Company: OXLCZ
Filing Date: 2025-11-05
Form Type: N-CSRS
Source: 0001213900-25-106331
Chunk: 39

Company: Oxford Lane Capital Corp.
Filing Date: 2025-11-05
Form: N-CSRS
Chunk 39
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 the ex -dividenddate and are paid to stockholders on the payment date. A purchase of shares of the Fund before declaration of a distribution may be disadvantageous because the distribution to stockholders has the effect of reducing the NAV of the shares by the amount of the distribution. In addition, if you invest through a taxable account, you could be subject to tax on the amount of the distribution. A purchase of shares of the Fund at a time that net investment income and realized and unrealized capital gains have previously been earned but a corresponding distribution has not yet been declared may have tax implications and is referred to as “buying a dividend.” Distributions to stockholders are automatically reinvested in full shares of the Fund in accordance with the Fund’s distribution reinvestment plan, unless the stockholder has elected to have them paid in cash. Amounts required to be distributed reflect estimates made by the Fund. The Fund intends to comply with the applicable provisions of the Code to make distributions of taxable income sufficient to relieve it of substantially all federal income taxes. Distributions paid by the Fund in accordance with RIC requirements are subject to re -characterizationfor tax purposes. The Fund, at its discretion, may carry forward taxable income in excess of calendar year distributions and pay a 4% excise tax on such income. The Fund will accrue excise tax on estimated excess taxable income, if any, as required. The Fund has approximately $0.9million of estimated excise tax payable for estimated excise tax on undistributed taxable income. The amount is included in “Excise tax payable” on the Statement of Assets and Liabilities. Excise tax expense for the six months ended September30, 2025 reflects a reversal of previously estimated excise tax expense, which is on the Statement of Operations. 39

OXFORD LANE CAPITAL CORP.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2025
(Unaudited) NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.) SECURITIES TRANSACTIONS Securities transactions are recorded on the trade date. Realized gains and losses on investments sold are recorded on the basis of specific identification. An optional redemption (“optionally redeemed”) feature of a CLO allows a majority of the holders of the equity securities issued by the CLO issuer, after the end of a specified non -callperiod, to cause the redemption of the secured notes issued by the CLO with proceeds paid either through the liquidation of