Company: CMND
Filing Date: 2025-01-22
Form Type: 20-F
Source: 0001213900-25-005490
Chunk: 208

Company: Clearmind Medicine Inc.
Filing Date: 2025-01-22
Form: 20-F
Item: Item 10
Chunk 208
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 use or hold, Common Shares in the course
of carrying on a business in Canada (a “ Non-Resident Holder”). Special rules which are not discussed in this summary may
apply to a Non-Resident Holder that is an insurer which carries on an insurance business in Canada and elsewhere.

Dividends

Dividends paid or credited or deemed to be paid
or credited to a Non-Resident Holder by us on Common Shares are subject to Canadian withholding tax at the rate of 25% on the gross amount
of the dividend unless such rate is reduced by the terms of an applicable tax treaty. For example, under the Canada - United States
Tax Convention (1980), as amended (the “ Treaty”), the rate of withholding tax on dividends paid or credited to a Non-Resident
Holder who is a resident of the United States for purposes of the Treaty and who is fully entitled to the benefits of the Treaty (a “ U. S.
Holder”) is generally limited to 15% of the gross amount of the dividend (or 5% in the case of a U. S. Holder that is a company
that beneficially owns at least 10% of our Common Shares). Non-Resident Holders should consult their own tax advisors to determine their
entitlement to relief under any applicable income tax treaty.

Dispositions of Common Shares

A Non-Resident Holder will not be subject to tax
under the Tax Act in respect of a capital gain realized on the disposition or deemed disposition of a voting share unless the voting
share constitutes “taxable Canadian property” to the Non-Resident Holder for purposes of the Tax Act and the Non-Resident
Holder is not entitled to relief under the terms of an applicable tax treaty between Canada and the Non-Resident Holder’s jurisdiction
of residence.

Provided the Common Shares are listed on a “designated
stock exchange”, as defined in the Tax Act (which currently includes the TSXV) at the time of disposition, the Common Shares will
generally not constitute taxable Canadian property of a Non-Resident Holder at that time unless, at any time during the 60-month period
immediately preceding the disposition, the following two conditions are satisfied: (i) (a) the Non-Resident Holder, (b) persons with
whom the Non-Resident Holder did not deal at arm’s length for purposes of the Tax Act, (c) partnerships in which the Non-Resident