|IQIYI, INC. filed this Form 424B4 on 03/29/2018|
U.S. Federal Income Tax Considerations
The following discussion is a summary of U.S. federal income tax considerations under present law of the ownership and disposition of the ADSs or ordinary shares. This summary applies only to investors that are U.S. Holders (as defined below) and that hold the ADSs or ordinary shares as capital assets. This discussion is based on the applicable provisions of the U.S. Internal Revenue Code of 1986, as amended, final, temporary and proposed Treasury regulations thereunder, pertinent judicial decisions, interpretive rulings of the IRS and such other authorities as we have considered relevant. All of the foregoing authorities are subject to change, which change could apply retroactively and could affect the tax considerations described below.
The following discussion does not deal with all the tax considerations to any particular investor or to persons in special tax situations such as:
U.S. Holders are urged to consult their tax advisors about the application of the U.S. federal tax rules to their particular circumstances as well as the state, local and foreign tax consequences to them of the ownership and disposition of ADSs or ordinary shares.
The discussion below of the U.S. federal income tax considerations will apply if you are a U.S. Holder. You are a U.S. Holder if you are the beneficial owner of ADSs or Class A ordinary shares and you are, for U.S. federal income tax purposes: