Company: SVREW
Filing Date: 2025-03-21
Form Type: 20-F
Source: 0001013762-25-001028
Chunk: 34

Company: SaverOne 2014 Ltd.
Filing Date: 2025-03-21
Form: 20-F
Item: Item 3
Chunk 34
---
 taxpayers that are holders of our ADSs
or our ordinary shares if we are or were to become a PFIC.

Based
on the projected composition of our income and valuation of our assets, we may have been a PFIC for our 2024 taxable year and we may
be a PFIC for 2025 and in the future, although there can be no assurance in this regard. The determination of whether we are a PFIC is
made on an annual basis and will depend on the composition of our income and assets from time to time. We will be treated as a PFIC for
U. S. federal income tax purposes in any taxable year in which either (1) at least 75% of our gross income is “passive income”
or (2) on quarterly average at least 50% of our assets by value produce passive income or are held for the production of passive income.
Passive income for this purpose generally includes, among other things, certain dividends, interest, royalties, rents and gains from
commodities and securities transactions and from the sale or exchange of property that gives rise to passive income. Passive income also
includes amounts derived by reason of the temporary investment of funds, including those raised in a public offering. In determining
whether a non-U. S. corporation is a PFIC, a proportionate share of the income and assets of each corporation in which it owns, directly
or indirectly, at least a 25% interest (by value) is taken into account. The tests for determining PFIC status are applied annually and
it is difficult to make accurate projections of future income and assets which are relevant to this determination. In addition, our PFIC
status may depend in part on the market value of our ADSs or our ordinary shares. Accordingly, there can be no assurance that we will
not be a PFIC in subsequent years. If we were a PFIC in 2024, or are a PFIC in any subsequent taxable year during which a U. S. taxpayer
holds our ADSs or our ordinary shares, such U. S. taxpayer would be subject to certain adverse U. S. federal income tax rules. In particular,
if the U. S. taxpayer did not make an election to treat us as a “qualified electing fund”, or QEF, or make a “mark-to-market”
election, then “excess distributions” to the U. S. taxpayer, and any gain realized on the sale or other disposition of our