Company: FSTWF
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-044386
Chunk: 193

Company: FST Corp.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 16
Chunk 193
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 Translation adjustment                                                                ( 112,181                        ( 1,014  
  Net change in the valuation allowance                                                   680,364                        339,153  
  Valuation allowance for deferred tax assets, ending of year         $                 1,414,090      $                 733,726  

As of December 31, 2024, the Group had net operating
loss carry forwards available to offset future taxable income, shown below by major jurisdictions:

  Jurisdiction          Amount      Expiration year  
  US                $3,257,086      Indefinite       
 ─────────────────────────────────────────────────────
  US                $2,426,941      2043             
  US                  $821,964      2044             
  Japan             $4,528,302      2031 - 2034      

Unrecognized tax benefits

The Group evaluates each tax position (and the
potential application of interest and penalties) based on the technical merits, and measure the unrecognized tax benefits associated with
the tax positions. As of December 31, 2024 and 2023, the Group did not have any significant unrecognized tax benefits. The Group did not
incur interest and penalties related to income taxes for the years ended December 31, 2024 and 2023.

13. RELATED PARTY TRANSACTIONS

The following is a list of related parties which
the Group has significant transactions with:

  No.      Name of Related Parties                     Relationship with the Group                                       
  a        Factory Automation Technology Co., Ltd      3.66% owned by the Group                                          
  b        Far East Machinery Co., Ltd                 A principal shareholder of the Group                              
  c        David Chuang                                The Chairman of the board of the Group                            
  d        Chiayi Sports Equipment Co., Ltd            David Chuang is immediate family member of Chairman of the board  
  e        Peko, LLC.                                  David Chuang is the owner of Peko, LLC.                           
 ─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────

Amounts due from related parties

Amounts due from related parties consisted of
the following for the periods indicated:

                                                  As of December 31,               
                                                                2024         2023  
 ───────────────────────────────────────────────────────────────────────────────────
  Factory Automation Technology Co., Ltd (1)                 $61,370      $14,132  
  Total                                                      $61,370      $14