v3.25.2
INCOME TAXES (Tables)
 12 Months Ended
Jun. 30, 2025
Income Tax Disclosure [Abstract]  
SCHEDULE OF PROVISION FOR INCOME TAX (EXPENSE) BENEFIT

The provision for income tax (expense) benefit consists of the following:

 

For the years ended June 30,  2025   2024 
Federal          
Current tax expense  $-   $- 
Deferred tax expense   -    - 
Federal income tax benefit   -    - 
State          
Current tax expense   (1,000)   (1,000)
Deferred tax expense   -    - 
State and local income tax benefit   (1,000)   (1,000)
Income tax expense  $(1,000)  $(1,000)
SCHEDULE OF STATUTORY FEDERAL INCOME TAX RATE

A reconciliation of the statutory federal income tax rate to the effective tax rate is as follows:

 

For the years ended June 30,  2025   2024 
         
Statutory federal tax rate   21.0%   21.0%
State income taxes, net of federal tax benefit   8.8%   8.8%
Provision to return adjustment   4.3%   -6.6%
Valuation allowance   -31.1%   -22.5%
Other   -3.0%   -0.7%
 Effective income tax rate reconciliation percentage    0.0%   0.0%
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES

The components of the Company’s deferred tax assets and (liabilities) as of June 30, 2025 and 2024 are as follows:

 

   2025   2024 
Deferred tax assets          
Net operating loss carryforward  $14,822,000   $14,359,000 
Interest expense   6,385,000    5,157,000 
Accruals and reserves   622,000    596,000 
Depreciation   13,877,000    14,260,000 
Related party interest   2,243,000    - 
State tax credits   165,000    524,000 
Capital loss carryforward   1,054,000    1,333,000 
Other   1,000    111,000 
Deferred tax assets before valuation allowance   39,169,000    36,340,000 
Less Valuation allowance   (39,169,000)   (36,340,000)
Deferred tax assets after valuation allowance   -    - 
           
Deferred tax liabilities          
State taxes   -    - 
Deferred Tax Liabilities   -    - 
Net deferred tax assets  $-   $- 
SCHEDULE OF UNRECOGNIZED TAX BENEFIT

 

      
Unrecognized Tax Benefits at June 30, 2024  $1,665,000 
Increase in tax positions taken   - 
Decrease in tax positions taken   - 
Unrecognized Tax Benefits at June 30, 2025  $1,665,000