SCHEDULE OF INCOME TAX EXPENSE (BENEFIT) |
The Company did not have expected tax expense (benefit) at the U.S. statutory rate 21% to the actual tax expense (benefit) reflected in the accompanying statement of operations:
SCHEDULE
OF INCOME TAX EXPENSE (BENEFIT)
| |
2024 | | |
2023 | |
| |
Year Ended December 31, | |
| |
2024 | | |
2023 | |
| |
| | |
| |
U.S. federal statutory rate | |
$ | (946,354 | ) | |
| (2,085,850 | ) |
State tax benefit net of federal benefit | |
| (243,330 | ) | |
| (557,568 | ) |
Change in valuation allowance | |
| 1,358,776 | | |
| 2,496,515 | |
True-Up & Deferred Adjustment | |
| (32,683 | ) | |
| (73,814 | ) |
Other permanent items | |
| (119,803 | ) | |
| 209,444 | |
Change in tax rate | |
| (16,606 | ) | |
| 11,273 | |
Income tax provision/(benefit) | |
$ | - | | |
$ | - | |
|
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES |
As
of December 31, 2024 and 2023, the Company’s deferred tax assets and liabilities consisted of the effects of temporary differences
attributable to the following:
SCHEDULE
OF DEFERRED TAX ASSETS AND LIABILITIES
| |
2024 | | |
2023 | |
| |
Year Ended December 31, | |
| |
2024 | | |
2023 | |
Deferred tax assets: | |
| | | |
| | |
NOL carryforward | |
$ | 3,129,808 | | |
$ | 2,449,401 | |
Intangible assets | |
| 1,958,875 | | |
| 1,995,960 | |
Warrant liability | |
| 498,740 | | |
| - | |
Interest expense | |
| 227,272 | | |
| - | |
ASC 842 - Lease Accounting | |
| 89,309 | | |
| 65,172 | |
Charitable contributions | |
| 30,336 | | |
| 3,586 | |
UNICAP 263a Adjustment | |
| (3,823 | ) | |
| 53,284 | |
Allowances | |
| 7,485 | | |
| - | |
Total deferred tax assets | |
| 5,938,002 | | |
| 4,567,403 | |
| |
| | | |
| | |
Deferred tax liabilities: | |
| | | |
| | |
Net book value of fixed assets | |
| (32,905 | ) | |
| (21,083 | ) |
Total deferred tax liabilities | |
| (32,905 | ) | |
| (21,083 | ) |
| |
| | | |
| | |
Net deferred tax assets | |
| 5,905,097 | | |
| 4,546,320 | |
Valuation allowance | |
| (5,905,097 | ) | |
| (4,546,320 | ) |
Net deferred tax assets | |
$ | - | | |
$ | - | |
|