Company: JL
Filing Date: 2025-07-28
Form Type: 20-F
Source: 0001213900-25-068049
Chunk: 165

Company: J-Long Group Ltd
Filing Date: 2025-07-28
Form: 20-F
Item: Item 10
Chunk 165
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 duty, levy, or other charge is payable by persons who are not resident in the Cayman Islands with respect to any of
our shares, debt obligations, or other securities. All instruments relating to transactions in respect to our shares, debt obligations,
or other securities and all instruments relating to other transactions relating to our business are exempt from payment of stamp duty
in the Cayman Islands, except for those which hold interests in land in the Cayman Islands. There are currently no withholding taxes
or exchange control regulations in the Cayman Islands applicable to us or our shareholders.

The
tax consequences that would apply if we are a PFIC would also be different from those described above if a U. S. Holder were able
to make a valid qualified electing fund (“ QEF”) election. As we do not expect to provide U. S. Holders with the information
necessary for a U. S. Holder to make a QEF election, prospective investors should assume that a QEF election will not be available.

The
U. S. federal income tax rules relating to PFICs are very complex. Prospective U. S. investors are strongly urged to consult
their own tax advisors with respect to the impact of PFIC status on the purchase, ownership, and disposition of our Ordinary Shares,
the consequences to them of an investment in a PFIC, any elections available with respect to the Ordinary Shares, and the IRS information
reporting obligations with respect to the purchase, ownership, and disposition of Ordinary Shares of a PFIC.

Distributions

Subject
to the discussion above under “ PFIC Consequences,” a U. S. Holder that receives a distribution with respect to our Ordinary
Shares generally will be required to include the gross amount of such distribution in gross income as a dividend when actually or constructively
received to the extent of the U. S. Holder’s pro rata share of our current and/or accumulated earnings and profits (as determined
under U. S. federal income tax principles). To the extent a distribution received by a U. S. Holder is not a dividend because
it exceeds the U. S. Holder’s pro rata share of our current and accumulated earnings and profits, it will be treated first
as a tax-free return of capital and reduce (but not below zero) the adjusted tax basis of the U. S. Holder’s Ordinary Shares.
To the extent the distribution exceeds the adjusted tax basis of the U. S. Holder’s Ordinary Shares, the remainder will be
tax