Company: KARO
Filing Date: 2025-06-09
Form Type: 20-F
Source: 0001213900-25-052372
Chunk: 151

Company: Karooooo Ltd.
Filing Date: 2025-06-09
Form: 20-F
Item: Item 10
Chunk 151
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 South African dividend tax
will be withheld on any cash dividends declared and paid by the Company to Non-SA Tax Resident Shareholders (i. e. shareholders of the
Company who are not subject to income tax in South Africa on their worldwide income) holding Company ordinary shares. Where such shares
are registered on the JSE, a specific exemption is applicable in terms of the Income Tax Act, provided that the Non-SA Tax Resident Shareholder
has submitted the prescribed information to their Regulated Intermediary or the Company as required in terms of section 64G(2)(a) prior
to payment of the relevant cash dividend. Where such shares are registered through the DTC, South African dividend tax is not applicable.

Non-SA Tax Resident Shareholders
that dispose of their Company ordinary shares registered on the JSE or through the DTC will not be subject to capital gains tax (in the
case of capital investors) in South Africa provided that the Company ordinary shares are not attributable to a permanent establishment
of the Non-SA Tax Resident Shareholder in South Africa.

Where the Non-SA Tax Resident
Shareholders are share dealers no income tax will be payable on disposal of their Company ordinary shares registered on the JSE or through
the DTC as the income will not be from a South African source, provided that the Company ordinary shares are not attributable to a permanent
establishment of the Non-SA Tax Resident shareholder in South Africa.

U. S. Federal Income Tax Considerations

The following are certain U. S.
federal income tax consequences to the “ U. S. Holders” described below of owning and disposing of ordinary shares, but this
discussion does not purport to be a comprehensive description of all of the tax considerations that may be relevant to a particular person’s
decision to hold ordinary shares.

This discussion applies only
to a U. S. Holder that holds the ordinary shares as capital assets for U. S. federal income tax purposes. In addition, it does not describe
all of the tax consequences that may be relevant in light of a U. S. Holder’s particular circumstances, including any minimum tax
or Medicare contribution tax considerations, or consequences applicable to U. S. Holders subject to special rules, such as:

  certain financial institutions;  

  dealers or traders in securities that use a mark-to-market  

  persons holding ordinary shares as part of a straddle, integrated  

  persons whose functional currency for U. S. federal income  

  entities classified as partnerships for U. S