Company: ARAI
Filing Date: 2025-07-15
Form Type: S-1/A
Source: 0001641172-25-019572
Chunk: 162

Company: Arrive AI Inc.
Filing Date: 2025-07-15
Form: S-1/A
Chunk 162
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 FEDERAL INCOME AND ESTATE TAX LAWS TO THEIR PARTICULAR
SITUATIONS AND THE CONSEQUENCES OF FOREIGN, STATE OR LOCAL LAWS, AND TAX TREATIES.

Consequences to U.S. Holders

The following is a summary
of the U.S. federal income tax consequences that will apply to a U.S. holder of our securities. For purposes of this discussion, you
are a U.S. holder if, for U.S. federal income tax purposes, you are a beneficial owner of our securities, other than a partnership, that
is:

| ● | an individual citizen or resident of the United States;                                                                                  |
| ● | a corporation or other entity taxable as a corporation                                                                                   
 created or organized in the United States or under the laws of the United States, any State thereof or the District of Columbia;         |
| ● | an estate trust whose income is subject to U.S. federal                                                                                  
 income tax regardless of its source; or                                                                                                  |
| ● | a trust (x) whose administration is subject to the                                                                                       
 primary supervision of a U.S. court and which has one or more “United States persons” (within the meaning of Section                     
 7701(a)(30) of the Code) who have the authority to control all substantial decisions of the trust or (y) which has made a valid election 
 to be treated as a “United States person.”                                                                                               |

| 69 |

Distributions

We do not anticipate paying
any cash dividends on our common stock in the foreseeable future. However, if we do make distributions in cash or other property on our
common stock, those payments will constitute dividends for U.S. tax purposes to the extent paid from our current or accumulated earnings
and profits, as determined under U.S. federal income tax principles. To the extent our distributions exceed both our current and our
accumulated earnings and profits, the excess will constitute a return of capital that will first reduce your basis in our common stock,
but not below zero, and then will be treated as gain from the sale or other disposition of stock as described below under “—Sale,
Exchange or Other Taxable Disposition of Common Stock.”

Dividend income may be taxed
to an individual U.S. holder at rates applicable to long-term capital gains, provided that a minimum holding period and other limitations
and requirements are satisfied with certain exemptions. Any dividends that we pay to a U.S. holder that is a corporation will qualify
for the dividends received deduction if the