Dividend / IEPF

A. Dividend Declared

Dividend on Equity Shares for the financial year ended	Dividend Rate	Dividend Rs./Share
For FY 2023-24
Final Dividend	21%	0.21
Interim Dividend	22%	0.22
For FY 2022-23
Final Dividend	0	0
Interim Dividend	22%	0.02
For FY 2021-22
Final Dividend	0	0
Interim Dividend	2%	.02

Tax on Dividend

In accordance with provisions of the Income-tax Act, 1961 (“Act”) as amended by, and read with the provisions of the Finance Act, 2020, applicable with effect from April 1, 2020, dividend declared and paid by the Company is taxable in the hands of its shareholders, and accordingly the Company is required to deduct tax at source (“TDS”) at the applicable rates. However, no TDS shall be deducted on the dividend payable to a resident individual if the total dividend to be received by them during Financial Year 2024-2025 does not exceed INR 5,000/-.

Forms for non-deduction of tax may be downloaded here:

Form 15G Click here Form 15H Click here

The details of the tax deduction rates and the document requirements are listed below for each category of shareholder:

Category of shareholder	Tax Deduction Rate	Exemption applicability/ Documentation requirement
For Resident Shareholders
A.Shareholders with duly registered Valid Permanent Account Number (PAN)
Any resident shareholder	10%	Update the PAN if not already done with depositories (in case of shares held in Demat mode) and with the Company's Registrar and Transfer Agent – ABS Consultant Pvt Ltd (in case of shares held in physical mode). No deduction of taxes in the following cases – If dividend income to a resident Individual shareholder during FY 2023-24 does not exceed INR 5,000/-. If the shareholder is exempted from TDS provisions through any circular or notification and provides an attested copy of the PAN along with the documentary evidence in relation to the same.
Resident individuals submitting Form 15G/ 15H	NIL	Shareholders providing Form 15G (applicable to individuals below 60 years) / Form 15H (applicable to an Individual above the age of 60 years) - on fulfilment of prescribed conditions.
Order under Section 197 of the Act	Rate provided in the order	Lower/NIL withholding tax certificate obtained from Income Tax authorities.
Insurance Companies: Public & Other Insurance Companies	NIL	Documentary evidence that the provisions of Section 194 of the Act are not applicable.
Corporation established by or under a Central Act which is, under any law for the time being in force, exempt from income- tax on its income.	NIL	Documentary evidence that the person is covered under Section 196 of the Act.
Mutual Funds	NIL	Documentary evidence that the person is covered under Section 196 of the Act. Self-attested Copy of valid SEBI registration Certificate.
Alternative Investment fund(Category-I and Category-II)	NIL	Documentary evidence that the person is covered by Notification No. 51/2015 dated 25 June 2015. Self-attested Copy of valid SEBI registration Certificate.
B. Shareholders WITHOUT duly registered Valid Permanent Account Number (PAN)
Other resident shareholders without registration of PAN or having Invalid PAN	20%	Update the PAN if not already done with depositories (in case of shares held in Demat mode) and with the Company's Registrar and Transfer Agent – ABS Consultant Pvt Ltd (in case of shares held in physical mode).
For Non-Resident Shareholders
Any Non-resident shareholder, Foreign Institutional Investors, Foreign Portfolio Investors (FII, FPI)	20% / Tax Treaty rate whichever is lower (increased by surcharge and cess wherever applicable)	Non-resident shareholders may opt for tax rate under the Double Taxation Avoidance Agreement ("Tax Treaty"). The Tax Treaty rate shall be applied for tax deduction at source on submission of the following documents to the company: Self-attested copy of Tax Residency Certificate (TRC) (of FY 2024-25 or calendar year 2024), valid as on date of declaration of dividend obtained from the tax authorities of the country of which the shareholder is resident. Self-declaration confirming not having a Permanent Establishment in India and eligibility to Tax Treaty benefit (of FY2024-25 or calendar year 2024). Electronically Filed Form 10F on Income Tax Portal as per Notification No. 03/2022 dated 16th July 2022 issued by the Income Tax Department. TDS shall be recovered at 20% (plus applicable surcharge and cess) if any of the above-mentioned documents are not provided. Further, please provide a copy of the PAN Card, if registered with the Indian tax authorities. The Company is not obligated to apply the Tax Treaty rates at the time of tax deduction / withholding on dividend amounts. Application of Tax Treaty rate shall depend upon the completeness of the documents submitted by the non-resident shareholder and are in accordance with the provisions of the Act.
Submitting Order under Section 197 of the Act	Rate provided in the Order	Lower/NIL withholding tax certificate obtained from Income Tax authorities.

Applicable to all shareholders (resident and non-resident)

In terms of the new introduced Section 206AB of the Act, where TDS is required to be deducted on any sum or income or amount paid, or payable or credited, by a person to a specified person, the tax shall be deducted at the higher of the below rates:-

at twice the rate specified in the relevant provision of the Act; or
at twice the rate or rates in force; or
at the rate of 5%.

The term ‘specified person’ is defined in Section 206AB as follows:

A person who has not furnished the return of income for the assessment year relevant to the previous year immediately preceding the financial year in which tax is required to be deducted, for which the time limit for furnishing the return of income under sub-section (1) of section 139 has expired and the aggregate of tax deducted at source and tax collected at source in his case is rupees fifty thousand or more in the said previous year. Further, Non-resident shareholders who do not have permanent establishment in India are excluded from the scope of a ‘specified person’.

Further, where the specified person has not submitted the PAN as well as not filed the return; the tax shall be deducted at the higher rate between both the said sections (i.e. Sections 206AA and 206AB).

Important Notes:

Recording of the valid Permanent Account Number (PAN) for the registered Folio/DP id-Client Id is mandatory. In absence of a valid PAN, the tax will be deducted at a higher rate of 20% as per Section 206AA of the Act.
Shareholders holding shares under multiple accounts under different status/category and single PAN, may note that, higher of the tax as applicable to the status in which shares held under a PAN will be considered on their entire holding in different accounts.
In any case the tax on said Dividend is deducted at a higher rate in absence of receipt of the aforementioned details/documents from you, there would still be an option available with you to file the return of income and claim an appropriate refund, if eligible. However, no claim shall lie against the Company for such taxes deducted.
On request, the Company can arrange to email a soft copy of the TDS certificate at the shareholders registered valid email ID in due course, post payment of the said Dividend. Shareholders will also be able to see the credit of TDS in Form 26AS, which can be downloaded from their e-filing account at https://incometaxindiaefiling.gov.in.

The above referred documents, duly completed and signed are required to be e-mailed to the Registrar & Transfer Agent (“RTA”) of the Company, ABS Consultant Pvt Ltd through registered e-mail address by quoting your Name, Folio number / Demat Account No., number of shares and PAN details at e-mail address; absconsultant99@gmail.com and to the Company at compliance@bmwil.co.in on or before July 15, 2024 in order to enable the Company to determine and deduct appropriate TDS / withholding tax.

In case where the originally signed documents are required to be submitted, the same should be submitted to our RTA at their address: ABS Consultant Pvt Ltd, Unit: BMW Industries Limited, 99, Stephen House, 6th Floor, 4, B. B. D. Bag, Kolkata – 700 001, within the above prescribed time limit.

No communication on the tax determination / deduction shall be entertained in respect of the above dividend declared after the above time limit.

Shareholders may note that in case the tax on the said Dividend is deducted at a higher rate in the absence of receipt, or insufficiency of the aforementioned details / documents from you, an option is available to you to file the return of income as per the Act and claim an appropriate refund, if eligible.

UPDATION OF BANK ACCOUNT DETAILS

In order to facilitate receipt of dividend directly in the relevant bank account, shareholders are requested to ensure that the bank account details in their respective demat accounts/physical folios are updated, to enable the Company to make timely credit of dividend in their relevant bank accounts.

Shareholders holding shares in physical folios are requested to note that SEBI vide its Circular No. SEBI/HO/MIRSD/MIRSD_RTAMB/P/CIR/2021/655 dated November 3, 2021 (subsequently amended by Circular Nos. SEBI/HO/MIRSD/MIRSD_ RTAMB/P/CIR/2021/687 dated December 14, 2021, SEBI/HO/MIRSD/MIRSD-PoD- 1/P/CIR/2023/37 March 16, 2023 and SEBI/HO/MIRSD/POD-1/P/CIR/2023/181 November 17, 2023, and other applicable circulars) has mandated that with effect from April 1, 2024, dividend to shareholders (holding securities in physical form), shall be paid only through electronic mode. Such payment shall be made only after furnishing the PAN, contact details including mobile number, bank account details and specimen signature.

B. Unclaimed Dividend

In terms of Section 124 of the Companies Act, 2013, read with the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 and the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017, all unpaid or unclaimed dividends are required to be transferred by the Company to the Investor Education and Protection Fund (“IEPF”) established by the Central Government, after completion of seven (7) years. The Rules, inter alia, also contain provisions for transfer of all shares in respect of which dividend has not been paid or claimed by the shareholders of the Company for seven (7) consecutive years or more in the name of IEPF Authority.

Since, seven (7) consecutive years has not yer completed from the date of declaration of dividend. Hence, the above provisions are not applicable on the Company.

Refund to Claimants from IEPF: Not applicable

Details of the Nodal Officer

NODAL OFFICER FOR IEPF:

The Company Secretary,

BMW Industries Limited,

White House, 3rd Floor, 119 Park Street,

Kolkata 700016.

E-mail: compliance@bmwil.co.in

Telephone: 033-4007 1704