Tax Consultant
1611 Points
Posted on 14 July 2026
Dividend income is now taxable in your hands (since AY 2021-22), and it goes in Schedule OS (Income from Other Sources) in ITR-2, not in Schedule EI.
Here is the exact path in ITR-2:
- Schedule OS, Part A: Enter gross dividend income received from Indian companies and mutual funds.
- TDS on dividend: If TDS was deducted at 10% (or lower under a DTAA for NRIs), it will show in your Form 26AS. Enter the TDS credit in Schedule TDS under Section 194 (equity shares) or Section 194K (mutual funds).
Common mismatch issue: AIS sometimes shows a different dividend amount than 26AS because AIS picks up data directly from the company/AMC while 26AS shows TDS-filed amounts. If there is a difference, verify with your broker capital gains statement or AMC account statement and declare the correct actual dividend amount in Schedule OS.
For equity mutual funds: dividends declared by equity MFs are also taxable as income from other sources and go in Schedule OS under Section 194K.
For deduction under Section 80M (only applies to domestic companies receiving dividends, not individuals): this is not applicable for individual taxpayers.
For a checklist of all documents including dividend certificates and 26AS/AIS verification, see the [ITR filing documents checklist for AY 2026-27](https://taxgarden.in/blog/documents-required-itr-filing-ay-2026-27-checklist-india).