Company: FORL
Filing Date: 2025-04-30
Form Type: 10-K
Source: 0001213900-25-037576
Chunk: 1008

Company: Four Leaf Acquisition Corp
Filing Date: 2025-04-30
Form: 10-K
Item: Item 4
Chunk 1008
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ise tax. 

Because
any redemptions of our stock in connection with a business combination, extension vote or otherwise will occur after December 31, 2022,
the redemptions that take place after that date, including the redemption on June 18, 2024 in connection with the 2024 Special Meeting,
may be subject to the excise tax. Whether and to what extent we would be subject to the excise tax in connection with any such redemptions
would depend on a number of factors, including (i) the fair market value of the such redemptions, together with any other redemptions
or repurchases we consummate in the same taxable year, (ii) the structure of any business combination and the taxable year in which it
occurs (including redemptions in connection with the Special Meeting), (iii) the nature and amount of any equity issuances, in connection
with a business combination or otherwise, issued within the same taxable year, (iv) whether we completely liquidate and dissolve within
the taxable year of such redemptions, and (v) legal uncertainties regarding how the excise tax applies to transactions like the Business
Combination (and, if applicable, a complete liquidation and dissolution of the Company) and the content of final and proposed regulations
and further guidance from the Treasury. The foregoing could cause a reduction in the cash available on hand to complete a Business Combination
and in our ability to complete a Business Combination. The proceeds placed in the trust account and the interest earned thereon will not
be used to pay for the excise tax that may be levied on the Company in connection with such redemptions. The Company further confirms
that it will not utilize any funds from the trust account to pay any such excise tax.

On June
18, 2024, the Company’s stockholders redeemed 2,752,307 Class A common stock shares for a total of $30,194,356. The Company evaluated
the current status and probability of the excise taxes becoming payable in relation to these redemptions under the guidance in ASC 450,
Contingencies, and determined that a contingent liability should be calculated and recorded. For the year ended December 31, 2024,
the Company incurred $301,944 excise tax liability related to the June 18, 2024 redemptions. No such redemptions occurred during
the year ended December 31, 2023. The