Cosmo First Limited — Regulatory Filings 2021

Sep 16, 2021

CFL/SEC/SE/2021-22/SEP/04

September 16, 2021

T h M ( L i i ) st e a na ge r n g	T h M ( L i i ) st e a na ge r n g
B b S ck E h L i i d to te o m a y xc a n ge m	S f N i l ck E h I nd i L td at to o na xc a n ge o a
P h i J j b h T ro ze ee ee o y ow er s,	Ex ch P l an ge az a ,
D la l S tr t a ee ,	. C / , G P l l B l ck ot n o o ,
M ba i-4 0 0 0 0 1 m u	C B nd K rl l a ra a o m p ex u -
S C i d : 5 0 8 8 1 4 cr p o e	M ba i-4 00 0 5 1 um
	S C O S O S ri I D " M F I L M " '" t e c u y :

Sub: First Interim Dividend 2022 - Communication on Tax Deduction at Source (TDS) on Dividend payout

Dear Sir,

We are enclosing herewith the communication being sent to the shareholders through email on the above referred subject for dissemination of information widely to the members.

A copy of the above communication is also available on the vvebsite of the Company www.03smofilms.com.

You are requested to take the same on your records.

Thanking You

Yours faithfully For-Qosnip Films ^Tmited

Jyoti t^it Comp&ny Secretary & Compliance Officer

End: as above

COSMO FILMS LIMITED Regd. Off: 1008, DLF Tower-A, Jasola District Centre, New Delhi-110025 CIN- L92114DL1976PLC008355 Tel: +91 11 49494949 Fax: +91 11 49494950 E-mail: investor.relations@cosmofilms.com, Website: www.cosmofilms.com

September 16, 2021

Sub: First Interim Dividend 2022 - Communication on Tax Deduction at Source (TDS) on Dividend payout.

Dear Shareholder,

We are pleased to inform you that the Board of Directors of Cosmo Films Limited ('the Company') in their meeting held on September 16, 2021 has approved the payment of interim dividend of Rs. 25 (Rupees Twenty Five Only) per equity share of Rs. 10 each for the Financial Year 2021-22 with September 28, 2021 being fixed as Record Date for payment of the said interim dividend.

Pursuant to the amendments introduced in the Income-tax Act, 1961 ('the Act') vide Finance Act, 2020, dividend paid after April 1, 2020, shall be taxable in the hands of the Shareholders and the Company shall be required to withhold taxes at the prescribed rates on the dividend paid to its shareholders. The withholding tax rate would vary depending on the residential status, category of the shareholder and is subject to provision of requisite declarations / documents to the Company. However, no tax will be deducted on payment of dividend to the resident individual shareholders if the total dividend for the Financial year ('FY') 2021-22, does not exceed Rs. 5,000/-

Shareholders are requested to take note of the TDS rates and document(s), if any, required to be submitted to the Company by October 1, 2021 for their respective category, in order to comply with the applicable TDS provisions.

A. RESIDENT SHAREHOLDERS:

A.1 Tax deductible at source for Resident Shareholders (other than resident individual shareholders receiving dividend not exceeding INR 5,000 during the FY 2021-22)

S	Particular	Withholding	Declaration / documents
No		tax rate	required
1	Valid PAN updated with the	10%	No documents required
	Depository Participant in case		(if no exemption is
	shares are held in dematerialized		sought)
	form; or Registrar and Transfer
	Agent ('RTA') in case shares are
	held in physical form.

2	No / Invalid PAN with the Depository Participant in case shares are held in dematerialized form; or RTA in case shares are held in physical form.	20%	No documents required (if no exemption is sought)
3	PAN is not linked with Aadhar as on 30th September, 2021	20%	The Company shall verify the status at Compliance Check functionality provided by the Central Board of Direct Taxes (CBDT).
4	Shareholder is a "specified person" as defined in section 206AB of the Income Tax i.e. has not filed the returns for FY 2018- 19 and FY 2019-20 within the permissible time limit and was subjected to TDS/ TCS of Rs 50,000 or more in each of the said two FYs.	20%	The Company shall verify the status at Compliance Check functionality provided by the Central Board of Direct Taxes (CBDT).
5	Availability of lower/nil tax deduction certificate issued by Income Tax Department u/s 197 of the Act	Rate specified in Lower tax withholding certificate obtained from Income Tax Department	Copy of lower tax withholding certificate obtained from Income Tax Department

A.2 Nil Tax Deductible at Source on dividend payment to Resident Shareholders if the Shareholders submit documents mentioned in column no.3 of the below table with the Company/ RTA

S	Particular			Declaration / documents required
No
1	Shareholder	submitting	Form	Declaration in Form No. 15G (applicable to an
	15G/ 15H			individual who is less than 60 years) / Form 15H
				(applicable to an Individual who is 60 years and
				above), fulfilling prescribed conditions.
				The forms can be downloaded from the link
				CLICK HERE TO DOWNLOAD FORM 15G
				CLICK HERE TO DOWNLOAD FORM 15H

2	Shareholders to whom section 194 of the Act does not apply such as LIC, GIC, etc.	Documentary evidence that said provisions are not applicable.
3	Shareholder covered u/s 196 of the Act such as Government, RBI, Mutual Funds specified u/s 10(23D), corporations established by Central Act and exempt from Income Tax.	Documentary evidence for coverage under the said provisions
4	Category I and II Alternative Investment Fund (AIF)	SEBI registration certificate to claim the benefit under section 197A (1F) of the Income Tax Act, 1961.
5	 Recognised provident funds  Approved superannuation fund  Approved gratuity fund	Necessary documentary evidence as per Circular No. 18/2017 issued by Central Board of Direct Taxes (CBDT)
6	National Pension Scheme	No TDS as per section 197A (1E) of Income Tax Act, 1961
7	Any other entity entitled to TDS exemption	Documentary evidence substantiating the entitlement to TDS exemption

B. NON-RESIDENT SHAREHOLDERS:

Tax deductible at source for non-resident shareholders.

S	Category	Withholding tax	Declaration / documents required
No.		rate
1	Foreign Institutional	20% (plus	FPI registration number / certificate
	Investors (FIIs) /	applicable surcharge
	Foreign Portfolio	and cess)
	Investors (FPIs)
2	Other Non-resident	20% (plus	To avail beneficial rate of tax treaty
	shareholders (except	applicable surcharge	following tax documents would be
	those who are tax	and cess) or tax	required:
	residents of Notified	treaty rate
	Jurisdictional Area)	whichever is	1. Copy of PAN card
		beneficial	2. Copy of Tax Residency certificate
			issued by revenue authority of country

			of residence of shareholder for the
			financial year in which dividend is
			received.
			3. Self-Declaration in Form 10F
			CLICK HERE TO DOWNLOAN FORM 10F
			4. Self-declaration for no permanent
			establishment / fixed base
			(Note: Application of beneficial Tax
			Treaty Rate shall depend upon the
			completeness of the documents submitted
			by the non-resident shareholders and
			review to the satisfaction of the
			Company.)
3	Non Resident who	Twice the applicable	The Company shall verify the status at
	have a permanent	rate	Compliance Check functionality
	establishment in		provided by the Central Board of Direct
	India and covered		Taxes (CBDT).
	under the definition
	of "Specified
	person" as per
	section 206AB of
	Income Tax Act i.e.
	has not filed the
	returns for FY 2018- 19 and FY 2019-20
	within the
	permissible time
	limit and was
	subjected to TDS/
	TCS of Rs 50,000 or
	more in each of the
	said two FYs.
4	Availability of	Rate specified in	Copy of lower tax withholding certificate
	lower/nil tax	Lower tax	obtained from Income Tax Department
	deduction certificate	withholding
	issued by Income	certificate obtained
	Tax Department u/s	from Income Tax
	197 of the Act	Department
4	Any other entity	NIL	Documentary evidence substantiating the
	entitled to TDS		entitlement to TDS exemption
	exemption

Notes:

• 1. The aforesaid documents such as Form 15G/ 15H, documents under section 196, 197A, FPI Registration Certificate, Tax Residency Certificate, Lower Tax certificate etc. attested by the Shareholder or the Authorized Signatory should be emailed to dividendhelp@cosmofilms.com on or before October 1, 2021 to enable the Company to determine the appropriate withholding tax rate applicable. Any communication on the tax determination/deduction post October 1, 2021 shall not be considered.
• 1. The Company will issue soft copy of the TDS certificate to its shareholders through email registered with the Company / RTA post payment of the dividend. Shareholders will be able to download the tax credit statement from the Income Tax Department's website https://incometaxindiaefiling.gov.in (refer to Form 26AS).
• 1. Application of TDS rate is subject to necessary verification by the Company of the shareholder details as available in Register of Members as on the Record Date, and other documents available with the Company / RTA
• 1. In case withholding tax is deducted at a higher rate, an option is still available with the shareholder to file the return of income and claim an appropriate refund. No claim shall lie against Company for any taxes deducted by the Company.
• 1. In the event of any income tax demand (including interest, penalty, etc.) arising from any misrepresentation, inaccuracy or omission of information provided by the shareholder, the shareholder will be responsible to indemnify the Company and also, provide the Company with all information / documents and co-operation in any tax proceedings.
• 1. This Communication is not exhaustive and does not purport to be a complete analysis or listing of all potential tax consequences in the matter of dividend payment. Shareholders should consult their tax advisors for requisite action to be taken by them.

Your co-operation in this regard is solicited.

For Cosmo Films Limited

Sd/- Jyoti Dixit Company Secretary & Compliance Officer