New Delhi, June 5 -- Many investors receive benefits from their stock holdings in the form of dividend income or bonus shares. While these may seem like attractive rewards, they come with certain tax implications that need to be considered while income tax returns. If you received any of these rewards in financial year 2025-26, then you must pay close attention to these details while filing ITR this year (AY 2026-27).

However, these benefits are not taxed in the same way. Dividend income is treated differently from bonus shares, even though both appear to be something that the company has given shareholders at no extra cost. Hence, you must understand how each is taxed and where it should be reported in your ITR, which would help you avo...