Company: AEMD
Filing Date: 2025-04-08
Form Type: PRE 14A
Source: 0001683168-25-002332
Chunk: 28

Company: AETHLON MEDICAL INC
Filing Date: 2025-04-08
Form: PRE 14A
Chunk 28
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 Reverse Stock Split arising under any under any state, local or non-U.S. tax laws, or any U.S. federal
tax laws other than U.S. federal income tax laws (such as estate, gift tax laws), (ii) the alternative minimum tax, the Medicare contribution
tax on net investment income, or the special accounting rules under Section 451(b) of the Code, (iii) the tax consequences of transactions
effectuated before, after or at the same time as the Reverse Stock Split, whether or not they are in connection with the Reverse Stock
Split, or (iv) the tax consequences to holders of options, warrants or similar rights to acquire our common stock. Stockholders are urged
to consult their own tax advisors to determine the particular consequences to them of the Reverse Stock Split.

As used in this discussion, the term “U.S. Holder”
means a beneficial owner of shares of our common stock that is, for U.S. federal income tax purposes, (i) an individual who is a citizen
or individual resident of the United States; (ii) a corporation, or other entity taxable as a corporation, created or organized in or
under the laws of the United States, any state thereof or the District of Columbia; (iii) an estate, the income of which is subject to
U.S. federal income taxation regardless of its source; or (iv) a trust, if (A) a court within the United States is able to exercise primary
jurisdiction over administration of the trust and one or more United States persons have authority to control all substantial decisions
of the trust or (B) it has a valid election in effect to be treated as a United States person.

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The Reverse Stock Split is intended to be treated
as a recapitalization for U.S. federal income tax purposes that is not part of a plan to increase periodically a stockholder’s proportionate
interest in our assets or earnings and profits, and that, taken together with other relevant transactions, if any, will not have the effect
of the receipt of money or other property by some stockholders and an increase in the proportionate interest of other stockholders in
our assets or earnings and profits. Assuming that is the case, a U.S. Holder that receives a reduced number of shares of common stock
will not recognize income, gain or loss. In the aggregate, such a stockholder’s basis in the reduced number of shares of common
stock will equal the stockholder’s basis in