Company: COOT
Filing Date: 2025-06-10
Form Type: S-1/A
Source: 0001641172-25-014422
Chunk: 133

Company: Australian Oilseeds Holdings Ltd
Filing Date: 2025-06-10
Form: S-1/A
Chunk 133
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 which are referred to collectively as the “PFIC Elections” for purposes of this discussion, for the first taxable year in which we are treated as a PFIC, and in which the U.S. Holder held (or was deemed to hold) Ordinary Shares, or the U.S. Holder does not otherwise make a purging election, as described below, the U.S. Holder generally will be subject to special and adverse rules with respect to (i) any gain recognized by the U.S. Holder on the sale or other taxable disposition of its Ordinary Shares and (ii) any “excess distribution” made to the U.S. Holder (generally, any distributions to the U.S. Holder during a taxable year of the U.S. Holder that are greater than 125% of the average annual distributions received by the U.S. Holder in respect of its Ordinary Shares during the three preceding taxable years of the U.S. Holder or, if shorter, the U.S. Holder’s holding period in its Ordinary Shares).

Under these rules:

| ● | the                                                                                                                                  
 U.S. Holder’s gain or excess distribution will be allocated ratably over the U.S. Holder’s holding period in its Ordinary            
 Shares;                                                                                                                              |
| ● | the                                                                                                                                  
 amount allocated to the U.S. Holder’s taxable year in which the U.S. Holder recognized the gain or received the excess distribution, 
 and to any period in the U.S. Holder’s holding period before the first day of the first taxable year in which we are treated         
 as a PFIC, will be taxed as ordinary income;                                                                                         |
| ● | the                                                                                                                                  
 amount allocated to other taxable years (or portions thereof) of the U.S. Holder and included in the U.S. Holder’s holding           
 period will be taxed at the highest tax rate in effect for that year and applicable to the U.S. Holder; and                          |
| ● | an                                                                                                                                   
 additional tax equal to the interest charge generally applicable to underpayments of tax will be imposed on the U.S. Holder with     
 respect to the tax attributable to each such other taxable year of the U.S. Holder.                                                  |

| 81 |

PFIC Elections

If we are treated as a PFIC and Ordinary Shares constitute “marketable stock,” a U.S. Holder may avoid the adverse PFIC tax consequences discussed above if such U.S. Holder makes a mark-to-market election with respect to its Ordinary Shares for the first taxable year in which the U.S. Holder holds (or is deemed