Core Viewpoint - GAMCO Natural Resources, Gold & Income Trust is exploring a tax benefit preservation plan to protect its capital loss carryforwards, which currently exceed $74 million, from potential impairment due to ownership changes [1][2][3]. Group 1: Tax Benefit Preservation Plan - The proposed plan aims to mitigate the risk of substantial impairment to the Fund's capital loss carryforwards (CLCFs) that could arise from an "ownership change" as defined by Section 382 of the Internal Revenue Code [3]. - An "ownership change" occurs if the Fund's "5% stockholders" increase their ownership by more than 50 percentage points over a rolling three-year period, which would limit the Fund's ability to utilize its CLCFs [3]. - The plan would discourage shareholders from accumulating beneficial ownership of 4.9% or more without Board approval, thereby protecting the Fund's tax benefits [4]. Group 2: Implementation Details - If adopted, the Fund would implement the tax benefit preservation plan by issuing rights to common shareholders, which would become exercisable if certain ownership thresholds are exceeded [5]. - The final terms of the plan will be determined by the Board and announced publicly upon adoption, although there is no guarantee that the plan will be adopted or effective in preventing an ownership change [6]. Group 3: Fund Overview - GAMCO Natural Resources, Gold & Income Trust is a diversified, closed-end management investment company with total net assets of $146 million, primarily investing in equity securities of gold and natural resources companies [9]. - The Fund's primary investment objective is to provide a high level of current income, primarily through writing covered call options on its portfolio securities [9].