Company: BDRX
Filing Date: 2025-05-12
Form Type: 424B3
Source: 0001214659-25-007342
Chunk: 107

Company: Biodexa Pharmaceuticals Plc
Filing Date: 2025-05-12
Form: 424B3
Chunk 107
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 be treated first as a non-taxable return of capital to the extent
of the United States holder’s basis in the Depositary Shares, and thereafter as capital gain. However, since we do not calculate
our earnings and profits under United States federal income tax principles, it is expected that any distribution on Depositary Shares
will be reported as a dividend even if that distribution would otherwise be treated as a non-taxable return of capital or as capital gain
under the rules described above.

Dividends paid in currencies
other than the United States dollar, if any, will generally be taxable to a United States holder as ordinary dividend income in an amount
equal to the United States dollar value of the currency received on the date such distribution is actually or constructively received.
Such United States dollar value must be determined using the spot rate of exchange on such date, regardless of whether the non-United
States currency is actually converted into United States dollars on such date. The United States holder may realize exchange gain or loss
if the currency received is converted into United States dollars after the date on which it is actually or constructively received. In
general, any such gain or loss will be ordinary and will be treated as from sources within the United States for United States foreign
tax credit purposes.

| 70 |

Subject to the discussion
below under “—3.8% Medicare Tax on Net Investment Income,” dividends received by certain non-corporate
United States holders (including individuals) from a “qualified foreign corporation” may be eligible for reduced rates of
taxation, currently at a maximum rate of 20%, provided that certain holding period requirements and other conditions are satisfied. For
these purposes, a foreign corporation will generally be treated as a qualified foreign corporation with respect to dividends paid by that
corporation on shares that are readily tradable on an established securities market in the United States. United States Treasury Department
guidance indicates that the Depositary Shares, which are listed on the NASDAQ Capital Market, would be considered readily tradable on
an established securities market in the United States. However, there can be no assurance that the Depositary Shares will be considered
readily tradable on an established securities market in future years. A foreign corporation is also treated as a qualified foreign corporation
if it is eligible for the benefits of a comprehensive income tax treaty with the United States which is determined by the United States
Treasury Department to be satisfactory for purposes of these rules and which includes an exchange of information provision. The