Company: PRMLF
Filing Date: 2025-03-20
Form Type: 10-K
Source: 0001641172-25-000043
Chunk: 302

Company: NexMetals Mining Corp.
Filing Date: 2025-03-20
Form: 10-K
Item: Item 1C
Chunk 302
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 Common Share constitutes (or is deemed to constitute) “taxable Canadian property”
(as defined in the Tax Act) of the U.S. Resident Holder at the time of disposition and the U.S. Resident Holder is not entitled to relief
under the Treaty.

Generally,
a Common Share will not constitute “taxable Canadian property” of a U.S. Resident Holder at a particular time provided that
the Common Share is listed on a “designated stock exchange” (as defined in the Tax Act, which currently includes Tiers 1
and 2 of the TSXV) at that time, unless, at any time during the 60-month period that ends at that time, both: (i) one or any combination
of (a) the U.S. Resident Holder, (b) persons with whom the U.S. Resident Holder did not deal at arm’s length for purposes of the
Tax Act and (c) partnerships in which the U.S. Resident Holder or a person described in (b) holds a membership interest (directly or
indirectly through one or more partnerships), own 25% or more of the issued shares of any class or series of our Company, and (ii) more
than 50% of the fair market value of the Common Share was derived directly or indirectly from one or any combination of: (a) real or
immovable property situated in Canada, (b) “timber resource properties” (as defined in the Tax Act), (c) “Canadian
resource properties” (as defined in the Tax Act) or (d) options in respect of, or interests in, or for civil law rights in, any
of the foregoing, whether or not the property exists. If the Common Shares are not listed on any designated stock exchange, the Common
Shares would generally be “taxable Canadian property” of a U.S. Resident Holder at any time if, at any particular time during
the 60-month period that ends at that time, the condition described in (ii) above is met. Notwithstanding the foregoing, in certain circumstances
set out in the Tax Act, a Common Share may be deemed to be “taxable Canadian property”.

In
the case of a U.S. Resident Holder for whom our Common Shares constitute “taxable Canadian property”, no Canadian taxes will
generally be payable on a capital gain realized on the disposition or deemed disposition of such shares by reason of the Treaty, unless
the value of such shares is derived