Company: CLIK
Filing Date: 2025-10-24
Form Type: 20-F
Source: 0001493152-25-019286
Chunk: 88

Company: Click Holdings Ltd.
Filing Date: 2025-10-24
Form: 20-F
Item: Item 10
Chunk 88
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 or other disposition of Class A Ordinary Shares in an amount equal to the difference between the amount realized
upon the disposition and the U. S. Holder’s adjusted tax basis in such Class A Ordinary Shares. Any capital gain or loss will be
long term if the Class A Ordinary Shares have been held for more than one year and will generally be U. S.-source gain or loss for U. S.
foreign tax credit purposes. Long-term capital gains of non-corporate taxpayers are currently eligible for reduced rates of taxation.
U. S. Holders are urged to consult their tax advisors regarding the tax consequences if a foreign tax is imposed on a disposition of our
Class A Ordinary Shares, including the availability of the foreign tax credit under their particular circumstances.

  50  

Passive
Foreign Investment Company Rules

A
non-U. S. corporation, such as our Company, will be classified as a PFIC, for U. S. federal income tax purposes for any taxable year, if
either (i) 75% or more of its gross income for such year consists of certain types of “passive” income or (ii) 50% or more
of the value of its assets (determined on the basis of a quarterly average) during such year is attributable to assets that produce or
are held for the production of passive income. For this purpose, cash and cash equivalents are categorized as passive assets and the
company’s goodwill and other unbooked intangibles are taken into account as non-passive assets. Passive income generally includes,
among other things, dividends, interest, rents, royalties, and gains from the disposition of passive assets. We will be treated as owning
a proportionate share of the assets and earning a proportionate share of the income of any other corporation in which we own, directly
or indirectly, more than 25% (by value) of the stock.

Based
on our current composition of assets, subsidiaries and market capitalization (which will fluctuate from time to time), we do not expect
to be or become a PFIC for U. S. federal income tax purposes. However, no assurance can be given in this regard because the determination
of whether we will be or become a PFIC is a factual determination made annually that will depend, in part, upon the composition of our
income and assets. Furthermore, the composition of our income and assets may also be affected by how, and how quickly, we use our liquid
assets and the cash raised