Company: FSHPU
Filing Date: 2025-03-04
Form Type: 10-K
Source: 0001829126-25-001450
Chunk: 659

Company: Flag Ship Acquisition Corp
Filing Date: 2025-03-04
Form: 10-K
Item: Item 4
Chunk 659
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 position will be sustained
         upon examination by the tax authorities. The Company’s management determined that the Cayman Islands is the Company’s major tax jurisdiction. The Company recognizes accrued interest and penalties related
         to unrecognized tax benefits, if any, as income tax expense. There were no unrecognized
         tax benefits and no amounts accrued for interest and penalties as of December 31, 2024 and December 31, 2023. The Company is currently not aware of any issues under review that could
         result in significant payments, accruals or material deviation from its position.
       
      The Company may be subject to potential examination by foreign taxing authorities
         in the area of income taxes. These potential examinations may include questioning
         the timing and amount of deductions, the nexus of income among various tax jurisdictions
         and compliance with foreign tax laws. The Company’s management does not expect that the total amount of unrecognized tax benefits will
         materially change over the next twelve months.
       
      The Company is considered to be an exempted Cayman Islands company with no connection
         to any other taxable jurisdiction and is presently not subject to income taxes or
         income tax filing requirements in the Cayman Islands or the United States. As such,
         the Company’s tax provision was zero for the periods presented.

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            Ordinary share subject to possible redemption

      The Company accounts for its ordinary shares subject to possible redemption in accordance
         with the guidance in ASC 480. Ordinary share subject to mandatory redemption (if any)
         is classified as a liability instrument and is measured at fair value. Conditionally
         redeemable ordinary shares (including ordinary shares that feature redemption rights
         that are either within the control of the holder or subject to redemption upon the
         occurrence of uncertain events not solely within the Company’s control) are classified as temporary equity. At all other times, ordinary shares
         are classified as shareholders’ equity. The Company’s ordinary shares feature certain redemption rights that are considered to be outside
         of the Company’s control and subject to occurrence of uncertain future events. Accordingly, as of
         December 31, 2024 and 2023, 6,900,000 and 0 ordinary shares subject to possible redemption are presented at redemption value as
         temporary equity, outside of the shareholders’ equity section of the Company’s balance sheet, respectively.

    F-13

FLAG SHIP ACQUISITION CORPORATION

NOTES TO FINANCIAL STATEMENTS

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