Company: SRV
Filing Date: 2025-11-17
Form Type: 424B2
Source: 0001398344-25-021029
Chunk: 133

Company: NXG Cushing Midstream Energy Fund
Filing Date: 2025-11-17
Form: 424B2
Chunk 133
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 addition, the Fund will be subject to
regular U.S. federal income tax or any built-in gains that existed in its assets as of the time of its conversion to a RIC, to the extent
such gains were recognized within five years of that time.

<div align='center'>S-18</div>

The Fund may retain for investment
its net capital gain (which consists of the excess of its net long-term capital gain over its net short-term capital loss). However, if
the Fund retains any net capital gain or any investment company taxable income, it will be subject to a tax on such amount at regular
corporate tax rates. If the Fund retains any net capital gain, it may designate the retained amount as undistributed capital gains in
a notice to its Common Shareholders, each of whom, if subject to U.S. federal income tax on long-term capital gains, (i) will be required
to include in income for U.S. federal income tax purposes its share of such undistributed net capital gain, (ii) will be entitled to credit
its proportionate share of the tax paid by the Fund against its U.S. federal income tax liability, if any, and to claim refunds to the
extent that the credit exceeds such liability and (iii) will increase its tax basis in its Common Shares by the excess of the amount described
in clause (i) over the amount described in clause (ii). A Common Shareholder that is not subject to U.S. federal income tax
or otherwise is not required to file a U.S. federal income tax return would be required to file a U.S. federal income tax return on the
appropriate form in order to claim a refund for the taxes paid by the Fund.

Amounts not distributed on a
timely basis in accordance with a calendar year distribution requirement are subject to a nondeductible 4% U.S. federal excise tax at
the Fund level. To avoid the excise tax, the Fund must distribute (or be deemed to have distributed) during each calendar year an amount
at least equal to the sum of (i) 98% of its ordinary income (not taking into account any capital gains or losses) for the calendar year
and (ii) 98.2% of its capital gains in excess of its capital losses (adjusted for certain ordinary losses) for a one-year period generally
ending on October 31 of the calendar year (unless an election is made to use the Fund’s taxable year instead).