Company: INTS
Filing Date: 2025-04-24
Form Type: S-1/A
Source: 0001628280-25-019491
Chunk: 49

Company: INTENSITY THERAPEUTICS, INC.
Filing Date: 2025-04-24
Form: S-1/A
Chunk 49
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 also possible that a cashless exercise is treated as a taxable exchange in which gain or loss would be recognized. In such event, a U.S. holder may be deemed to have surrendered Common Warrant with an aggregate fair market value equal to the exercise price for the total number of Common Warrant to be exercised. The U.S. holder would recognize capital gain or loss in an amount equal to the difference between the fair market value of the Common Warrants deemed surrendered and the U.S. holder’s tax basis in such Common Warrants (such gain or loss would be long-term or short-term, depending on the U.S. holder’s holding period in the Common Warrants deemed surrendered). In this case, a U.S. holder’s tax basis in the shares of Common Stock received pursuant to the cashless exercise would equal the sum of the U.S. holder’s tax basis in the Common Warrants exercised and the exercise price of such Common Warrants. It is unclear whether a U.S. holder’s holding period for the Common Stock would commence on the date of exercise of the Common Warrant or the day following the date of exercise of the Common Warrant.

Due to the absence of authority on the U.S. federal income tax treatment of a cashless exercise, there can be no assurance which, if any, of the alternative tax consequences and holding periods described above would be adopted by the IRS or a court of law. Holders are urged to consult their tax advisors as to the consequences of an exercise of a Common Warrant on a cashless basis, including with respect to their holding period and tax basis in the Common Stock received.

#### Lapse of Common Warrants
If a U.S. holder allows a Common Warrant to expire unexercised, such holder will generally recognize a capital loss for U.S. federal income tax purposes in an amount equal to such holder’s tax basis in the Common Warrant. Any such loss generally will be a capital loss and will be long-term capital loss if the Common Warrant is held for more than one year. The deductibility of capital losses is subject to limitations.

#### Contingent Payments on the Common Warrants
The Common Warrants entitle a holder to receive payments upon the occurrence of certain contingencies, including a distribution on shares of our Common Stock or our failure to deliver shares of Common Stock upon exercise of a Common Warrant. The tax treatment of such payments, if made, is subject to substantial uncertainty. U.S. holders should consult their own tax advisors as to