Company: KPEA
Filing Date: 2025-01-14
Form Type: 10-K
Source: 0001493152-25-002124
Chunk: 469

Company: Kun Peng International Ltd.
Filing Date: 2025-01-14
Form: 10-K
Item: Item 1
Chunk 469
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 the VIE’s business operations
or on its customers, or take other regulatory or enforcement actions against the VIE that could be harmful to its business, which could
materially and adversely affect the VIE’s and the Company’s business, financial condition, and results of operations.

42

In
addition, any failure, or perceived failure, by us to comply with the above and other regulatory requirements or privacy protection-related
laws, rules, and regulations could result in reputational damage or proceedings or actions against us by governmental entities, consumers,
or others. These proceedings or actions could subject us to significant penalties and negative publicity, require us to change our data
and other business practices, increase our costs, and severely disrupt our business, all of which could negatively affect the trading
price of our common stock.

Laws
and Regulations Relating to Intellectual Property Rights

Pursuant
to the Trademark Law of the PRC (the “Trademark Law”), the right to exclusive use of a registered trademark shall be limited
to trademarks which have been registered and to goods for which the use of trademark has been permitted. The period of validity of a
registered trademark shall be ten years, counted from the day the registration is made. According to the Trademark Law, (i) using a trademark
that is identical to a registered trademark on the same goods without the authorization of the owner of the registered trademark; (ii)
using a trademark that is similar to a registered trademark on the same goods or (iii) using a trademark that is identical with or similar
to a registered trademark on similar goods without the authorization of the owner of the registered trademark, which is likely to cause
confusion, shall be deemed to constitute an infringement of the exclusive right to use a registered trademark. The infringer shall, in
accordance with the regulations, undertake to cease the infringement, take remedial action, and pay damages.

Taxation

PRC
Enterprise Income Tax

The
PRC Enterprise Income Tax Law, or EIT Law, and its implementation rules provide that from January 1, 2008, a uniform income tax rate
of 25% is applied equally to domestic enterprises as well as foreign investment enterprises.

The
EIT Law and its implementation rules provide that a withholding tax at the rate of 10% is applicable to dividends and other distributions
payable by a PRC resident enterprise to investors who are “non-resident enterprises” (that do not have an establishment or
place of business