Company: QSJC
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0001683168-25-001892
Chunk: 97

Company: TANCHENG GROUP CO., LTD.
Filing Date: 2025-03-26
Form: 10-K
Item: Item 1A
Chunk 97
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. Moreover,
if the AHFCA Act is enacted into law, it would reduce the time before our securities may be prohibited from trading or delisted from three
years to two years.

On December 16, 2021, pursuant to the HFCA Act,
the PCAOB issued a Determination Report which found that the PCAOB is unable to inspect or investigate completely registered public accounting
firms headquartered in the PRC and Hong Kong, because of a position taken by one or more authorities in such jurisdictions. In addition,
the PCAOB’s report identified specific registered public accounting firms which are subject to these determinations. Either our
current or former registered public accounting firm is not headquartered in the PRC or Hong Kong and was not identified in this report
as a firm subject to the PCAOB’s determination. Our current auditor is a Singapore-based accounting firm that is registered with
the PCAOB and can be inspected by the PCAOB. We have no current intention of engaging any auditor based in the mainland China or Hong
Kong and not subject to regular inspection by the PCAOB. Furthermore, the PCAOB is able to inspect the audit workpapers of our PRC subsidiaries,
as such workpapers are electronic files possessed by our registered public accounting firms. However, if the PCAOB determines in the future
after the offering that it cannot inspect or fully investigate our auditor at such future time, trading in our securities would be prohibited
under the HFCA Act.

On August 26, 2022, CSRC, the MOF, and the PCAOB
signed the Protocol, governing inspections and investigations of audit firms based in China and Hong Kong. The Protocol remains unpublished
and is subject to further explanation and implementation. Pursuant to the fact sheet with respect to the Protocol disclosed by the SEC,
the PCAOB shall have independent discretion to select any issuer audits for inspection or investigation and has the unfettered ability
to transfer information to the SEC. On December 15, 2022, the PCAOB issued a report that vacated its December 16, 2021 determination and
removed mainland China and Hong Kong from the list of jurisdictions where it is unable to inspect or investigate completely registered
public accounting firms. For this reason, we were not identified as a Commission-Identified Issuer after we filed on March 29, 2024 the
annual report on Form 10-K for the fiscal year ended December 31, 2023 and do not expect to be identified as a Commission-Ident