Company: PRMLF
Filing Date: 2025-03-20
Form Type: 10-K
Source: 0001641172-25-000043
Chunk: 27

Company: NexMetals Mining Corp.
Filing Date: 2025-03-20
Form: 10-K
Item: Item 1A
Chunk 27
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 of exchange that is acceptable to the CRA.

Dividends

Dividends
paid or credited, or deemed to be paid or credited, on our Common Shares to a U.S. Resident Holder will be subject to Canadian withholding
tax. Under the Tax Act, the rate of Canadian withholding tax is 25% of the gross amount of such dividends, which rate is subject to reduction
under the Treaty. Under the Treaty, the rate of Canadian withholding tax on dividends paid or credited, or deemed to be paid or credited,
on our Common Shares to a U.S. Resident Holder who is the beneficial owner of the dividends is reduced to 15% or, in the case of a U.S.
Resident Holder that is the beneficial owner of the dividends and is a corporation that beneficially owns at least 10% of our voting
shares, the rate is reduced to 5%. U.S. Resident Holders who may be eligible for a reduced rate of withholding tax on dividends pursuant
to the Treaty should consult with their own tax advisors with respect to taking all appropriate steps in this regard.

Disposition
of Common Shares

A
U.S. Resident Holder generally will not be subject to tax under the Tax Act in respect of any capital gain realized on a disposition
or deemed disposition of a Common Share unless the Common Share constitutes (or is deemed to constitute) “taxable Canadian property”
(as defined in the Tax Act) of the U.S. Resident Holder at the time of disposition and the U.S. Resident Holder is not entitled to relief
under the Treaty.

Generally,
a Common Share will not constitute “taxable Canadian property” of a U.S. Resident Holder at a particular time provided that
the Common Share is listed on a “designated stock exchange” (as defined in the Tax Act, which currently includes Tiers 1
and 2 of the TSXV) at that time, unless, at any time during the 60-month period that ends at that time, both: (i) one or any combination
of (a) the U.S. Resident Holder, (b) persons with whom the U.S. Resident Holder did not deal at arm’s length for purposes of the
Tax Act and (c) partnerships in which the U.S. Resident Holder or a person described in (b) holds a membership interest (directly or
indirectly through one or more partnerships), own 25% or more of the issued shares of any class or series of our Company, and (