Company: LICN
Filing Date: 2025-04-29
Form Type: 20-F
Source: 0001213900-25-036244
Chunk: 127

Company: Lichen International Ltd
Filing Date: 2025-04-29
Form: 20-F
Item: Item 19
Chunk 127
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-23

11. Accrued expenses and other current liabilities

Accrued expenses and
other current liabilities consisted of the following:

                      2024                                2023             
 ───────────────────────────────────────────────────────────────────────────
                      In thousands of USD                                  
  Salary payable      $                        1,477      $         1,224  
  Others                                         150                   88  
  Total               $                        1,627      $         1,312  

12. Contract liabilities

                            2024                       2023  
 ─────────────────────────────────────────────────────────────
                            In thousands of USD              
  Contract liabilities      $696                     $1,034  
  Total                     $696                     $1,034  

Contract liability refers to the payment received from a customer before
the Company transfers the related services in advance. Contract liability primarily consists of advanced payment received from customers
for which the Company’s revenue recognition criteria have not been met. The contract liability will be recognized as revenue once
the criteria for revenue recognition have been met. The contract liability amounted to $1.03million and $1.15million was totally recognized
for the years ended December 31, 2024 and 2023, respectively.

13. Taxes

  (a)      Taxes    
           payable  
 ────────────────────

Taxes payable consisted of the following:

                          2024                              2023             
 ─────────────────────────────────────────────────────────────────────────────
                          In thousands of USD                                
  Income tax payable      $                        473      $           978  
  VAT payable                                       52                  154  
  Other tax payable                                445                  457  
  Total                   $                        970      $         1,589  

  (b)      Corporate              
           Income Taxes (“ CIT”)  
 ──────────────────────────────────

Cayman Islands

Under the current tax
laws of Cayman Islands, the Company is not subject to tax on income or capital gain. Additionally, the Cayman Islands does not impose
a withholding tax on payments of dividends to shareholders.

BVI

Under the current tax
laws of BVI, the Company is not subject to tax on income or capital gain. Additionally, the BVI does not impose a withholding tax on payments
of dividends to shareholders.

F-24

Hong Kong

Under the current Hong
Kong Inland Revenue Ordinance, the Company’s subsidiaries incorporated in Hong Kong are subject to