Company: BDRX
Filing Date: 2025-05-08
Form Type: POS AM
Source: 0001214659-25-007196
Chunk: 101

Company: Biodexa Pharmaceuticals Plc
Filing Date: 2025-05-08
Form: POS AM
Chunk 101
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, upon a sale or other taxable disposition of Depositary Shares, a U.S. holder would recognize ordinary
income or loss (which loss could not be in excess of the amount included in income because of the election for prior taxable years over
the amount allowed as a deduction because of the election for prior taxable years). If we were to be treated as a PFIC, different rules
would apply to a U.S. holder making a QEF election with respect to Depositary Shares. However, we do not intend to prepare or provide
the information necessary for U.S. holders to make a QEF election.

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If we are a PFIC for any taxable
year during which a U.S. Holder holds the Depositary Shares, the Pre-Funded Warrants, or the Series L Warrants, each such U.S.
Holder generally will be required to file an annual information return on IRS Form 8621 containing such information as the United States
Treasury Department may require. The failure to file IRS Form 8621 could result in the imposition of penalties and the extension of the
statute of limitations with respect to United States federal income tax.

The United States federal
income tax rules relating to PFICs are complex. U.S. Holders are urged to consult their tax advisors with respect to the purchase, ownership
and disposition of the Depositary Shares, the Pre-Funded Warrants, and the Series L Warrants, the availability of the mark-to-market election
and whether making the election would be advisable in their particular circumstances, and the IRS information reporting obligations with
respect to the purchase, ownership and disposition of the Depositary Shares, the Pre-Funded Warrants, and the Series L Warrants.

Taxation of the Depositary Shares

Dividends and Other Distributions on the Depositary Shares. Subject to the discussion above under the heading “-Passive Foreign Investment Company Considerations”,
generally the gross amount of distributions made by us, if any, to a U.S. Holder with respect to the Depositary Shares, before reduction
for any non-U.S. taxes withheld therefrom, will be includable in gross income as a dividend to the extent that such distribution
is paid out of our current or accumulated earnings and profits (as determined under United States federal income tax principles). To the
extent, if any, that the amount of any cash distribution exceeds our current and accumulated earnings and profits, it will be treated
first as a tax-free return of such U