Company: NEGG
Filing Date: 2025-07-15
Form Type: 424B5
Source: 0001213900-25-063944
Chunk: 17

Company: Newegg Commerce, Inc.
Filing Date: 2025-07-15
Form: 424B5
Chunk 17
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 holder maintains 
 a permanent establishment in the United States to which such gain is attributable);                                                         |

<div align='center'>S-12</div>

| ● | the Non-U.S. holder is a nonresident alien individual present                                                                   
 in the United States for 183 days or more during the taxable year of the disposition and certain other requirements are met; or |

| ● | our Common Shares constitute a U.S. real property interest (“USRPI”), by reason of our               
 status as a U.S. real property holding corporation (“USRPHC”), for U.S. federal income tax purposes. |

Gain described in the first bullet point above
will generally be subject to U.S. federal income tax on a net income basis at the regular graduated rates. A Non-U.S. holder that is a
corporation also may be subject to a branch profits tax at a rate of 30% (or such lower rate specified by an applicable income tax treaty)
on such effectively connected gain, as adjusted for certain items.

Gain described in the second bullet point above
will be subject to U.S. federal income tax at a rate of 30% (or such lower rate specified by an applicable income tax treaty), which may
be offset by U.S.-source capital losses of the Non-U.S. holder, provided the Non-U.S. holder has timely filed U.S. federal income tax
returns with respect to such losses.

With respect to the third bullet point above,
we believe we currently are not, and do not anticipate becoming, a USRPHC. Because the determination of whether we are a USRPHC depends,
however, on the fair market value of our USRPIs relative to the fair market value of our non-USRPIs and our other business assets, there
can be no assurance we currently are not a USRPHC or will not become one in the future. Even if we are or were to become a USRPHC, gain
arising from the sale or other taxable disposition by a Non-U.S. holder of our Common Shares will not be subject to U.S. federal income
tax if our Common Shares are “regularly traded,” as defined by applicable Treasury Regulations, on an established securities
market, and such Non-U.S. holder owned, actually and constructively, 5% or less of our Common Shares throughout the shorter of the five-year
period ending on the date of the sale or other taxable disposition and the Non-U.S. holder’s holding