Dividend

Definition

Portion of company profit distributed to shareholders as cash or additional shares.

In Context

Dividend income is fully taxable at the recipient's applicable income tax slab rate (5%, 20%, or 30%) — NOT a flat 10%. TDS is deducted at 10% by the company if annual dividend exceeds ₹5,000. Claim TDS credit in ITR. Report under 'Income from Other Sources'.

Related Terms

Want personalized financial guidance?

Use Kuber.AI to understand how Dividend applies to your financial plan.

Download Kuber.AI
⚠️ Disclaimer: This glossary is for educational purposes. Simplify Money provides analytical insights and guidance. We have applied for SEBI RIA registration.
Glossary Navigation

Explore financial and tax terms related to Indian personal finance.

← All Terms