Company: BIAF
Filing Date: 2025-04-15
Form Type: PRE 14A
Source: 0001641172-25-004857
Chunk: 41

Company: bioAffinity Technologies, Inc.
Filing Date: 2025-04-15
Form: PRE 14A
Chunk 41
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generally be treated as having received a distribution that will be treated first as dividend income to the extent paid out of our current
or accumulated earnings and profits, and then as a tax-free return of capital to the extent of the U.S. holder’s tax basis in our
Common Stock, with any remaining amount being treated as capital gain. U.S. holders should consult their tax advisors regarding the tax
effects to them of receiving cash in lieu of fractional shares based on their particular circumstances.

Non-U.S. Holders

Generally, non-U.S. holders will not recognize any
gain or loss as a result of the Reverse Stock Split. In particular, gain or loss will not be recognized with respect to a non-U.S. holder
that receives cash in lieu of a fractional share of Common Stock and whose proportionate interest in us is reduced (after taking into
account certain constructive ownership rules) provided that (a) such gain or loss is not effectively connected with the conduct of a trade
or business by such non-U.S. holder in the United States (or, if certain income tax treaties apply, is not attributable to a non-U.S.
holder’s permanent establishment in the United States), (b) with respect to a non-U.S. holder who is an individual, such non-U.S.
holder is present in the United States for less than 183 days in the taxable year of the Reverse Stock Split and other conditions are
met, and (c) such non-U.S. holder complies with certain certification requirements. If such gain is effectively connected with the non-U.S.
holder’s conduct of a trade or business in the U.S., and if an applicable income tax treaty so provides, the gain is attributable
to a permanent establishment or fixed base maintained by the non-U.S. holder in the United States, the non-U.S. holder will be taxed on
a net income basis at the regular tax rates and in the manner applicable to U.S. holders, and if the non-U.S. holder is a corporation,
an additional branch profits tax at a rate of 30%, or a lower rate as may be specified by an applicable income tax treaty, may also apply.
If the non-U.S. holder is an individual present in the United States for 183 days or more in the taxable year of the Reverse Stock Split
and certain other requirements are met, the non-U.S. holder will be subject to a 30% tax (or such lower rate as may be specified by an
applicable