Key takeaway
Shares of a deceased holder are moved to the nominee or legal heirs by “transmission” through the depository participant or the company’s registrar. Shares and dividends left unclaimed for years may have been transferred to the IEPF and must be reclaimed by an online claim.
Step 1: Find out what exists
- Demat statements and contract notes
- Physical share certificates and dividend letters
- Mutual fund statements
- Search the IEPF Authority’s records for unclaimed shares and dividends
Step 2: Open the right demat account
Shares are credited in demat form. NRIs usually receive inherited shares in an NRO (non-repatriable) demat account. Your depository participant will advise on the account type.
Step 3: Transmission
- With a nominee — the nominee applies with the death certificate and transmission form.
- Without a nominee — legal heirs apply with succession documents. Depending on value and the registrar’s rules, these may be a succession certificate, probate, or affidavits and indemnities with no-objections from other heirs.
- Physical shares — are first transmitted and then dematerialised through the registrar.
Step 4: Shares already with the IEPF
Under Section 124 of the Companies Act, 2013, dividends unclaimed for seven years, and shares on which dividends were unclaimed for seven consecutive years, are transferred to the IEPF. To reclaim:
- File Form IEPF-5 online.
- Send the signed form and documents to the company’s nodal officer.
- The company verifies and reports to the IEPF Authority.
- The Authority releases the shares and dividends.
Documents usually needed
- Death certificate
- Succession certificate, probate or legal heir certificate, as required
- No-objection affidavits from other heirs
- Identity and address proof, PAN and passport
- Client master list of your demat account
Common mistakes
- Name or signature mismatches between records and certificates.
- Using an NRE demat account for inherited shares.
- Incomplete documents sent to the company for IEPF verification.
Frequently asked questions
Is there a deadline to claim from the IEPF?
There is no fixed deadline, but delays make records harder to trace.
Can I sell inherited shares and send the money abroad?
Yes, through your NRO account and within the annual repatriation limit, with tax compliance.
Do mutual funds follow the same process?
Broadly similar transmission rules apply through the fund’s registrar.
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References
- Companies Act, 2013 — Sections 124, 125
- IEPF Authority (Accounting, Audit, Transfer and Refund) Rules, 2016
- SEBI rules on transmission of securities
Last reviewed: November 2026.
The information provided is for general educational purposes only and does not constitute legal advice. Applicable laws and procedures may vary depending on the facts, jurisdiction, and circumstances of each matter. Consult a qualified legal professional before taking action.
