Company: VEEAW
Filing Date: 2025-07-07
Form Type: DRS
Source: 0001213900-25-061586
Chunk: 206

Company: VEEA INC.
Filing Date: 2025-07-07
Form: DRS
Chunk 206
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will constitute a return of capital that will be applied against and reduce (but not below zero) the U.S. Holder’s adjusted tax
basis in our common shares. Any remaining excess will be treated as gain realized on the sale or other disposition of the shares of our
common shares and will be treated as described under “U.S. Holders — Gain or Loss on Sale, Taxable Exchange or Other Taxable
Disposition of Our Common Shares, Pre-Funded Warrants and Common Warrants” below.

Dividends we pay to a corporate
U.S. Holder generally will qualify for the dividends received deduction if certain holding period requirements are met. With certain exceptions
(including, but not limited to, dividends treated as investment income for purposes of investment interest deduction limitations), and
provided certain holding period requirements are met, dividends we pay to a non-corporate U.S. Holder will generally be taxed as qualified
dividend income at the preferential tax rate for long-term capital gains.

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A U.S. Holder generally will
recognize capital gain or loss on a sale or other taxable disposition of our common shares, Pre-Funded Warrants or common warrants. Any
such capital gain or loss generally will be long-term capital gain or loss if the U.S. Holder’s holding period for such common shares,
Pre-Funded Warrants or common warrants exceeds one year. Long-term capital gains recognized by a non-corporate U.S. holder are currently
eligible to be taxed preferential rates. The deductibility of capital losses is subject to limitations.

The amount of gain or loss
recognized on a sale or other taxable disposition generally will be equal to the difference between (i) the sum of the amount of
cash and the fair market value of any property received in such disposition and (ii) the U.S. Holder’s adjusted tax basis in
our common shares or warrants so disposed of. A U.S. Holder’s adjusted tax basis in our common shares and warrants generally will
equal the U.S. Holder’s acquisition cost reduced, in the case of our common shares, by any prior distributions treated as a return
of capital. See “U.S. Holders—Exercise, Lapse or Redemption of a Common Warrant” below for a discussion regarding a
U.S. Holder’s tax basis in a share of common stock acquired pursuant to the exercise of a warrant.

Except as discussed below with
respect to the cashless exercise of a warrant, a U