Company: NOTV
Filing Date: 2025-01-23
Form Type: DEF 14A
Source: 0001628280-25-002250
Chunk: 38

Company: Inotiv, Inc.
Filing Date: 2025-01-23
Form: DEF 14A
Chunk 38
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 not beyond the expiration of the term of the stock option or SAR).

Mitigation of Excise Taxes . In the event that the benefits provided for in the 2024 Plan or otherwise payable to a participant constitute Section 280G “parachute payments” and would be subject to excise taxes, then such pay and benefits will be either be delivered in full or delivered as to such lesser extent which would result in no portion of such pay or benefits being subject to excise taxes, whichever results in the receipt by the participant of the greatest amount of benefits.

Effective Date and Term of the 2024 Plan . The 2024 Plan became effective on the date that it was approved by the Company’s shareholders, March 14, 2024. Unless terminated earlier, the 2024 Plan will terminate on the tenth anniversary of the effective date. Awards outstanding under the 2024 Plan at the time it is terminated will remain in force according to the terms of the 2024 Plan and the applicable award agreement. The Board of Directors may suspend or terminate the 2024 Plan at any time.

If our shareholders do not approve this proposal, the amendment to the 2024 Plan will not take effect and the 2024 Plan will continue in effect under its original terms.

Amendment of the Plan

The Board of Directors may amend the 2024 Plan from time to time. The Company shall submit any amendment of the 2024 Plan to its shareholders for approval only to the extent required by applicable laws or regulations or the rules of any securities exchange on which the common shares may then be listed. No termination, suspension, or amendment of the 2024 Plan may materially impair the rights of any participant under a previously granted award without the participant’s consent, unless such action is necessary to comply with applicable law or stock exchange rules.

#### U.S. Federal Income Tax Consequences
The following is a summary of the principal United States federal income tax consequences to the Company and to participants subject to U.S. taxation with respect to awards granted under the 2024 Plan, based on current statutes, regulations and interpretations.

Non-Qualified Stock Options . If a participant is granted a non-qualified option under the 2024 Plan, the participant will not recognize taxable income upon the grant of the option. Generally, the participant will recognize ordinary income at the time of exercise in an amount equal to the difference between the fair market value of the shares acquired at the time of exercise and the exercise price paid. The participant’s basis in