Understanding the Investor Tax Report

Individuals as well as companies are obliged to pay their taxes annually, at least in most countries of the world. In order to also be able to report the holdings of the shares tokenized via Aktionariat AG, we will provide you with a tax statement. An ISIN number is not necessarily required to report shares in the tax return. Most of our customers do not have an ISIN number for their shares. The following information is included in the tax statement:

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1. Contents of the tax report

1.1 First Page

• Assets: The assets are divided into "share tokens" and "other tokens and "currencies". On the first page you can find a total of the values in the two categories. In the category share tokens you will find all tokenized shares in your possession that were tokenized through Aktionariat AG. The value corresponds to the total of all holdings based on the tax values reported by the companies. Not included are tokenized shares for which we have not received a tax value from the respective company.
• Income: This refers to dividends paid out by the company. The distribution of capital contribution reserves is no longer subject to income tax and withholding tax for private investors. Only the ordinary distribution from other reserves and profit is taxable. Therefore, two values are listed here: Dividends subject to withholding tax (A-Income) and those not subject to withholding tax (B-Income). The classification into the corresponding category is made by the distributing company.
• Scanned Ethereum Addresses: These are all of your Ethereum addresses that are linked to your account at Aktionariat. All assets listed in the report are located at the addresses listed there. Assets from other addresses are not listed in this report as we obviously do not know them.

1.2 Second Page

• Report data: At the top left you will find the most important parameters on which the report is based. Namely your name, your email address, as well as the date of creation of the report, as well as the tax period covered.
• Assets: Here you will find a detailed list of your holdings at the end of each year. On the one hand, you will find the ticker, as well as the name of the asset. On the other hand, you will find the holdings on 1.1. of the fiscal year as well as the holdings 12 months later on 31.12. of the same fiscal year. The values as at 31.12. of the corresponding tax period are primarily relevant for the assets listed in your tax report. In addition to the shares, you will also find the tax value of a single unit of an asset, as well as the total value of the shares of the respective assets. For your tax return the value per unit but also the total is relevant. You can use these values for the declaration of your assets in the tax return. You can attach the tax report to your tax return. If an asset is marked "Unknown", the company has not reported a tax value to us. In such cases we ask you to contact the respective company and ask for the tax value. Be aware that tax values often differ from market prices. Especially for young, non-profitable companies, the tax value is usually lower than the market price, in some cases the tax value can even be CHF 0.
• Tax Value Date: This is the date the tax value was reported for the asset. It may happen that the last value reported by the tax office is somewhat older and does not correspond to the current tax period. This can happen and is not a cause for concern. Usually, in such cases, the tax office has not yet delivered a current tax value to the company and they may use the older tax value listed in the report. Of course, it can also happen that a company has already received a newer value from the tax office but has not yet reported it to the shareholders. Unfortunately, we cannot assess this in individual cases and therefore work with the data available to us. You can also work with the values listed in the report for your tax return.

2. Disclaimer

This report was generated automatically by Aktionariat AG based on the blockchain-based addresses entered into the Aktionariat Portfolio App which are listed above. It only includes tokens supported by our system. Note that unlike the Portfolio App, it does not include shares moved to unknown addresses (for example cold storage) as we do not know whether the new address also belongs to you or someone else. It is the responsibility of the user to report such shares separately, if applicable. Where available, we used the tax value as reported to us by the issuer (without verification). These tax values are typically provided by the cantonal authorities of the residence of the issuer and are not guaranteed to be valid outside of that canton. If no tax value was made available by the issuer, the value of an asset is marked "Unknown". Please get in touch with the issuer in order to find out about the tax value.

Tax values of the cryptocurrencies (like USDC, ETH) are according to the Swiss Federal Tax Administration. The tax value of those can be found in https://www.ictax.admin.ch/extern/en.html#/ratelist. For tax residents outside Switzerland, investors should consult their local tax authorities.