v3.24.2
INCOME TAXES (Q1)
 3 Months Ended 12 Months Ended
Mar. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Abstract]    
INCOME TAXES
NOTE 7 - INCOME TAXES

The estimated annual effective tax rate applied to the three month periods ended March 31, 2023 is 0%, which differs from the US federal statutory rate of 21% principally due to the projection of U.S. net operating loss for fiscal 2024 with full application of a valuation allowance. As of March 31, 2024, TMTG had US Federal net operating loss carryforwards (“NOLs”) with a tax benefit of approximately $9,400.0 from December 31, 2023.
NOTE 5 - INCOME TAXES

The following reconciles the total income tax benefit, based on the U.S. Federal statutory income tax rate of 21% for the twelve month periods ended December 31, 2023 and December 31, 2022, with TMTG’s recognized income tax expense:

 
 ​ ​
Twelve Month Period Ended
(in thousands)
 ​ ​
December 31, 2023
 ​ ​
December 31, 2022
U.S. Statutory federal income tax expense/(benefit)
 ​ ​
$(12,219.7)
 ​ ​
$10,610.0
Permanent items
​ ​
 
 ​ ​
 
State income taxes, net of federal effect
 ​ ​
1.1
 ​ ​
2,633.1
Non-deductible expenses
 ​ ​
334.6
 ​ ​
3.0
Change in valuation allowance
 ​ ​
11,885.1
 ​ ​
(13,245.9)
Income tax expense
 ​ ​
$1.1
 ​ ​
$0.2

The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities as of December 31, 2023 and 2022 are as follows:

(in thousands)
 ​ ​
December 31, 2023
 ​ ​
December 31, 2022
Deferred tax assets
​ ​
 
 ​ ​
 
Software and other claimed assets
 ​ ​
$360.6
 ​ ​
$1,810.5
Net operating loss (NOL)
 ​ ​
9,474.7
 ​ ​
4,478.1
Convertible promissory notes and derivative liability
 ​ ​
3,853.2
 ​ ​
—
Total deferred tax assets
 ​ ​
13,688.5
 ​ ​
6,288.6
Deferred tax liabilities
​ ​
 
 ​ ​
 
Property and equipment
 ​ ​
(6.2)
 ​ ​
(18.2)
Convertible promissory notes and derivative liability
 ​ ​
—
 ​ ​
(4,473.2)
Total deferred tax liabilities
 ​ ​
(6.2)
 ​ ​
(4,491.4)
Net deferred tax assets
 ​ ​
13,682.3
 ​ ​
1,797.2
Valuation allowance
 ​ ​
(13,682.3)
 ​ ​
(1,797.2)
Net deferred tax, net of valuation allowance
 ​ ​
$—
 ​ ​
$—

As of December 31, 2023, TMTG had US Federal and state net operating loss carryforwards (“NOLs”) with a tax benefit of $9,474.7 (December 31, 2022: $4,478.1).