Oriental Aromatics Limited has established the tax deducted at source (TDS) framework for the final dividend of Rs 0.50 per equity share recommended for the financial year 2025-26. The Board of Directors approved the dividend, which amounts to 10% on the face value of Rs 5 each, subject to shareholder approval at the Annual General Meeting scheduled for August 18, 2026. The dividend will be paid to members whose names appear in the Register of Members or the list of Beneficial Owners as on the record date of August 5, 2026.

Pursuant to the Income Tax Act, 2025, dividend income is taxable in the hands of shareholders, necessitating TDS deduction at the time of payment. The applicable tax rate varies based on the shareholder's category and the validity of submitted documents. Oriental Aromatics has specified that resident shareholders with a valid Permanent Account Number (PAN) will face a 10% deduction under Section 393(1) of the Act, unless specific exemptions apply.

Resident Shareholder TDS Rates

The company outlined specific conditions for resident shareholders to avoid or reduce TDS. No tax will be deducted if the aggregate dividend income during the Tax Year 2026-27 does not exceed INR 10,000, provided it is not paid in cash. Additionally, shareholders may submit Form 121 or a certificate under Section 395(1) of the Act for NIL or lower deduction rates. Failure to provide a valid PAN will result in a higher TDS rate of 20% under Section 397(2) of the Act.

Non-Resident and Exempt Categories

Non-resident shareholders, excluding Foreign Institutional Investors (FIIs) and Foreign Portfolio Investors (FPIs), are subject to a 20% TDS rate plus surcharge and cess, unless a lower Double Taxation Avoidance Agreement (Treaty) rate applies. To claim treaty benefits, shareholders must submit a Tax Residency Certificate (TRC), Form 41, and a self-declaration confirming the absence of a Permanent Establishment in India. Certain entities, such as insurance companies, mutual funds, and provident funds, are exempt from TDS (0%) upon submission of self-declarations and valid registration certificates.

Shareholders must update or submit the required documents via the Registrar and Transfer Agent, MUFG Intime India Private Limited, on or before the record date of August 5, 2026. Documents received after this date will not be considered for TDS determination. The company clarified that it is not obligated to apply beneficial tax treaty rates if the documentation is incomplete or unsatisfactory. Shareholders can view the TDS credit in Form 168 through the e-filing portal.

Oriental Aromatics Limited has fixed Wednesday, August 5, 2026, as the record date to determine shareholder eligibility for a dividend of ₹0.50 per equity share. The payout, recommended by the Board on May 20, 2026, is subject to approval at the 54th Annual General Meeting scheduled for Tuesday, August 18, 2026. Shareholders whose names appear in the register of members or the list of beneficial owners maintained by depositories on the record date will be entitled to receive the dividend.

The AGM will be held at 11:00 a.m. IST via Video Conferencing (VC) and Other Audio Visual Means (OAVM). In compliance with regulatory provisions, the meeting will be conducted without a physical venue. Members attending through VC/OAVM will be counted for the purpose of quorum under Section 103 of the Companies Act, 2013. The Notice of AGM and the Annual Report for FY26 will be sent electronically to members with registered email addresses, while others will receive a communication containing the web link to access these documents.

The company has provided remote e-voting facilities to all members to cast votes on resolutions set forth in the notice. Detailed procedures for remote e-voting and participation in the AGM through VC/OAVM are outlined in the notice. Members holding shares in physical or dematerialized mode who have not registered their email addresses are requested to update them with the Registrar and Share Transfer Agent, MUFG Intime India Private Limited, or their depository participants respectively.

Key AGM and Dividend Details

Dividend payments will be made electronically to shareholders who have complied with KYC norms. The company has stated that dividend is taxable in the hands of shareholders, and tax deducted at source (TDS) will be applicable as per the provisions of the Income Tax Act, 2025. Members are requested to submit necessary documents such as Form 15G or 15H by August 5, 2026, to facilitate appropriate TDS deduction.