Company: DSWL
Filing Date: 2025-07-29
Form Type: 20-F
Source: 0001174947-25-001096
Chunk: 109

Company: DESWELL INDUSTRIES INC
Filing Date: 2025-07-29
Form: 20-F
Item: Item 10
Chunk 109
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 S. Holders

If you are not a U. S. Holder, you are a “ Non-U. S. Holder.”

Distributions on Our Common Shares

You generally will not be subject to U. S. federal income tax, including withholding tax, on distributions made on our common shares unless:

•you conduct a trade or business in the United States, and

•the distributions are effectively connected with the conduct of that trade or business (and, if an applicable income tax treaty so requires as a condition for you to be subject to U. S. federal income tax on a net income basis in respect of income from our common shares, such distributions are attributable to a permanent establishment that you maintain in the United States).

If you meet the two tests above, you generally will be subject to tax in respect of such dividends in the same manner as a U. S. Holder as described above (other than with respect to the Medicare tax described above). In addition, any effectively connected dividends received by a non-U. S. corporation may also, under certain circumstances, be subject to an additional “branch profits tax” at a 30 percent rate or such lower rate as may be specified by an applicable income tax treaty.

Sale, Exchange or Other Disposition of Our Common Shares

Generally, you will not be subject to U. S. federal income tax, including withholding tax, in respect of gain recognized on a sale or other taxable disposition of our common shares unless:

•your gain is effectively connected with a trade or business that you conduct in the United States (and, if an applicable income tax treaty so requires as a condition for you to be subject to U. S. federal income tax on a net income basis in respect of gain from the sale or other disposition of our common shares, such gain is attributable to a permanent establishment maintained by you in the United States), or

•you are an individual Non-U. S. Holder and are present in the United States for at least 183 days in the taxable year of the sale or other disposition, and certain other conditions exist.

You will be subject to tax in respect of any gain effectively connected with your conduct of a trade or business in the United States generally in the same manner as a U. S. Holder as described above (other than with respect to the Medicare tax described above). Effectively connected gains realized by a non-U. S. corporation may also, under certain circumstances, be subject to an additional “branch profits tax” at a rate of 30 percent or such