Life Insurance Corporation of India has outlined the tax deduction at source (TDS) process for the final dividend of ₹10 per equity share recommended for the financial year 2025-26. The dividend, subject to shareholder approval at the 5th Annual General Meeting (AGM) on July 27, 2026, will be paid on or before August 25, 2026. The Corporation will deduct tax based on the residential status and entity classification of members, with specific documentation required by June 24, 2026, to avail of lower rates or exemptions.

Pursuant to the Income Tax Act, 2025, the Corporation will apply TDS rates on dividend payment based on active tax status and entity profile available with the depository as on the Record Date of June 25, 2026. For resident individuals with a valid PAN, the TDS rate is 10%, while those without a registered PAN will face a 20% deduction. No tax will be deducted for resident individuals if the total dividend income during Tax Year 2026-27 does not exceed ₹10,000, or if they submit Form 121 or an exemption certificate.

Resident Member Categories

Resident entities other than individuals may qualify for nil TDS upon submission of specific declarations and documents. The categories include Insurance Companies, Alternative Investment Funds (Category I and II), Mutual Funds, National Pension System (NPS) Trust, and Corporations established by or under a Central Act.

Non-Resident Members

For non-resident members, the standard TDS rate is 20% plus applicable surcharge and cess. Members can opt for lower rates specified in Double Tax Avoidance Agreements (DTAA) or provide a lower tax certificate issued under Section 395(1) of the IT Act, 2025. To avail of beneficial DTAA rates, members must submit a Tax Residency Certificate, a self-declaration of no Permanent Establishment in India, and other documentation by June 24, 2026.

Dividend payments will be made exclusively through electronic modes approved by the Reserve Bank of India. Members must ensure their bank account and KYC details are updated with their depository participants or the RTA, KFin Technologies Limited. The Corporation’s Tax Deduction Account Number (TAN) is MUML13465E. Any certificate issued with an incorrect TAN cannot be processed, and standard statutory tax rates will apply.

LIC of India has re-designated Smt Radha Chatterjee as Chief (In-Charge) (Corporate Governance/Golden Jubilee Foundation) at its Central Office in Mumbai, effective June 09, 2026. Consequently, she now falls under the definition of Senior Management Personnel of the Corporation. The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Smt Radha Chatterjee joined the Life Insurance Corporation of India in 1992 as an Assistant Administrative Officer. She is a B.Sc. (Physics) Graduate and a Fellow of the Insurance Institute of India. Her career spans 34 years in the Corporation, during which she has worked across the Southern Zone, Western Zone, Eastern Zone, East Central Zone and Central Office in diverse roles.

Prior to this re-designation, she served as Chief (Corporate Governance/Golden Jubilee Foundation/Regulatory Compliance) at the Central Office in Mumbai since 2024. She has also served as Senior Branch Manager (In-Charge) and Chief Manager (In-Charge) at Asansol, Pune and Kolkata, and headed Pension & Group Scheme Units at Pune and Kolkata. Her Central Office assignments include Regulatory Compliance, Corporate Governance and Subsidiaries Departments. She has been an Honorary Secretary of LIC Golden Jubilee Foundation since 2021.

Details of Re-designation