Company: FMST
Filing Date: 2025-07-28
Form Type: DRS
Source: 0001171843-25-004725
Chunk: 97

Company: Foremost Clean Energy Ltd.
Filing Date: 2025-07-28
Form: DRS
Chunk 97
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1 of the Code discussed above
with respect to such Common Shares. However, if a U.S. Holder does not make a Mark-to-Market Election beginning in the first tax year
of such U.S. Holder’s holding period for the Common Shares for which we are a PFIC and such U.S. Holder has not made a timely QEF
Election, the default rules of Section 1291 of the Code discussed above will apply to certain dispositions of, and distributions
on, Common Shares.

A U.S. Holder that makes a Mark-to-Market Election
will include in ordinary income, for each tax year in which we are a PFIC, an amount equal to the excess, if any, of (a) the fair
market value of Common Shares, as of the close of such tax year over (b) such U.S. Holder’s adjusted tax basis in such Common
Shares. A U.S. Holder that makes a Mark-to-Market Election will be allowed a deduction in an amount equal to the excess, if any, of (a) such
U.S. Holder’s adjusted tax basis in the Common Shares, over (b) the fair market value of such Common Shares (but only to the
extent of the net amount of previously included income as a result of the Mark-to-Market Election for prior tax years).

A U.S. Holder that makes a Mark-to-Market Election
generally also will adjust such U.S. Holder’s tax basis in the Common Shares to reflect the amount included in gross income or allowed
as a deduction because of such Mark-to-Market Election. In addition, upon a sale or other taxable disposition of Common Shares, a U.S.
Holder that makes a Mark-to-Market Election will recognize ordinary income or ordinary loss (not to exceed the excess, if any, of (a) the
amount included in ordinary income because of such Mark-to-Market Election for prior tax years over (b) the amount allowed as a deduction
because of such Mark-to-Market Election for prior tax years). Losses that exceed this limitation are subject to the rules generally applicable
to losses provided in the Code and Treasury Regulations.

A U.S. Holder makes a Mark-to-Market Election by attaching
a completed IRS Form 8621 to a timely filed United States federal income tax return. A Mark-to-Market Election applies to the tax
year in which such Mark-to-Market Election is made and to each subsequent tax year, unless the Common Shares cease