If you want to earn passive income from the stock market, investing in high dividend-paying stocks in India can be a good idea. These stocks give you regular income through dividends and also have the chance to grow in value over time.
In this article, we will share the Best High Dividend Paying Stocks in India 2025, along with a complete dividend list and useful tips to help you make smart investment choices.
What Are Dividend Paying Stocks?
Dividend-paying stocks are shares of companies that give part of their profit to investors as dividends, these companies are usually strong and earn regular profits. If you are looking for steady income and want to take less risk, dividend-paying stocks can be a good choice for your investment portfolio.
Example: Imagine you buy 10 shares of a company like TCS. If TCS announces a dividend of ₹20 per share, you will get ₹200 as a payout from the company. This is your dividend income, which is the extra money on top of any increase in share price.
Why Choose High Dividend Paying Stocks?
Here’s why high dividend stocks in India 2025 are becoming popular:
- Regular Income: You get paid through dividends, even if the stock price doesn’t increase.
- Lower Risk: These are usually shares of big and well-known companies, so they are more stable.
- Tax Efficiency: Dividends are tax-free up to a certain limit, which helps you save money on taxes.
- Long-Term Wealth Creation: If you reinvest the dividends, your money can grow faster through the power of compounding.
Top High Dividend Paying Stocks in India for 2025
These are some of the best companies that give regular and high dividends in India. A dividend is the money a company gives to its shareholders from its profit. If you are looking to earn steady income from your investments, these stocks can be a smart choice.
1. Coal India Ltd. (NSE: COALINDIA)
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- Dividend Yield: 9–10%, which means you can earn ₹9 to ₹10 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the Mining sector.
- Why Buy?
Coal India is a government company that digs and sells coal. It makes a lot of money and gives a big part of that as dividends to its investors every year. It is one of the top dividend-paying stocks in India and is great for people who want regular income.
2. Indian Oil Corporation (NSE: IOC)
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- Dividend Yield: 7–9%, which means you can earn ₹7 to ₹9 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the Oil & Gas sector.
- Why Buy?
IOC is a well-known public sector company that sells fuel like petrol and diesel. It continues to earn profits even when oil prices go up and down. It shares good dividends regularly, making it good for long-term investors who want passive income.
3. Power Finance Corporation (NSE: PFC)
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- Dividend Yield: 8–9%, which means you can earn ₹8 to ₹9 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the Financial Services (NBFC) sector.
- Why Buy?
Power Finance Corporation (PFC) gives loans to power companies and earns steady interest. It has been increasing its dividend year after year. It’s a reliable company for those who want strong and regular returns.
4. REC Ltd. (NSE: RECLTD)
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- Dividend Yield: 7–8%, which means you can earn ₹7 to ₹8 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the Power Finance sector.
- Why Buy?
Rural Electrification Corporation Limited (REC Ltd.) is also a government-owned company that gives loans to power projects. It’s similar to PFC and gives good dividends. It’s a safe choice for conservative or low-risk investors.
5. Hindustan Zinc (NSE: HINDZINC)
- Dividend Yield: 9–10%, which means you can earn ₹9 to ₹10 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the Metal & Mining sector.
- Why Buy?
Hindustan Zinc is part of the Vedanta Group and makes money by selling zinc and other metals. It has been giving high dividends for many years and is likely to continue doing so in 2025.
6. NTPC Ltd. (NSE: NTPC)
- Dividend Yield: 5–7%, which means you can earn ₹5 to ₹7 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the Power Generation sector.
- Why Buy?
National Thermal Power Corporation (NTPC) is the largest electricity-producing company in India. It is backed by the government and gives regular dividends. If you want a safe and steady income, NTPC is a strong option.
7. ONGC Ltd. (NSE: ONGC)
- Dividend Yield: 6–7%, which means you can earn ₹6 to ₹7 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the Oil Exploration sector.
- Why Buy?
Oil and Natural Gas Corporation (ONGC) searches for oil and gas in India and sells it. Even when global oil prices change a lot, ONGC still makes good profit. It pays regular dividends and is trusted by many investors.
8. ITC Ltd. (NSE: ITC)
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- Dividend Yield: 3–4.5%, which means you can earn ₹3 to ₹4.5 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the Fast-Moving Consumer Goods (FMCG) & Diversified sector.
- Why Buy?
Indian Tobacco Company (ITC) sells products like cigarettes, food items, and personal care products. It earns strong profits and pays dividends every year. Its stable business makes it one of the best dividend-paying stocks in India.
9. Tata Consultancy Services (NSE: TCS)
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- Dividend Yield: 2–3%, which means you can earn ₹2 to ₹3 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the IT Services sector.
- Why Buy?
TCS is one of India’s top IT companies. It pays dividends regularly, and although the yield is not very high, it’s a safe and growing investment. It is also great for long-term wealth building.
10. Infosys Ltd. (NSE: INFY)
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- Dividend Yield: 2.5–3.5%, which means you can earn ₹2.5 to ₹3.5 each year for every ₹100 you invest in the stock.
- Sector: This company belongs to the IT Services sector.
- Why Buy?
Infosys is another top IT company in India. It not only gives regular dividends but also buys back its shares to give more value to investors. A good stock for growth and passive income.
How to Invest in Dividend Stocks?
Here are simple steps to start investing in the best dividend stocks in india:
- Open a Demat and Trading account with a trusted broker.
- Check the company’s dividend history and dividend yield.
- Diversify across different sectors to lower the risks.
- Track a company’s financial health by choosing companies that are profitable and have low debt.
- Reinvest dividends and use them to buy more shares and grow your money.
Conclusion
In 2025, with the market going up and down and global uncertainties increasing day by day, high dividend-paying stocks in India can give you a steady and safe source of income.
Lets conclude the best high dividend paying stocks in India for 2025 with the help of a table summary in simple form:
| Stock | Estimated Yield | Payout Frequency | Sector |
| Coal India | 9-10% | Yearly | Mining |
| IOC | 7-9% | Yearly | Oil & Gas |
| PFC | 8-9% | Quarterly | Finance |
| REC Ltd. | 7-8% | Quarterly | Power Finance |
| Hindustan Zinc | 9-10% | Yearly | Metals |
| NTPC | 5-7% | Half-Yearly | Power |
| ONGC | 6-7% | Yearly | Oil Exploration |
| ITC | 3-4.5% | Yearly | FMCG |
| TCS | 2-3% | Quarterly | IT Services |
| Infosys | 2.5-3.5% | Half-Yearly | IT Services |
Dividend investing is a trusted way to grow your money slowly and steadily. Just be sure to choose companies that have a strong financial position, earn regular profits, and treat their shareholders well.
FAQs
Which stocks give the highest dividend in India in 2025?
Coal India and Hindustan Zinc are giving the highest dividends in India in 2025. Their dividend yield is around 9-10%, which is very high.
Are high dividend stocks safe for beginners?
Yes, high dividend-paying stocks are usually from big and stable companies. They are considered safe for beginners, especially for long-term investment.
How is dividend income taxed in India in 2025?
In 2025, dividend income is added to your total yearly income and taxed as per your income tax slab. Also, if you earn more than ₹5,000 in dividend in a year, TDS (Tax Deducted at Source) will be applied.
Can I earn monthly income from dividend stocks?
Most dividend stocks pay a dividend every 3 months or once a year. But if you invest in different companies that pay at different times, you can earn regular income almost every month.
What is a good dividend yield to look for?
A dividend yield between 4% to 8% is generally good. It is even better if the company is stable and profitable.