Company: MVNC
Filing Date: 2025-01-10
Form Type: PRE 14C
Source: 0001683168-25-000215
Chunk: 26

Company: Marvion Inc.
Filing Date: 2025-01-10
Form: PRE 14C
Chunk 26
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 is terminated
earlier by the Board. The Board may amend or terminate the 2023 Plan at any time, which may be without shareholder approval, unless required
by applicable law or listing standards.

Federal Income Tax Consequences

The following is a brief summary
of the federal income tax consequences applicable to awards granted under the 2023 Plan based on federal income tax laws in effect on
the date of this Information Statement. The rules governing the tax treatment of such awards are quite technical, so the following discussion
of tax consequences is necessarily general in nature and is not complete. In addition, statutory provisions are subject to change, as
are their interpretations, and their application may vary in individual circumstances. Finally, this discussion does not address the tax
consequences under applicable state and local law.

This summary is not intended to
be exhaustive and does not address all matters that may be relevant to a particular participant. The summary does not discuss the tax
laws of any state, municipality, or foreign jurisdiction, or gift, estate, excise, payroll, or other tax laws other than federal income
tax law. The following is not intended or written to be used, and cannot be used, for the purposes of avoiding taxpayer penalties. Because
circumstances may vary, we advise all participants to consult their own tax advisors under all circumstances.

Incentive Stock Options (ISOs).
An optionee generally realizes no taxable income upon the grant or exercise of an ISO. However, the exercise of an ISO may result in an
alternative minimum tax liability to the employee. With some exceptions, a disposition of shares purchased under an ISO within two years
from the date of grant or within one year after exercise produces ordinary income to the optionee equal to the value of the shares at
the time of exercise less the exercise price. The same amount is deductible by the Company as compensation, provided that the Company
reports the income to the optionee. Any additional gain recognized in the disposition is treated as a capital gain for which the Company
is not entitled to a deduction. However, if the optionee exercises an ISO and satisfies the holding period requirements, the Company may
not deduct any amount in connection with the ISO. If a sale or disposition of shares acquired with the ISO occurs after the holding period,
the employee will recognize long-term capital gain or loss at the time of sale equal to the difference between proceeds realized and the
exercise price paid. In general, an ISO that is exercised by the optionee more than three months