Company: HMDCF
Filing Date: 2025-03-19
Form Type: 20-F
Source: 0001410578-25-000377
Chunk: 346

Company: HUTCHMED (China) Ltd
Filing Date: 2025-03-19
Form: 20-F
Item: Item 1
Chunk 346
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 currently anticipate paying any distributions on our ordinary shares or ADSs in the foreseeable future. However, to the extent there are any distributions made with respect to our ordinary shares or ADSs, the gross amount of any such distribution (including withheld taxes, if any) made out of our current or accumulated earnings and profits (as determined for U. S. federal income tax purposes) will generally be taxable to a U. S. Holder as ordinary dividend income on the date such distribution is actually or constructively received. Distributions in excess of our current and accumulated earnings and profits will be treated as a non-taxable return of capital to the extent of the U. S. Holder’s adjusted tax basis in the ordinary shares or ADSs, as applicable, and thereafter as capital gain. However, because we do not maintain calculations of our earnings and profits in accordance with U. S. federal income tax accounting principles, U. S. Holders should expect that distributions paid with respect to our ordinary shares or ADSs will be reported as dividends. Dividends paid to corporate U. S. Holders will not qualify for the dividends received deduction that may otherwise be allowed under the Code.

The amount of income from dividends paid in a non-U. S. currency will be the U. S. dollar amount of the dividend calculated by reference to the exchange rate in effect on the date of receipt, regardless of whether the payment is in fact converted into U. S. dollars. If the dividend is converted into U. S. dollars on the date of receipt, a U. S. Holder generally should not be required to recognize foreign currency gain or loss in respect of the dividend income. A U. S. Holder may have foreign currency gain or loss, taxable as ordinary income or loss, if the dividend is converted into U. S. dollars after the date of receipt. Foreign currency gain or loss generally will be treated as U. S.-source gain or loss.

Dividends paid to a non-corporate U. S. Holder by a “qualified foreign corporation” may be subject to reduced rates of U. S. federal income taxation if certain holding period and other requirements are met. A qualified foreign corporation generally includes a foreign corporation (other than a PFIC) if (1) its ordinary shares (or ADSs backed by ordinary shares) are readily tradable on an established securities market in the United States or (2) it is eligible for benefits under a comprehensive U. S. income tax treaty that includes an exchange of information program and