Company: CELH
Filing Date: 2025-04-14
Form Type: DEF 14A
Source: 0001193125-25-080192
Chunk: 88

Company: Celsius Holdings, Inc.
Filing Date: 2025-04-14
Form: DEF 14A
Chunk 88
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 value), the portion of the incentive stock option in respect of those excess shares will be treated as a nonqualified stock option for federal income tax purposes. Stock Appreciation Rights A participant will realize no taxable income at the time a stock appreciation right is granted. Upon the exercise of stock appreciation rights, the value received is generally taxable to the recipient as ordinary income, and we generally will be entitled to a corresponding tax deduction. If the stock appreciation right is settled in shares, then when the shares are sold the participant will recognize capital gain or loss on the difference between the sale price and the amount recognized at exercise. Any gain or loss will be short-term or long-term capital gain or loss, depending on the holding period of the stock prior to such disposition. Restricted Shares A participant receiving restricted shares may be taxed in one of two ways: the participant (i) pays tax when the restrictions lapse (i.e., the shares become vested); or (ii) makes a special election to pay tax in the year the grant is made. At either time

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PROPOSAL NO. 5: APPROVAL OF THE CELSIUS HOLDINGS, INC. 2025 OMNIBUS INCENTIVE COMPENSATION PLAN the value of the award for tax purposes is the excess of the fair market value of the shares at that time over the amount (if any) paid for the shares. This value is taxed as ordinary income and is subject to income tax withholding. We receive a tax deduction at the same time and for the same amount taxable to the participant. If a participant makes an election under Section 83(b) of the Code within thirty days after grant to be taxed at grant, then, when the restrictions lapse, there will be no further tax consequences attributable to the awarded shares of stock until the recipient disposes of such stock, at which point any gain or loss will be short- or long-term capital gain or loss, depending on the holding period of the stock prior to such disposition. Restricted Stock Units In general, a participant will realize no taxable income at the time a RSU award is granted. The participant will generally include in ordinary income the fair market value of the award of stock at the time shares of stock are delivered to the participant. We generally will be entitled to a tax deduction at the time and in the amount that the participant recognizes ordinary income. Any future appreciation will be taxed at capital gains rates. Cash Incentive Awards and Other Equity-Based Awards With respect