Company: FORL
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001213900-25-045609
Chunk: 105

Company: Four Leaf Acquisition Corp
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 2
Chunk 105
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 certain new stock issuances against the fair market value of stock repurchases during the
same taxable year. In addition, certain exceptions apply to the excise tax. The U.S. Department of the Treasury (the “Treasury”)
has been given authority to provide regulations and other guidance to carry out and prevent the abuse or avoidance of the excise tax.

On December 27, 2022,
the U.S. Department of the Treasury issued Notice 2023-2 (the “Notice”) as interim guidance until publication of forthcoming
proposed regulations on the excise tax. Although the guidance in the Notice does not constitute proposed or final Treasury regulations,
taxpayers may generally rely upon the guidance provided in the Notice until the issuance of the forthcoming proposed regulations. Certain
of the forthcoming proposed regulations (if issued) could, however, apply retroactively. The Notice generally provides that if a covered
corporation completely liquidates and dissolves, distributions in such complete liquidation and other distributions by such covered corporation
in the same taxable year in which the final distribution in complete liquidation and dissolution is made are not subject to the excise
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