Intimation on Tax Deduction

SIL/2026-27/SE Date: 18.08.2026 To To BSE Limited National Stock Exchange of India Ltd, Phiroze Jeeheebhoy Towers, Exchange Plaza, Bandra Kurla Complex, Dalal Street, Mumbai-400001 Bandra (East), Mumbai– 400051 Script Code: 539221 Symbol: SPORTKING Subject: Communication to Shareholders - Intimation on Tax Deduction on Dividend Dear Sir Pursuant to the provisions of the Income Tax Act 2025 and the Rules framed there under, dividend paid or distributed, shall be taxable at the hands of the Shareholders and the company is required to deduct TDS on the Dividend. In this regard, please find enclosed herewith an e-mail communication which is being sent to all the shareholders of the Company whose e-mail IDs are registered with the Company/Depositories indicating the process and documentation required for claiming tax exemption on dividend. The above communication is also available on the website of the Company at www.sportking.co.in You are requested to take the above mentioned information on your records. Yours truly, For SPORTKING INDIA LIMITED LOVLESH VERMA COMPANY SECRETARY (ACS: 34171) THIS COMMUNICATION IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION Sub: Sportking India Limited - Final Dividend Financial Year 2025-26 – Tax Deduction at Source (TDS) on Dividend: Dear Member(s), We hope this communique finds you safe and in good health. We are pleased to inform you that the Board of Directors of the Company, at its meeting held on May 16, 2026, has recommended a final dividend of Rs. 1/- (Rupees One only) (100%) per equity share of face value Rs. 1/- each (Rupees One) for the Financial Year ended March 31, 2026, subject to approval of shareholders at the ensuing 37th Annual General Meeting (AGM) of the Company. As you may be aware, in terms of the provisions of the Income-tax Act, 2025, ("the Act" or “IT Act 2025”) as amended by the Finance Act, 2026, applicable with effect from April 1, 2026, dividend declared and paid by the Company is taxable in the hands of its shareholders. Accordingly, the Company shall be required to deduct tax at source from the said dividend at prescribed rates. The aforesaid dividend, if approved by the shareholders at the AGM, will be payable to those shareholders whose name appear in the Register of Members of the Company or in the records of the Depositories Participants, as on the record date, within the prescribed timeline as per applicable statute. If there is any change in the information, you are requested to update your records such as tax residential status, PAN and register your e-mail address, mobile numbers and other details with your relevant depositories through your depository participants in case you are holding shares in dematerialised form and if you are holding shares in physical mode, you are requested to furnish details to M/s. Beetal Financial & Computer Services Pvt Ltd., the Registrar and Transfer Agent of the Company at Beetal House, 3rd Floor, 99 Madangir, Near Dada Harsukhdas Mandir, New Delhi – 110062 and send them the duly completed ISR 1, ISR 2, ISR 3 and SH 13 at RTA’s office with signature of the holders attested by the banker along with a cancelled cheque leaf with name, account No. and IFSC Code printed thereon. In case name is not printed on the cheque leaf, additional bank attested copy of passbook / bank statement showing Name, Account No. and IFSC Code will be required. This communication provides a brief of the applicable Tax Deduction at Source (TDS) provisions under the Act for Resident and Non-Resident shareholder categories. I. For Resident Shareholders Tax is required to be deducted at source under Section 393(1) (Table Sl. No. 7) of the IT Act, 2025, at the rate of 10% on the amount of dividend where shareholders have registered their valid Permanent Account Number (PAN). In case, shareholders do not have PAN/inoperative/invalid PAN not linked with Aadhaar/ not registered their valid PAN details in their account in the Income- tax portal, TDS at the rate of 20% shall be deducted under Section 397(2) of the IT Act, 2025 or as per the applicable law. a. Resident Individuals No tax shall be deducted on the dividend payable to resident individuals if:  Total dividend amount to be received by them during the Financial Year (FY) 2026-27 does not exceed Rs.10,000/-; or  The shareholder provides Form 121 provided that all the required eligibility conditions are met. Please note that all fields are mandatory to be filled up and Company may at its sole discretion reject the form, if it does not fulfil the prescribed requirement under the Act.  Exemption certificate is issued by the Income-tax Department, if any. Note: Recording of the PAN for the registered Folio/DP ID-Client ID is mandatory. In the absence of valid PAN, tax will be deducted at a higher rate of 20% as per Section 397(2) of the I.T. Act, 2025. b. Resident Non-Individuals No tax shall be deducted on the dividend payable to the following resident non- individuals where they provide details and documents as per the format.  Insurance Companies: Self declaration that it qualifies as ‘Insurer’ as per section 2(7A) of the Insurance Act, 1938 and has full beneficial interest with respect to the ordinary shares owned by it along with self-attested copy of PAN card and certificate of registration with Insurance Regulatory and Development Authority (IRDAI)/ LIC/ GIC.  Mutual Funds: Self-declaration that it is registered with SEBI and is notified under Schedule VII (Table Sl. No. 20 or 21) to Section 11of the Act along with self-attested copy of PAN card and certificate of registration with SEBI.  Alternative Investment Fund (AIF): Self-declaration that its dividend income is exempt under Schedule V [Table Sl. No.1] to Section 11of the Act, and they are registered with SEBI as Category I or Category II AIF along with self- attested copy of the PAN card and certificate of AIF registration with SEBI.  New Pension System (NPS) Trust: Self-declaration that it qualifies as NPS trust and income is eligible for exemption under Schedule VII (Table Sl. No. 41) to Section 11of the Act and being regulated by the provisions of the Indian Trusts Act, 1882 along with self-attested copy of the PAN card.  Other Non-Individual shareholders: Self-attested copy of documentary evidence supporting the exemption along with self-attested copy of PAN card. c. In case, shareholders (both individuals and non-individuals) provide certificate under Section 395(1) of the Act, for lower / NIL withholding of taxes, rate specified in the said certificate shall be considered, on submission of self-attested copy to the Company. II. For Non- Resident Shareholders a. As per Domestic Tax Law As per Domestic Tax Law Taxes are required to be withheld in accordance with the provisions of Section 393(2) of the IT Act 2025 as per the rates as applicable. As per the relevant provisions of the Act, the withholding tax shall be at the rate of 20% (plus applicable surcharge and cess) on the amount of dividend payable to them. In case, non-resident shareholders provide a certificate issued under Section 395 of the I.T. Act, 2025 for Tax Year 2026- 27, for lower/ Nil withholding of taxes, rate specified in the said certificate shall be considered, on submission of self-attested copy of the same. b. As per Double Tax Avoidance Agreement (DTAA) As per Section 159 of the IT Act 2025, the non-resident shareholder has the option to be governed by the provisions of the DTAA between India and the country of tax residence of the shareholder, if they are more beneficial to them. For this purpose, i.e., to avail DTAA benefit, the non-resident shareholders are required to submit the following:  Self-attested copy of the PAN card allotted by the Indian Income Tax authorities.  Self-attested copy of Tax Residency Certificate (TRC) (financial year April 1, 2026 to March 31, 2027) obtained from the tax authorities of the country of which the shareholder is a resident.  Shareho [Showing first 8,000 characters — download PDF for full document]