Company: AUST
Filing Date: 2025-03-27
Form Type: 20-F
Source: 0001410578-25-000509
Chunk: 7

Company: Austin Gold Corp.
Filing Date: 2025-03-27
Form: 20-F
Item: Item 3
Chunk 7
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 securities laws against these persons and us.  

We may be a “passive foreign investment company” (“ PFIC”), which may have adverse U. S. federal income tax consequences for U. S. investors.

We believe that we were classified as a PFIC for our most recently completed tax year, and based on current business plans and financial expectations, we expect that we may be a PFIC for our current tax year and subsequent tax years. If we are a PFIC for any year during a U. S. taxpayer’s holding period of Common Shares, then such U. S. taxpayer generally will be required to treat any gain realized upon a disposition of the Common Shares or any so-called “excess distribution” received on its Common Shares as ordinary income, and to pay an interest charge on a portion of such gain or distribution. In certain circumstances, the sum of the tax and the interest charge may exceed the total amount of proceeds realized on the disposition, or the amount of excess distribution received, by the U. S. taxpayer. Subject to certain limitations, these adverse tax consequences may be mitigated if a U. S. taxpayer makes a timely and effective QEF Election (as defined below) or a Mark-to-Market Election (as defined below). A U. S. taxpayer who makes a timely and effective QEF Election generally must report on a current basis its share of our net capital gain and ordinary earnings for any year in which we are a PFIC, whether or not we distribute any amounts to our shareholders. However, U. S. taxpayers should be aware that there can be no assurance that we will satisfy the record keeping requirements that apply to a qualified electing fund, or that we will supply U. S. taxpayers with information that such U. S. taxpayers require to report under the QEF Election rules, in the event that we are a PFIC and a U. S. taxpayer wishes to make a QEF Election. Thus, U. S. taxpayers may not be able to make a QEF Election with respect to us. A U. S. taxpayer who makes the Mark-to-Market Election generally must include as ordinary income each year the excess of the fair market value of the Common Shares over the taxpayer’s basis therein. This paragraph is qualified in its entirety by the discussion below under the heading “ Certain U. S. Federal Income Tax Considerations - Passive Foreign Investment Company Rules. ” Each potential investor who is a U. S. taxpayer should consult their own tax advisor regarding the tax consequences of