Company: NTWK
Filing Date: 2025-04-16
Form Type: PRE 14A
Source: 0001641172-25-005001
Chunk: 30

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-04-16
Form: PRE 14A
Chunk 30
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described in the General Instructions to Form S-8 Registration Statement under the Securities Act of 1933 (which includes transfers to
family members, family trusts or pursuant to domestic relations orders, but excludes transfers of options for consideration).

Performance Awards. Under our 2025 Plan,
a participant may also be awarded a “performance award,” which means that the participant may receive cash, stock or other awards
contingent upon achieving performance goals established by the Committee. The Committee may also make “deferred share” awards,
which entitle the participant to receive our stock in the future for services performed between the date of the award and the date the
participant may receive the stock. The vesting of deferred share awards may be based on performance criteria and/or continued service
with our Company. A participant who is granted a “stock appreciation right” under the Plan has the right to receive all or a
percentage of the fair market value of a share of stock on the date of exercise of the stock appreciation right minus the grant price
of the stock appreciation right determined by the Committee (but in no event less than the fair market value of the stock on the date
of grant). Finally, the Committee may make “restricted stock” awards under our 2025 Plan, which are subject to such terms and
conditions as the Committee determines and as are set forth in the award agreement related to the restricted stock. Unless the Committee
otherwise provides, upon termination of a participant’s employment during the period when the restrictions apply, the participant’s restricted
stock is forfeited to us.

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Section 162(m) of the Code limits our federal income tax deduction
for compensation paid to our Chief Executive Officer and our three most highly paid executive officers (other than the Chief Financial
Officer) for the applicable taxable year. The limit is $1,000,000 per officer per year, with certain exceptions. This deductibility cap
does not apply to “performance-based compensation,” if approved in advance by our shareholders. Our 2025 Plan provides that
all or a portion of an award that is subject to performance-based vesting may be designed to qualify as deductible “performance-based
compensation.” The performance criteria for that portion of any award that is intended to qualify as deductible performance-based
compensation will be a measure based on performance criteria, either individually, alternatively or in any combination, applied to either
our Company as a whole or to a subsidiary, division or other area of our Company, and measured either