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• TDS deducted: ₹700 (10%)
  ➡️ Since your income is below the exemption limit (₹2.5L), you are not liable to pay any tax, and the ₹700 can be claimed as a refund.

📝 How to Claim TDS Refund – Step-by-Step

1. Collect Form 26AS or AIS

   • Go to https://incometax.gov.in

   • Download Form 26AS or AIS (Annual Information Statement) to verify the TDS deducted.

2. File Your ITR

   • File your return using the correct ITR form (usually ITR-1 for salaried individuals and small investors).

   • Show your dividend income under “Income from Other Sources.”

   • Mention the TDS already deducted in the TDS Schedule of the form.

3. Submit and Verify

   • Submit your return online.

   • Verify it using Aadhaar OTP, net banking, or e-signature.

4. Refund Processing

   • If your income is below the taxable limit, the system will calculate the refund automatically.

   • Refunds are usually processed within a few weeks and credited directly to your bank account.

📱 Can This Be Avoided in the Future?

Yes, by submitting Form 15G or 15H to the dividend-paying company or mutual fund registrar.

📌 Submit these forms at the beginning of the financial year to avoid TDS deduction.

⚠️ Important Notes

• If you don’t file ITR, you cannot get the refund, even if your income is exempt.

• Filing a return is mandatory to claim TDS refunds.

• Keep track of dividend receipts through your bank or demat account.

🧾 Documents You May Need

• Form 26AS / AIS statement

• PAN and Aadhaar details

• Dividend payment details

• Bank account details for refund credit

• Form 15G/H submission proof (if applicable)