Cochin Shipyard issues guidelines related to TDS on Dividend Payout for FY 25-26

The Board of Directors of Cochin Shipyard Limited (CSL) at their meeting held on January 28, 2026, have declared 02nd Interim Dividend of Rs 3.50 (70%) per equity share of face value of Rs 5 each for the financial year 2025-26. The dividend will be paid, subject to deduction of tax at source, by February 26, 2026 i.e., within 30 days from the date of declaration, to those who are Members of the Company as on the Record Date i.e., Tuesday, February 03, 2026.

For Resident Shareholders:

TDS would not apply in case of individuals if the aggregate dividend distributed to them during the financial year 2025-26 does not exceed Rs 10,000.

For Non-Resident Shareholders:

Tax is required to be deducted at source in accordance with the provisions of Section 195 and 196D of the Income Tax Act, 1961 at applicable rates in force. As per the relevant provisions of the Income Tax Act, 1961, the tax shall be deducted at source @ 20% (plus applicable surcharge and cess) on the amount of dividend payable.

No communication on the tax determination/ deduction shall be considered after February 03, 2026.

 Further, the Tax shall be deducted at source @ 20% (plus applicable surcharge and cess) on dividend paid to Foreign Institutional Investors and Foreign Portfolio Investors under Section 196D of the Income Tax Act, 1961. Such TDS rate shall not be reduced on account of the application of the lower DTAA rate, if any.