Company: TDBCP
Filing Date: 2025-10-09
Form Type: 424B3
Source: 0001140361-25-037791
Chunk: 47

Company: TORONTO DOMINION BANK
Filing Date: 2025-10-09
Form: 424B3
Chunk 47
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 income at the time of adjustment; therefore, you could have ordinary income without cash in respect of such dividend adjustments. Holders are urged to consult their tax advisors concerning the significance, and the potential impact, of the above considerations. If LIRNs are so treated, you should generally recognize capital gain or loss upon such taxable disposition (including cash settlement) of LIRNs in an amount equal to the difference between the amount you receive at such time (other than possibly any ordinary income attributable to dividend adjustments as discussed above) and your tax basis in LIRNs. In general, your tax basis in LIRNs will be equal to the amount you paid for LIRNs. Subject to the discussion below of the constructive ownership rules of Section 1260 of the Code, such recognized gain or loss should generally be long-term capital gain or loss if you have held LIRNs for more than one PS-39 year (and otherwise, such gain or loss would be short-term capital gain or loss if held for one year or less). The deductibility of capital losses is subject to limitations. There may be a risk that the IRS could assert that LIRNs should not give rise to any long-term capital gain or loss if your LIRNs offer short exposure to the Underlying Company. It is possible that the IRS could assert that your holding period in respect of LIRNs should end on the date on which the amount you are entitled to receive is determined, even though you will not receive any amounts from TD in respect of LIRNs prior to the payment date upon any automatic call or the maturity date, as applicable, of LIRNs. In this case, you may be treated as having a holding period in respect of LIRNs ending prior to the payment date upon any automatic call or the maturity date, as applicable, for LIRNs, and such holding period may be treated one year or less even if you receive cash at a time that is more than one year after the beginning of your holding period. Unless otherwise specified in the applicable term sheet, we expect our special U.S. tax counsel, Fried, Frank, Harris, Shriver & Jacobson LLP, would be able to opine that it would be reasonable to treat LIRNs in the manner described above. Notice 2008-2 In 2007, the IRS released Notice 2008-2, which may affect the taxation of holders of instruments such as LIRNs. According to this notice, the IRS and the Treasury are considering whether the