Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 58

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 58
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 fully vested. The Company filed a motion to dismiss the
matter on November 27, 2024. On January 7, 2025, the Company subsequently filed the opening brief in support of the motion to dismiss
filed on November 27, 2024. The Company further filed the opening brief in support of the motion to dismiss on 7 January 2025. Mr. Moran
filed opposition to Zoomcar’s motion on February 5, 2025 and Zoomcar filed a reply in further support of its motion on February
20, 2025. Oral arguments on Zoomcar’s motion to dismiss were heard on April 29, 2025. The court granted the motion to dismiss Mr.
Moran’s quasi-contractual claims and reserved decision on the balance of the motion and the next hearing is on August 15, 2025.

(E) Zoomcar Holdings, Inc. files tax returns in the U.S. federal, various
state, and foreign jurisdictions. In the normal course of business, the Company is subject to examination by tax authorities. Our major
tax jurisdiction is in India. The Indian tax authority is currently examining our 2016 through 2023 tax returns. There are other ongoing
audits in various other jurisdictions that are not material to our financial statements. The Company received an order for fiscal year
2015-16 in relation to non- deduction of tax deducted at source withholding taxes on certain payments to resident payees/service providers
amounting to $125,442 (March 31, 2025: $125,839). Penalty of $125,442 has been claimed but the proceedings are kept under abeyance until
the above order is disposed off. The Company has filed appeals against the above orders before higher authority.

The Company has not recognized any uncertain tax position as at June
30, 2025 and March 31, 2025, respectively. The Company believes these orders are unlikely to be sustained at the higher appellate authorities.

    30
    Subsequent events

    (A) The Company had received notice from the staff of OTC Markets Group
on August 05, 2025 (“OTC Markets”) for not meeting the minimum criteria established under the Standards for Continued Qualification
for the OTCQX U.S. tier as per the OTCQX Rules for U.S. Companies Section 2.1(B) with respect to bid price, market capitalization, number
of market