Company: RSKD
Filing Date: 2025-03-06
Form Type: 20-F
Source: 0001851112-25-000006
Chunk: 66

Company: RISKIFIED LTD.
Filing Date: 2025-03-06
Form: 20-F
Item: Item 3
Chunk 66
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IC. In addition, we have a substantial balance of cash and other liquid investments, which are passive assets for purposes of the PFIC determination. Accordingly, as our market capitalization and the composition of our income, assets, and operations are subject to change, we cannot assure you that we will not be considered a PFIC for any taxable year. In addition, it is possible that the United States Internal Revenue Service (the “ IRS”) may take a contrary position with respect to our determination in any particular year. Certain adverse U. S. federal income tax consequences could apply to a United States Holder (as defined in Item 10. E. “Taxation ― U. S. Federal Income Tax Considerations”) if we are treated as a PFIC for any taxable year during which such United States Holder holds our Class A ordinary shares. We are not providing any U. S. tax opinion to any United States Holder concerning our potential PFIC status, and United States Holders should consult their tax advisors about the potential application of the PFIC rules to their investment in our Class A ordinary shares. For further discussion, see Item 10. E. “ Taxation ― U. S. Federal Income Tax Considerations ― Passive Foreign Investment Company. ”

If a United States person is treated as owning 10% or more of our shares, such holder may be subject to adverse U. S. federal income tax consequences.

If a United States person is treated as owning (directly, indirectly, or constructively) at least 10% of the value or voting power of our shares, such person may be treated as a “ United States shareholder” with respect to each controlled foreign corporation, or CFC, in our group (if any). Because our group includes a U. S. subsidiary, certain of our non-U. S. subsidiaries treated as corporations will be treated as CFCs (regardless of whether we are treated as a CFC). A United States shareholder of a CFC may be required to report annually and include in its U. S. taxable income its pro rata share of “ Subpart F income,” “global intangible low-taxed income,” and investments in U. S. property by CFCs, regardless of whether we make any distributions. An individual that is a United States shareholder with respect to a CFC generally would not be allowed certain tax deductions or foreign tax credits that would be allowed to a United States shareholder that is a U. S. corporation. Failure to comply with these reporting obligations may