PAN will face a 10% TDS, while those with invalid or unlinked PANs will be subject to 20%. Specific procedures and declarations are outlined for various shareholder categories to determine applicable TDS rates, including provisions for NIL or lower withholding tax under certain conditions.