Company: KARO
Filing Date: 2025-06-09
Form Type: 20-F
Source: 0001213900-25-052372
Chunk: 152

Company: Karooooo Ltd.
Filing Date: 2025-06-09
Form: 20-F
Item: Item 10
Chunk 152
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. federal income  

  tax-exempt entities, “individual retirement accounts”  

  expatriates and former citizens or long-term residents  

  persons that own or are deemed to own 10% or more of our  

  persons who acquired our ordinary shares pursuant to the               

  persons holding ordinary shares in connection with a trade  

If a partnership (or other entity
that is classified as a partnership for U. S. federal income tax purposes) owns ordinary shares, the U. S. federal income tax treatment
of a partner will generally depend on the status of the partner and the activities of the partnership. Partnerships that own ordinary
shares and their partners should consult their tax advisers as to their particular U. S. federal income tax consequences of owning and
disposing of ordinary shares.

This discussion is based on the
Internal Revenue Code of 1986, as amended (the “ Code”), administrative pronouncements, judicial decisions, and final, temporary
and proposed Treasury regulations, all as at the date hereof, any of which is subject to change, possibly with retroactive effect.

As used herein, a “ U. S. Holder”
is a person that is, for U. S. federal income tax purposes, a beneficial owner of ordinary shares and:

  a citizen or individual resident of the United States;  

  a corporation, or other entity taxable as a corporation,                                                           

  an estate or trust the income of which is subject to U. S.  

This discussion does not address
the effects of any state, local or non-U. S. tax laws, or any U. S. federal tax laws other than income tax laws (such as U. S. federal estate
or gift tax laws). U. S. Holders should consult their tax advisers concerning the U. S. federal, state, local and non-U. S. tax consequences
of owning and disposing of ordinary shares in their particular circumstances.

Except as described below under
“ - Passive Foreign Investment Company Rules,” this discussion assumes that we are not, and will not be, a passive foreign
investment company (a “ PFIC”) for any taxable year.

Taxation of Distributions

Distributions paid on our ordinary shares, other
than certain pro rata distributions of ordinary shares, will be treated as dividends to the extent paid out of our current or accumulated
earnings and profits, as determined under U. S. federal income tax principles. Because we do not maintain calculations of our earnings
and profits under U