Symphony Ltd announces TDS details for final dividend, shareholders to get Rs 8 per share payout

Symphony Limited has issued details for the tax deducted at source (TDS) applicability on its proposed dividend for the fiscal year 2024-25. Symphony Ltd's Board of Directors had declared a final dividend of ₹8.00 per equity share, representing 400% on a face value of ₹2.00 per share, for the financial year 2024-25. The dividend was approved at a board meeting held on May 07, 2025, with the record date set for Friday, July 18, 2025. The company has issued a detailed communication to shareholders regarding TDS on this dividend distribution, outlining the applicable provisions under the Income Tax Act, 1961.

Dividend DetailsParticulars

Details

Dividend per share

₹8.00Dividend Percentage

400%Face Value per share

₹2.00Financial Year

2024-25Board Meeting Date

May 07, 2025Record Date

July 18, 2025Payment Date

On or after July 18, 2025

Dividend Details and Payment ProcessThe final dividend of ₹8.00 per equity share will be paid to shareholders whose names appear in the company's Register of Members as of the record date, July 18, 2025. Eligible shareholders will receive the dividend through electronic credit to their registered bank accounts. For those who have not registered their bank account details with their depository participant or Registrar and Share Transfer Agent (RTA), demand drafts will be dispatched to their registered addresses.Taxation of Dividends and TDS ProvisionsAs per the Income Tax Act, 1961, amended by the Finance Act, 2020, Dividend Distribution Tax (DDT) has been abolished with effect from April 1, 2020. Consequently, dividend income is now taxable in the hands of the shareholders. Companies are mandated to withhold tax at source from dividends paid to shareholders at prescribed rates, along with applicable surcharge and cess. The TDS rate varies based on the residential status of the shareholder and the documents submitted to and accepted by the company.Mandatory Shareholder Details for TDS ComplianceAll shareholders are urged to ensure that their details are complete and updated in their depository records (for demat shares) or with the RTA (for physical shares) by the record date, July 18, 2025. The essential details required include:

• Residential status (Resident or Non-Resident) for FY 2025-26.
• Valid Permanent Account Number (PAN).
• Category of shareholder (e.g., Mutual Fund, Insurance Company, AIF, FPI, Foreign Company, Individual, HUF, Firm, Trust, etc.).
• Email ID.
• Address.

The company will rely on these details as available on the record date for complying with TDS provisions.TDS Provisions for Resident ShareholdersFor resident shareholders, the TDS rates and documentation requirements are as follows:

• Mutual Funds: No TDS is required under Section 196, provided they submit a declaration stating they are governed by Section 10(23D) of the Act, along with self-attested copies of relevant registration documents.
• Alternative Investment Funds (AIF) Category I and II: No TDS is required under Section 197A(1F), subject to submission of a valid SEBI registration certificate and a declaration that their income is exempt under Section 10(23FBA).
• Other Resident Shareholders: TDS is generally deducted at 10% under Section 194. However, no TDS is required if the aggregate dividend distributed to an individual shareholder during the financial year does not exceed ₹10,000. Additionally, individuals can submit a valid Form 15G (for those with no tax liability and income below the taxable limit) or Form 15H (for individuals aged 60 years or above with no tax liability) to avoid TDS. If a valid PAN is not available, TDS will be deducted at 20% under Section 206AA. Lower tax withholding certificates issued under Section 197, if provided, will also be considered.
• New Pension System (NPS) Trust: No TDS is required if a self-declaration is provided stating qualification as an NPS trust and income exemption under Section 10(44), along with a self-attested PAN card copy.
• Recognized Provident Fund, Approved Superannuation Fund, Approved Gratuity Fund: No TDS is required, subject to submission of valid orders or documentary evidence of approval from the Commissioner.
• Any other entity entitled to exemption from TDS: Valid documentary evidence supporting the TDS exemption must be submitted.

TDS Provisions for Non-Resident ShareholdersFor non-resident shareholders, specific TDS rates and documentation apply:

• FPIs and FIIs: TDS is deducted at 20% (plus applicable surcharge and cess) under Section 196D.
• Application of DTAA Benefits: Non-resident shareholders may opt to be governed by the provisions of the Double Tax Avoidance Agreement (DTAA) between India and their country of tax residence if these are more beneficial. To avail DTAA benefits, shareholders must provide:
  • Copy of PAN allotted by Indian Income Tax authorities.
  • Copy of valid Tax Residency Certificate (TRC) from their country's tax authorities.
  • Self-declaration in Electronic Form 10F.
  • Self-declaration on letterhead confirming no Permanent Establishment (PE) in India, beneficial ownership of shares, and eligibility to claim treaty benefits (as per Annexure 1 provided by the company).
  The company is not obligated to apply beneficial DTAA rates without complete and satisfactory review of these documents.
• Category I and II Alternative Investment Funds (AIF): No TDS is required under Section 197A(1F), subject to submission of a valid SEBI registration certificate and a declaration that their income is exempt under Section 10(23FBA).
• Any entity entitled to exemption from TDS: Valid documentary evidence (e.g., registration, notification, order by Indian tax authorities) supporting the TDS exemption must be submitted.

Submission of Documents and Important Considerations

Shareholders are required to email their documents to tds@bigshareonline.com and investors@symphonylimited.com (RTA/Company) or send physical documents to Bigshare Services Private Limited (Unit: Symphony Limited, Office No S6-2, 6th Floor, Pinnacle Business Park, Next to Ahura Centre, Mahakali Caves Road, Andheri (East) Mumbai – 400093, Maharashtra) on or before the record date, July 18, 2025. Documents sent physically after the cut-off date will not be considered.

In cases where tax on dividend is deducted at a higher rate due to the absence or defect in any required details or documents, shareholders can claim a refund of the excess tax deducted by filing their income tax return. The company will not be liable for such taxes deducted. If the dividend income is assessable in the hands of a person other than the registered shareholder, the registered shareholder must furnish a declaration to the company containing the name, address, and PAN of the person to whom TDS credit is to be given, along with reasons.The company will email a soft copy of the TDS certificate to registered email IDs, and the TDS amount will also be reflected in the shareholder's Form 26AS, accessible via the e-filing portal. Shareholders are advised that this dividend will be taxable in their hands for FY 2025-26, and all furnished details and declarations should pertain to this financial year.DisclaimerSymphony Limited emphasizes that this communication summarizes the provisions of law and does not constitute a complete analysis of all potential tax consequences. Shareholders are strongly advised to consult their own tax advisors for specific guidance tailored to their individual circumstances.