Company: FVN
Filing Date: 2025-03-10
Form Type: DRS/A
Source: 0001829126-25-001610
Chunk: 119

Company: Future Vision II Acquisition Corp.
Filing Date: 2025-03-10
Form: DRS/A
Chunk 119
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 whether they are controlled by PRC enterprises, individuals or foreigners.

VIWO believes that none of its entities outside of China is a PRC resident enterprise for PRC tax purposes even if the standards for “de facto management body” prescribed in the SAT Circular 82 are applicable to VIWO. However, the tax resident status of an enterprise is subject to determination by the PRC tax authorities and uncertainties remain with respect to the interpretation of the term “de facto management body.” If the PRC tax authorities determine that the company or any of VIWO’s subsidiaries outside of China is a PRC resident enterprise for enterprise income tax purposes, VIWO may be subject to PRC enterprise income on VIWO’s worldwide income at the rate of 25%, which could materially reduce VIWO’s net income. In addition, VIWO will also be subject to PRC enterprise income tax reporting obligations.

Although dividends paid by one PRC tax resident to another PRC tax resident should qualify as “tax-exempt income” under the enterprise income tax law, VIWO cannot assure you that dividends by VIWO’s PRC subsidiaries to VIWO’s Cayman Islands holding company will not be subject to a 10% withholding tax, as the PRC foreign exchange control authorities, which enforce the withholding tax on dividends, and the PRC tax authorities have not yet issued guidance with respect to the processing of outbound remittances to entities that are treated as resident enterprises for PRC enterprise income tax purposes.

Non-PRC resident holders of VIWO’s ordinary shares may also be subject to PRC withholding tax on dividends paid by VIWO and PRC tax on gains realized on the sale or other disposition of ordinary shares, if such income is sourced from within the PRC. The tax would be imposed at the rate of 10% in the case of non-PRC resident enterprise holders and 20% in the case of non-PRC resident individual holders. In the case of dividends, VIWO would be required to withhold the tax at source. Any PRC tax liability may be reduced under applicable tax treaties or similar arrangements. Although VIWO’s holding company is incorporated in the Cayman Islands, it remains unclear whether dividends received and gains realized by VIWO’s non-PRC resident holders of VIWO’s ordinary shares will be regarded as income from sources within the PRC if VIWO is classified as a PRC resident enterprise. Any such tax will reduce the returns on your investment in VIWO’s ordinary shares.

VIWO cannot assure you that the