Company: HMDCF
Filing Date: 2025-03-19
Form Type: 20-F
Source: 0001410578-25-000377
Chunk: 351

Company: HUTCHMED (China) Ltd
Filing Date: 2025-03-19
Form: 20-F
Item: Item 1
Chunk 351
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 rules (regardless of whether we continue to be a PFIC) with respect to (1) any“ excess distributions”(generally, the extent that any distributions received by the U. S. Holder on its ordinary shares or ADSs in a taxable year exceed 125% of the average annual distributions received by the U. S. Holder in the three preceding taxable years or, if shorter, the U. S. Holder’ s holding period) and (2) any gain realized on the sale or other disposition, including, in certain cases, a pledge of such ordinary shares or ADSs.

Under these rules (a) any gain or excess distribution will be allocated ratably over the U. S. Holder’s holding period, (b) the amount allocated to the current taxable year and any taxable year prior to the first taxable year in which we became a PFIC will be taxed as ordinary income and (c) the amount allocated to each other taxable year during the U. S. Holder’s holding period (i) will be subject to tax at the highest rate of tax in effect for the applicable category of taxpayer for that year and (ii) will be subject to an interest charge at a statutory rate with respect to the resulting tax attributable to each such other taxable year. In addition, a non-corporate U. S. Holder of ADSs will not be eligible for reduced rates of taxation on any dividends received from us if we are a PFIC (or are treated as a PFIC with respect to the U. S. Holder) in the taxable year in which such dividends are paid or in the preceding taxable year.

If we are a PFIC for any taxable year during which a U. S. Holder owns ordinary shares or ADSs, we generally will continue to be treated as a PFIC with respect to that U. S. Holder in all succeeding taxable years, even if we cease to meet the threshold requirements for PFIC status described above, unless the U. S. Holder makes a timely “deemed sale election.” If we are a PFIC for any taxable year and then cease to be a PFIC, a U. S. Holder may make a “deemed sale election” to be treated for U. S. federal income tax purposes as having sold such U. S. Holder’s ordinary shares or ADSs on the last day of our taxable year during which we were a PFIC. A U. S. Holder that makes a deemed sale election would then cease to be treated as owning