Company: GRAN
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069627
Chunk: 68

Company: Grande Group Ltd/HK
Filing Date: 2025-07-31
Form: 20-F
Item: Item 3
Chunk 68
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 that, for any subsequent year, more than 50% of our assets may be assets which produce passive income. It is believed we are
not a PFIC for the taxable year ending March 31, 2025. We will continue to make this determination following the end of any particular
tax year.

The classification of
certain of our income as active or passive, and certain of our assets as producing active or passive income, and hence whether we are
or will become a PFIC, depends on the interpretation of certain United States Treasury Regulations as well as certain IRS guidance relating
to the classification of assets as producing active or passive income. Such regulations and guidance are potentially subject to different
interpretations. If due to different interpretations of such regulations and guidance the percentage of our passive income or the percentage
of our assets treated as producing passive income increases, we may be a PFIC in one of more taxable years.

For a more detailed discussion of the application of the PFIC rules to us and the consequences to U. S. taxpayers if we were determined
to be a PFIC, see “ Item 10. Additional Information - 10. E. Taxation - United States Federal Income Tax Considerations
 - Passive Foreign Investment Company Considerations.”

We are an “emerging
growth company” within the meaning of the Securities Act, and if we take advantage of certain exemptions from disclosure requirements
available to emerging growth companies, this could make it more difficult to compare our performance with other public companies.

We are an “emerging
growth company” within the meaning of the Securities Act, as modified by the Jumpstart Our Business Startups (“ JOBS”)
Act. Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial
accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective
or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting
standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements
that apply to non-emerging growth companies but any such an election to opt out is irrevocable. We have elected not to opt out of such
extended transition period, which means that when a standard is issued or revised, and it has different application dates for public or
private companies, we, as an emerging growth