Company: CLM
Filing Date: 2025-04-21
Form Type: 424B3
Source: 0001398344-25-007380
Chunk: 113

Company: Cornerstone Strategic Investment Fund, Inc.
Filing Date: 2025-04-21
Form: 424B3
Chunk 113
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 or loss. The maximum capital gain rate applicable to individuals is 20%. Any loss realized upon the sale or
exchange of Fund shares with a holding period of 6 months or less will be treated as a long-term capital loss to the extent of any capital
gain distributions received with respect to such shares. The use of capital losses is subject to limitations. In addition, all or a portion
of a loss realized on a redemption or other disposition of Fund shares may be disallowed under “wash sale” rules to the extent
the shares disposed of are replaced with other substantially identical shares (whether through the reinvestment of distributions or otherwise)
within a 61-day period beginning 30 days before the redemption of the loss shares and ending 30 days after such date. Any disallowed
loss will result in an adjustment to the stockholder’s tax basis in some or all of the other shares acquired.

Dividends and distributions on the Fund’s shares
are generally subject to federal income tax as described herein to the extent they do not exceed the Fund’s realized income and
gains, even though such dividends and distributions may economically represent a return of a particular stockholder’s investment.
Such distributions are likely to occur in respect of shares purchased at a time when the Fund’s net asset value reflects gains
that are either unrealized or realized but not distributed. Such realized gains may be required to be distributed even when the Fund’s
net asset value also reflects unrealized losses. Certain distributions declared in October, November or December and paid in the following
January will be taxed to stockholders as if received on December 31 of the year in which they were declared. In addition, certain other
distributions made after the close of a taxable year of the Fund may be “spilled back” and treated as paid by the Fund (except
for purposes of the 4% excise tax) during such taxable year. In such case, stockholders will nevertheless be treated as having received
such dividends in the taxable year in which the distributions were actually made.

| B-22 |

Information Reporting and Backup Withholding

Generally, information reporting requirements will
apply to distributions on our common shares or proceeds on the disposition of our common shares or warrants paid within the U.S. (and,
in certain cases, outside the U.S.) to U.S. Holders. Such payments will generally be subject to backup withholding tax at the rate of
24% if: (a) a U.S. Holder fails to furnish such U.S.