Company: AHL
Filing Date: 2025-03-19
Form Type: 20-F
Source: 0001267395-25-000019
Chunk: 277

Company: ASPEN INSURANCE HOLDINGS LTD
Filing Date: 2025-03-19
Form: 20-F
Item: Item 10
Chunk 277
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 subject to United States income tax imposed by withholding on certain “fixed or determinable annual or periodical gains, profits and income” derived from sources within the United States (such as dividends and certain interest on investments), subject to exemption under the Code or reduction by applicable treaties.

The United States also imposes FET paid to non-U. S. insurers or reinsurers that are not eligible for the benefits of a U. S. income tax treaty that provides for an exemption from the FET with respect to risks (i) of a U. S. entity or individual, located wholly or partially within the United States and (ii) of a non-U. S. entity or individual engaged in a trade or business in the U. S., located within the United States. The rates of tax are 4% for property casualty insurance premiums and 1% for reinsurance premiums.

Treatment of Depositary Shares. A holder of depositary shares evidenced by depositary receipts generally should be treated for U. S. federal income tax purposes as the owner of such holder’s proportionate interest in the Preference Shares held by the depositary (or its custodian) that are represented and evidenced by such depositary receipts and the discussion herein assumes such treatment. Accordingly, any deposit or withdrawal of the Preference Shares by a U. S. Person in exchange for depositary shares generally will not result in the realization of gain or loss to such U. S. Person for U. S. federal income tax purposes.

Taxation of Distributions. Subject to the discussions below relating to the potential application of the CFC, RPII and PFIC rules, and the discussion below relating to redemptions of Preference Shares, cash distributions, if any, made with respect to the Preference Shares will constitute dividends for U. S. federal income tax purposes to the extent paid out of current or accumulated earnings and profits of Aspen Holdings (as computed using U. S. tax principles). To the extent such distributions exceed Aspen Holdings’ earnings and profits, they will be treated first as a return of the U. S. Person’s basis in their shares to the extent thereof, and then as gain from the sale of a capital asset. If, as expected, Aspen Holdings does not compute its earnings and profits under U. S. tax principles, all distributions generally will be treated as dividends for U. S. federal income tax purposes. Dividends paid by us to U. S. Persons who are corporations generally will not be eligible for a dividends received deduction. We believe