Company: APXIF
Filing Date: 2025-07-03
Form Type: F-4/A
Source: 0001213900-25-061545
Chunk: 351

Company: APx Acquisition Corp. I
Filing Date: 2025-07-03
Form: F-4/A
Chunk 351
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 Holder’s adjusted tax basis in the Company Shares will be increased to reflect any amounts included in income, and decreased to reflect any amounts deducted, as a result of a mark -to -marketelection. Any gain recognized on a disposition of Company Shares in a taxable year in which the Company is a PFIC will be treated as ordinary income and any loss will be treated as ordinary loss (but only to the extent of the net amount of income previously included as a result of a mark -to -marketelection, and any loss in excess of such prior inclusions generally would be treated as a capital loss). A mark -to -marketelection applies for the taxable year in which the election was made, and for each subsequent taxable year, unless the PFIC shares cease to be marketable or the IRS consents to the revocation of the election. U.S. Holders should also be aware that the Code and the Treasury Regulations do not allow a mark -to -marketelection with respect to stock of lower -tierPFICs that is non -marketable. There is also no provision in the Code, Treasury Regulations or other published authority that specifically provides that a mark -to -marketelection with respect to the stock of a publicly traded holding company (such as the Company) effectively exempts stock of any lower -tierPFICs from the negative tax consequences arising from the general PFIC rules. U.S. Holders are advised to consult their own tax advisor to determine whether the mark -to -markettax election is available to them and the consequences resulting from such election. In addition, U.S. Holders of Company Warrants will not be able to make a mark -to -marketelection with respect to their Company Warrants. PFIC Reporting Requirements A U.S. Holder that owns (or is deemed to own) shares in a PFIC during any taxable year of the U.S. Holder generally is required to file an IRS Form 8621 with such U.S. Holder’s U.S. federal income tax return and provide such other information as the IRS may require. Failure to file IRS Form 8621 for each applicable taxable year may result in substantial penalties and result in the U.S. Holder’s taxable years being open to audit by the IRS until such forms are properly filed. The rules dealing with PFICs and PFIC Elections are very complex and are affected by various factors in addition to those described above. Accordingly, U.S. Holders of APx Securities and Company Securities are