Company: CSCIF
Filing Date: 2025-04-09
Form Type: 20-F
Source: 0001641172-25-003456
Chunk: 150

Company: COSCIENS Biopharma Inc.
Filing Date: 2025-04-09
Form: 20-F
Item: Item 6
Chunk 150
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 or allowed as a tax-free distribution because of such QEF election. In addition, a U. S. Holder that makes a
QEF election generally will recognize capital gain or loss on the sale or other taxable disposition of Common Shares.

The
QEF election is made on a shareholder-by-shareholder basis. Once made, a QEF election will apply to the tax year for which the QEF election
is made and to all subsequent tax years, unless the QEF election is invalidated or terminated or the IRS consents to revocation of the
QEF election. In addition, if a U. S. Holder makes a QEF election, the QEF election will remain in effect (although it will not be applicable)
during those tax years in which the Company is not a PFIC.

If
the Company is classified as a PFIC and then ceases to be so classified, a U. S. Holder may make an election (a “ deemed sale
election

If
the Company is a PFIC in any year with respect to a U. S. Holder, the U. S. Holder will be required to file an annual information return
on IRS Form 8621 regarding distributions received on Common Shares and any gain realized on the disposition of Common Shares.

In
addition, if the Company is a PFIC, U. S. Holders will generally be required to file an annual information return with the IRS (also on
IRS Form 8621, which PFIC shareholders are required to file with their U. S. federal income tax or information returns) relating to their
ownership of Common Shares.

U. S.
Holders should consult their tax advisors regarding the potential application of the PFIC regime and any reporting obligations to which
they may be subject under that regime.

Dividends

Subject
to the PFIC rules discussed above, any distributions paid by the Company out of current or accumulated earnings and profits (as determined
for U. S. federal income tax purposes), before reduction for any Canadian withholding tax paid with respect thereto, will generally be
taxable to a U. S. Holder as foreign source dividend income, and generally will not be eligible for the dividends received deduction generally
allowed to corporations.

  101  

Distributions
in excess of current and accumulated earnings and profits will be treated as a non-taxable return of capital to the extent of the U. S.
Holder’s adjusted tax basis in the Common Shares and thereafter as capital gain. The Company does not