Company: GVH
Filing Date: 2025-02-12
Form Type: 20-F
Source: 0001493152-25-006117
Chunk: 158

Company: Globavend Holdings Ltd
Filing Date: 2025-02-12
Form: 20-F
Item: Item 3
Chunk 158
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 e.,
a lower-tier PFIC), such U. S. Holder would be treated as owning a proportionate amount (by value) of the shares of the lower-tier PFIC
and would be taxed under the PFIC excess distribution regime on distributions by the lower-tier PFIC and on gain from the disposition
of shares of the lower-tier PFIC even though such U. S. Holder would not receive the proceeds of those distributions or dispositions.
Any of our non-U. S. subsidiaries that have elected to be disregarded as entities separate from us or as partnerships for U. S. federal
income tax purposes would not be corporations under U. S. federal income tax law and, accordingly, cannot be classified as lower-tier
PFICs. However, non-U. S. subsidiaries that have not made the election may be classified as a lower-tier PFIC if we are a PFIC during
your holding period and the subsidiary meets the PFIC income test or PFIC asset test. Each U. S. Holder is advised to consult its tax
advisors regarding the application of the PFIC rules to any of our non-U. S. subsidiaries.

If we are a PFIC,
a U. S. Holder will not be subject to tax under the PFIC excess distribution regime on distributions or gain recognized on our Ordinary
Shares if a valid “mark-to-market” election is made by the U. S. Holder for our Ordinary Shares. An electing U. S. Holder generally
would take into account, as ordinary income each year, the excess of the fair market value of our Ordinary Shares held at the end of
such taxable year over the adjusted tax basis of such Ordinary Shares. The U. S. Holder would also take into account, as an ordinary loss
each year, the excess of the adjusted tax basis of such Ordinary Shares over their fair market value at the end of the taxable year,
but only to the extent of the excess of amounts previously included in income over ordinary losses deducted as a result of the mark-to-market
election. The U. S. Holder’s tax basis in our Ordinary Shares would be adjusted to reflect any income or loss recognized as a result
of the mark-to-market election. Any gain from a sale, exchange, or other disposition of our Ordinary Shares in any taxable year in which
we are a PFIC would be treated as ordinary income, and any loss from such sale, exchange, or other disposition would be treated first
as ordinary loss (to the extent