Company: FTII
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001641172-25-011790
Chunk: 17

Company: FutureTech II Acquisition Corp.
Filing Date: 2025-05-20
Form: 10-Q
Item: Item 8
Chunk 17
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, as well as information related to income taxes paid to enhance the transparency
and decision usefulness of income tax disclosures. This ASU will be effective for the annual period ending December 31, 2025. The Company
is currently assessing what impact, if any, that ASU 2023-09 would have on its financial position, results of operations or cash flows.

New Law and Changes

On August 16, 2022, the Inflation
Reduction Act (the “IR Act”) was signed into law, which, beginning in 2023, will impose a 1% excise tax on public company
stock buybacks.

The IR Act imposes a 1% excise
tax on the fair market value of stock repurchases made by covered corporations after December 31, 2022. The total taxable value of shares
repurchased is reduced by the fair market value of any newly issued shares during the taxable year. Redemption rights are ubiquitous to
nearly all SPACs. The Company has recorded a liability on the accompanying unaudited condensed balance sheets to be in compliance with
the IR Act.

Nasdaq IM-5101-2 requires
that the Company, a special purpose acquisition company, complete one or more business combinations within 36 months of the effectiveness
of its initial public offering registration statement, which, in the case of the Company, would be February 14, 2025. Effective on October
7, 2024, Nasdaq Rule 5815 was amended to provide for the immediate suspension and delisting upon issuance of a delisting determination
letter to an issuer for failure to meet the requirements of Nasdaq IM5101-02. Pursuant to Nasdaq Rule 5815, as amended, Nasdaq may only
reverse its delisting determination if it finds that it made a factual error in applying Nasdaq Rule 5815, as amended.

On February 19, 2025, the
Company received a notice from the Nasdaq stating that the Company did not comply with Nasdaq Interpretive Material IM-5101-2, and that
our securities were subject to delisting. The Company did not appeal Nasdaq’s determination to delist the Company securities
and accordingly, the Company’s securities were suspended from trading on Nasdaq at the opening of business on February 26, 2025.
On February 25, 2025, the Company received a letter of approval from FINRA to begin trading over the counter with the