Company: FGMCU
Filing Date: 2025-12-30
Form Type: S-4/A
Source: 0001104659-25-124947
Chunk: 317

Company: FG Merger II Corp.
Filing Date: 2025-12-30
Form: S-4/A
Chunk 317
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 tax consequences of the Conversion for Non-U.S. holders of FGMC Public Shares will generally be the same as for U.S. holders except as noted below.

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Non-U.S. holders will not be subject to U.S. federal income tax on any gain recognized as a result of the Combination ( i.e., if the Conversion does not qualify as a “reorganization” under Section 368(a) of the Code and is a taxable transaction) unless:

| ● | the gain is effectively connected with the Non-U.S. holder’s conduct of a trade or business within the United States (and, if required by an applicable income tax treaty, the Non-U.S. holder maintains a permanent establishment in the United States to which such gain is attributable); |

| ● | the Non-U.S. holder is a nonresident alien individual present in the United States for 183 days or more during the taxable year of the Conversion and certain other requirements are met; or |

Gain described in the first bullet point above generally will be subject to U.S. federal income tax on a net income basis at the regular graduated rates. A Non-U.S. holder that is a corporation also may be subject to a branch profits tax at a rate of 30.0% (or such lower rate specified by an applicable income tax treaty) on such effectively connected gain, as adjusted for certain items. Gain described in the second bullet point above will be subject to U.S. federal income tax at a rate of 30.0% (or such lower rate specified by an applicable income tax treaty), which may be offset by U.S. source capital losses of the Non-U.S. holder (even though the individual is not considered a resident of the United States) provided that the Non-U.S. holder has timely filed U.S. federal income tax returns with respect to such losses. If the third bullet point above applied to a Non-U.S. holder, any gain recognized by such holder with respect to such holder’s FGMC Public Shares as a result of the Conversion would be subject to tax at generally applicable U.S. federal income tax rates and a U.S. federal withholding tax could apply. However, FGMC believes that it is not, and has not been at any time since its formation, a United States real property holding corporation. U.S. Federal Income Tax Consequences of a Redemption of FGMC Public Shares In the event that a holder’s FGMC Public Shares are redeemed pursuant to the redemption provisions described in this joint