Company: XTKG
Filing Date: 2025-04-25
Form Type: 20-F
Source: 0001213900-25-035626
Chunk: 155

Company: X3 Holdings Co., Ltd.
Filing Date: 2025-04-25
Form: 20-F
Item: Item 6
Chunk 155
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 that is to qualify as an Incentive Share Option as such term
is defined in Section 422 of the Code, the term shall not exceed ten (10) years. It is intended that stock options qualify as “performance-based
compensation” under Section 162(m) of the Code and thus be fully deductible by us for federal income tax purposes, to the extent
permitted by law.

Payment for Stock Options
and Withholding Taxes. The Board or Committee may make one or more of the following methods available for payment of an option, including
the exercise price of a stock option, and for payment of the minimum required tax obligation associated with an award: (i) cash;
(ii) cheque; (iii) with respect to options, payment through a broker-dealer sale and remittance procedure pursuant to which the optionee
(A) shall provide written instructions to a Company designated brokerage firm to effect the immediate sale of some or all of the purchased
Ordinary Shares and remit to the Company sufficient funds to cover the aggregate exercise price payable for the purchased Ordinary Shares
and (B) shall provide written directives to the Company to deliver the certificates for the purchased Ordinary Shares directly to such
brokerage firm in order to complete the sale transaction; (iv) cashless election; or (v) any combination of the foregoing methods
of payment.

No Ordinary Shares shall be
delivered under the Plan to any optionee or other person until such optionee or other person has made arrangements acceptable to the Board
or Committee for the satisfaction of any national, provincial or local income and employment tax withholding obligations. Upon exercise
of an option the Company shall have the right, but not the obligation (except as required by the applicable laws), to withhold or collect
from optionee an amount sufficient to satisfy such tax obligations. The optionee will be solely responsible for his/her own tax obligations.

Transferability of Option.
Options shall be transferable (i) at will and by the laws of succession and distribution; (ii) during the lifetime of the Optionee, to
the extent and in the manner authorized by the Administrator; and (iii) upon delivery of a written assignment of the Options duly executed
by the Optionee at the principal office of the Company, along with the Options and funds sufficient to pay any transfer taxes payable
upon the making of such transfer. The Optionee shall surrender its Options to the Company within seven (7) calendar days of the date on
which the Optionee