Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 279

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 4
Chunk 279
---
 and/or Warrants realize a tax-free capital gain, or a non-tax deductible capital loss,
as the case may be, provided that they hold the common shares, as part of their private assets. Under certain circumstances, the sale
proceeds may be requalified into taxable investment income (e. g., if the taxpayer is deemed to be a professional securities dealer).

Capital gains realized on
the sale of the common shares and/or Warrants held by Swiss resident individuals, as well as non-Swiss resident individuals and corporate
taxpayers holding the common shares and/or Warrants in connection with the conduct of a trade or business in Switzerland through a permanent
establishment or fixed place of business situated, for tax purposes, in Switzerland, will be subject to Swiss federal, cantonal and communal
individual tax, as the case may be. This also applies to Swiss resident individuals who, for individual income tax purposes, are deemed
to be professional securities dealers for reasons of, inter alia, frequent dealing and debt-financed purchases. Capital gains realized
by resident individuals who hold the common shares as business assets might be entitled to reductions or partial taxations similar to
those mentioned above for dividends (“ Teilbesteuerung”) if certain conditions are met (e. g., holding period of at least one
year and participation of at least 10% of nominal share capital of the Company).

Swiss resident corporate taxpayers
as well as non-Swiss resident corporate taxpayers holding the common shares and/or Warrants in connection with the conduct of a trade
or business, through a permanent establishment or fixed place of business situated, for tax purposes, in Switzerland, are required to
recognize such capital gain in their income statements for the relevant tax period. Corporate taxpayers may qualify for participation
relief on capital gains (“ Beteiligungsabzug”), if the common shares sold during the tax period represent at least 10% of the
Company’s share capital or if the common shares sold give entitlement to at least 10% of the Company’s profits and reserves
and were held for at least one year. The tax relief applies to the difference between the sale proceeds of common shares by the Company
and the acquisition costs of the participation (“ Gestehungskosten”).

Individuals and corporations
not resident in Switzerland for tax purposes and not holding the common shares and/or Warrants in connection with the conduct of a trade
or business in Switzerland through a permanent establishment or fixed place of business situated for tax purposes in