Details as per attached letter.

15th October, 2026 The Manager (Listing), The Manager (Listing), The BSE Ltd. National Stock Exchange of India Ltd. M umbai Mumbai Company’s Scrip Code: 505700 Company’s Scrip Code: ELECON Sub. : Communication to Shareholders – Interim Dividend for FY 2026-27 - Intimation on Tax Deduction at Source (TDS) / withholding tax on Interim Dividend Dear Sir/Madam, With reference to the subject referred matter, please find enclosed herewith an email communication which has been sent to all the shareholders having their email ID’s registered with the Company/Depositories explaining the process and documentation required for claiming tax exemption/withholding tax on dividend to be paid to the Shareholders at prescribed rates. You are requested to take the same on your records. Thanking you. Yours faithfully, For Elecon Engineering Company Limited, Bharti Isarani Company Secretary & Compliance Officer Encl.: As above ELECON ENGINEERING COMPANY LIMITED (CIN: L29100GJ1960PLC001082) Registered Office: Anand-Sojitra Road, Vallabh Vidyanagar 388 120, Dist. Anand, Gujarat Email: investor.relations@elecon.com; Website: www.elecon.com Phone: 02692-238701 / 238702 Date: 15/10/2026 Subject: Communication of deduction of Tax at Source on Dividend Dear Shareholder, We wish to inform you that the Board of Directors (“the Board”) of Elecon Engineering Company Limited (“the Company”) in their meeting held on 14th October, 2026 has approved declaration of interim dividend of Re. 0.50/- (i.e. 50%) per Equity Share having face value of Re. 1.00/- each for the financial year 2026-27. The interim dividend will be paid to the shareholders who hold equity shares of the Company as on Record Date i.e. 21st October, 2026. Pursuant to implementation of the Income Tax Act, 2025, (“the Act”), dividend paid or distributed by a Company is taxable in the hands of the shareholders. The Company shall therefore be required to deduct tax at source at the time of payment of dividend. The deduction of tax at source will be based on the category of shareholders and subject to fulfilment of conditions as provided herein below:  For resident shareholders Tax will be deducted at source (“TDS”) under Section 393(1) [Table: S.No.7] read with Section 393(4) [Table Sr. no. 10] of the Act @ 10% on the amount of dividend payable unless exempt under any of the provisions of the Act. However, in case of individuals, TDS would not apply if the aggregate of total dividend distributed to them by the Company during financial year does not exceed Rs. 10,000/-. Tax at source will not be deducted in cases where a shareholder provides Form 121, provided that the eligibility conditions are being met. Blank Form 121 can be downloaded from the link given at the end of this communication. Please note that all fields mentioned in the Form are mandatory and Company may reject the forms submitted, if it does not fulfil the requirement of law. Needless to mention, valid Permanent Account Number (“PAN”) will be mandatorily required. Shareholders who do not have PAN or PAN is not linked with Aadhar, TDS would be deducted at higher rates u/s 397(2) of the Act. NIL / lower tax shall be deducted on the dividend payable to following resident shareholders on submission of self-declaration (as per format attached) as listed below: i. Insurance companies: Declaration (refer format) by shareholder qualifying as Insurer as per Section 2(7A) of the Insurance Act, 1938 alongwith self-attested copy of PAN card; ii. Mutual Funds: Declaration (refer format) by Mutual Fund shareholder eligible for exemption under Schedule VII (Table: Sl. No. 20 or 21) to Section 11 of the Income-Tax Act, 2025 alongwith self-attested copies of registration documents and PAN card; iii. Alternative Investment Fund (AIF) established in India: Declaration (refer format) that the shareholder is eligible for exemption under Schedule V [Table: Sl. No. 1] to Section 11 of the Act and they are established as Category I or Category II AIF under the SEBI Regulations. Copy of self-attested registration documents and PAN card should be provided. iv. New Pension System Trust: Declaration (refer format) alongwith self-attested copy of documentary evidence supporting the exemption and self-attested copy of PAN card. v. Other shareholders – Declaration (refer format) alongwith self-attested copy of documentary evidence supporting the exemption and self-attested copy of PAN card. vi. Shareholders who have provided a valid certificate issued u/s. 395(1) of the Act for lower/ nil rate of deduction or an exemption certificate issued by the Income Tax Authorities alongwith Declaration (refer format).  For non-resident shareholders (including Foreign Institutional Investors and Foreign Portfolio Investors) Tax is required to be withheld in accordance with the provisions of Section 393(2) [Table Sl. No 17] read with Section 207(1) [Table Sl. No. 1] of the Act at applicable rates in force. As per the relevant provisions of the Act, the tax shall be withheld @ 20% (plus applicable surcharge and cess) on the amount of dividend payable. In case non-resident shareholders provide a certificate issued under Section 395(1) of the Act, for lower / NIL withholding taxes, rate specified in the said certificate shall be considered, on submission of self-attested copy of the same. However, as per Section 159 of the Act, a non-resident shareholder has the option to be governed by the provisions of the Double Tax Avoidance Agreement (“DTAA”) between India and the country of tax residence of the shareholder, if they are more beneficial to the shareholder. For this purpose, i.e. to avail the tax treaty benefits, the non-resident shareholder will have to provide the following: i. Self-attested copy of PAN card, if any, allotted by the Indian Income Tax Authorities; In case PAN is not available, the non-resident shareholder shall furnish (a) name, (b) e-mail ID, (c) contact number, (d) address in residency country, (e) Tax Identification Number of the residency country (link of format attached); ii. Self-attested copy of Tax Residency Certificate (“TRC”) obtained from the tax authorities of the country of which the shareholder is resident; iii. Digital Form 41; iv. Self-declaration (refer format) by the non-resident shareholder of meeting treaty eligibility requirement and satisfying beneficial ownership requirement; v. In case of Foreign Institutional Investors and Foreign Portfolio Investors, self-attested copy of SEBI registration certificate; vi. In case of shareholder being tax resident of Singapore, please furnish the letter issued by the competent authority or any other evidences demonstrating the non-applicability of Article 24 - Limitation of Relief under India-Singapore Double Taxation Avoidance Agreement (DTAA). The self-declarations referred to in point nos. (iii) to (iv) can be downloaded from the link given at the end of this communication. Application of beneficial DTAA rate shall depend upon the completeness and satisfactory review by the Company, of the documents submitted by non- resident shareholders and meeting requirement of Act read with applicable tax treaty. In absence of the same, the Company will not be obligated to apply the beneficial DTAA rates at the time of tax deduction on dividend amounts.  Section 397(2) of the Act Rate of TDS at the rate of 10 percent under Section 393(1) [Table: S.No.7] read with Section 393(4) [Table Sr. no. 10] of the Act which is subject to provisions of Section 397(2) of the Act which introduces special provisions for TDS where PAN provided by deductee is Invalid. Invalid PAN also includes cases where PAN and Aadhar are not linked. As provided in Section 397(2)(b)(i) of the Act, tax is required to be deducted at higher of following rates in case of payments to specified person: - at twice the rate specified in the relevant provisions of the Act; or - at twice the rate or rates in force; or - at the rate of 20%. Accordingly, provisions of [Showing first 8,000 characters — download PDF for full document]