Company: NCEL
Filing Date: 2025-06-23
Form Type: F-4/A
Source: 0001213900-25-056787
Chunk: 148

Company: NewcelX Ltd.
Filing Date: 2025-06-23
Form: F-4/A
Chunk 148
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 2024. If NLS is a PFIC in any taxable year during which a U.S. taxpayer holds the NLS Common Shares and Warrants, such U.S. taxpayer would be subject to certain adverse U.S. federal income tax rules. In particular, except with respect to the Warrants (unless exercised), if the U.S. taxpayer did not make an election to treat it as a “qualified electing fund,” or QEF, or make a “mark -to-market” election, then “excess distributions” to the U.S. taxpayer, and any gain realized on the sale or other disposition of the NLS Common Shares by the U.S. taxpayer: (1) would be allocated ratably over the U.S. taxpayer’s holding period for the NLS Common Shares; (2) the amount allocated to the current taxable year and any period prior to the first day of the first taxable year in which NLS was a PFIC would be taxed as ordinary income; and (3) the amount allocated to each of the other taxable years would be subject to tax at the highest rate of tax in effect for the applicable class of taxpayer for that year, and an interest charge for the deemed deferral benefit would be imposed with respect to the resulting tax attributable to each such other taxable year. In addition, if the U.S. Internal Revenue Service, or the IRS, determines that NLS is a PFIC for a year with respect to which NLS has determined that NLS was not a PFIC, it may be too late for a U.S. taxpayer to make a timely QEF or mark -to-marketelection. U.S. taxpayers that have held the NLS Common Shares during a period when NLS was a PFIC will be subject to the foregoing rules, even if NLS cease to be a PFIC in subsequent years, subject to exceptions for U.S. taxpayer who made a timely QEF or mark -to-marketelection. A U.S. taxpayer can make a QEF election by completing the relevant portions of and filing IRS Form 8621 in accordance with the instructions thereto. NLS intends to make available to U.S. taxpayers upon request the information needed in order to complete IRS Form 8621 and to make and maintain a valid QEF election for any year in which NLS or any of its subsidiaries are a PFIC. U.S. taxpayers that hold the NLS Common Shares are strongly urged to consult their tax advisors about the PFIC rules, including tax