Company: ABLV
Filing Date: 2025-02-14
Form Type: F-3
Source: 0001213900-25-014400
Chunk: 7

Company: Able View Global Inc.
Filing Date: 2025-02-14
Form: F-3
Chunk 7
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 may not be available to freely convert or be changed at favorable rate, and such cash may not be available to fund operations or for other use outside of PRC due to interventions in or the imposition of restrictions and limitations on the ability of us or our subsidiaries by the PRC government in mainland China to transfer cash” enclosed
in the Company’s FY23 Annual Report incorporated by reference herein An “indirect transfer” of PRC assets,
including a transfer of equity interests in an unlisted non-PRC holding company of a PRC resident enterprise, by non-PRC resident
enterprises may be re-characterized and treated as a direct transfer of the underlying PRC assets, if such arrangement does not have
a reasonable commercial purpose and was established for the purpose of avoiding payment of PRC enterprise income tax. As a result, gains
derived from such indirect transfer may be subject to PRC enterprise income tax, and the transferee or other person who is obligated to
pay for the transfer is obligated to withhold the applicable taxes, currently at a rate of 10% for the transfer of equity interests in
a PRC resident enterprise. Such limitation on the ability of our PRC Operating Entities to pay dividends or make other distributions to
us could materially and adversely limit our ability to grow, make investments or acquisitions that could be beneficial to our business,
pay dividends, or otherwise fund and conduct our business. Pursuant to the Arrangement between the PRC and the Hong Kong Special Administrative
Region for the Avoidance of Double Taxation and Tax Evasion on Income, or the Double Tax Avoidance Arrangement, the 10% withholding tax
rate may be lowered to 5% if a Hong Kong resident enterprise, as the beneficial owner, owns no less than 25% of a PRC entity. However,
the 5% withholding tax rate does not automatically apply and certain requirements must be satisfied, including, without limitation, that
(a) the Hong Kong entity must be the beneficial owner of the relevant dividends; and (b) the Hong Kong entity must directly hold no less
than 25% share ownership in the PRC entity during the 12 consecutive months preceding its receipt of the dividends. In current practice,
a Hong Kong entity must obtain a tax resident certificate from the Hong Kong tax authority to apply for the 5% lower PRC withholding tax
rate. As the Hong Kong tax authority will issue such a tax resident certificate on a case-by-case basis, we cannot assure you that
we will