LatestCorporate Compliance 6 November 2026
CBDT Waives TDS for IFSC Dividends
India’s Central Board of Direct Taxes (CBDT) has issued a notification exempting tax deducted at source (TDS) on dividend payments made between units of companies operating under the International Financial Services Centre (IFSC) framework. The move aims to ease cash flow for IFSC‑based aircraft leasing firms and related entities, encouraging further investment in the sector.
- CBDT announces TDS exemption for inter‑unit dividends of IFSC‑registered entities.
- Applies primarily to aircraft leasing companies and other IFSC units.
- Firms must still comply with Form 1N filing requirements.
Need help understanding this update?
Connect with our domain experts instantly via WhatsApp for customized legal guidance.