Company: KMRK
Filing Date: 2025-08-15
Form Type: 20-F
Source: 0001213900-25-077494
Chunk: 122

Company: K-TECH SOLUTIONS CO LTD
Filing Date: 2025-08-15
Form: 20-F
Item: Item 10
Chunk 122
---
IC, the U. S. Holder will not be required to take into account the gain or loss described above during any period that such
corporation is not classified as a PFIC. If a U. S. Holder makes a mark-to-market election, any gain such U. S. Holder
recognizes upon the sale or other disposition of our Ordinary Share in a year when we are a PFIC will be treated as ordinary income
and any loss will be treated as ordinary loss, but such loss will only be treated as ordinary loss to the extent of the net amount
previously included in income as a result of the mark-to-market election.

Because a mark-to-market election
cannot be made for any lower-tier PFICs that we may own, a U. S. Holder may continue to be subject to the PFIC rules with respect
to such U. S. Holder’s indirect interest in any investments held by us that are treated as an equity interest in a PFIC for
U. S. federal income tax purposes.

Furthermore, as an alternative
to the foregoing rules, a U. S. Holder that owns stock of a PFIC generally may make a “qualified electing fund” election
regarding such corporation to elect out of the PFIC rules described above regarding excess distributions and recognized gains. However,
we do not intend to provide information necessary for U. S. Holders to make qualified electing fund elections which, if available,
would result in tax treatment different from the general tax treatment for PFICs described above.

If a U. S. Holder owns
our Ordinary Share during any taxable year that we are a PFIC, the U. S. Holder must generally file an annual Internal Revenue Service
Form 8621 and provide such other information as may be required by the U. S. Treasury Department, whether or not a mark-to-market
election is or has been made. If we are or become a PFIC, you should consult your tax advisor regarding any reporting requirements that
may apply to you.

You should consult your tax
advisors regarding how the PFIC rules apply to your investment in our Ordinary Share.

Information Reporting and Backup Withholding

Certain U. S. Holders are
required to report information to the Internal Revenue Service relating to an interest in “specified foreign financial assets,”
including shares issued by a non-United States corporation, for any year in which the aggregate value of all specified foreign financial
assets exceeds US$50,000 (or