| SCHEDULE OF NET DEFERRED TAX ASSETS AND LIABILITIES |
The
Company’s net deferred tax assets, liabilities and valuation allowance as of December 31, 2024 and 2023 are summarized as follows:
SCHEDULE
OF NET DEFERRED TAX ASSETS AND LIABILITIES
| | |
2024 | | |
2023 | |
| | |
December 31, | |
| | |
2024 | | |
2023 | |
| Deferred Tax Assets: | |
| | | |
| | |
| Net operating loss carryforwards | |
$ | 18,004,100 | | |
$ | 14,311,000 | |
| Stock-based compensation | |
| 8,695,100 | | |
| 15,788,000 | |
| Research and development costs | |
| 2,694,200 | | |
| 1,676,000 | |
| Research and development credits | |
| 330,000 | | |
| 330,000 | |
| Right-of-use assets | |
| - | | |
| 25,000 | |
| Other | |
| 600 | | |
| 4,000 | |
| Total Deferred Tax Assets | |
| 29,724,000 | | |
| 32,134,000 | |
| | |
| | | |
| | |
| Deferred Tax Liabilities: | |
| | | |
| | |
| Depreciation | |
| (153,200 | ) | |
| (122,000 | ) |
| Intangible assets | |
| (41,700 | ) | |
| (47,000 | ) |
| Lease liability | |
| - | | |
| (39,000 | ) |
| Other | |
| (95,000 | ) | |
| (86,000 | ) |
| Total Deferred Tax Liabilities | |
| (289,900 | ) | |
| (294,000 | ) |
| | |
| | | |
| | |
| Net Deferred Tax Asset | |
| 29,434,100 | | |
| 31,840,000 | |
| Less: valuation allowance | |
$ | (29,434,100 | ) | |
$ | (31,840,000 | ) |
| Deferred Tax Asset, Net of Valuation Allowance | |
$ | - | | |
$ | - | |
| Change in valuation allowance | |
$ | 2,405,900 | | |
$ | (4,064,000 | ) |
|
| SCHEDULE OF INCOME TAX PROVISION (BENEFIT) |
The
income tax provision (benefit) as of December 31, 2024 and 2023 consists of the following:
SCHEDULE
OF INCOME TAX PROVISION (BENEFIT)
| | |
2024 | | |
2023 | |
| | |
December 31, | |
| | |
2024 | | |
2023 | |
| | |
| | |
| |
| Federal: | |
| | |
| |
| Current | |
$ | - | | |
$ | - | |
| Deferred | |
| 3,567,000 | | |
| (3,090,000 | ) |
| | |
| | | |
| | |
| State & Local: | |
| | | |
| | |
| Current | |
| - | | |
| - | |
| Deferred | |
| (1,161,100 | ) | |
| (974,000 | ) |
| Total | |
| 2,405,900 | | |
| (4,064,000 | ) |
| Change in valuation allowance | |
| (2,405,900 | ) | |
| 4,064,000 | |
| Income tax provision (benefit) | |
$ | - | | |
$ | - | |
|
| SCHEDULE OF STATUTORY FEDERAL INCOME TAX RATE |
A
reconciliation of the statutory federal income tax benefit to actual tax benefit for the years ended December 31, 2024 and 2023 is as
follows:
SCHEDULE
OF STATUTORY FEDERAL INCOME TAX RATE
| | |
2024 | | |
2023 | |
| | |
December 31, | |
| | |
2024 | | |
2023 | |
| | |
| | |
| |
| Federal statutory rate | |
| 21.0 | % | |
| 21.0 | % |
| State tax, net of valuation allowance | |
| 0.0 | % | |
| 1.7 | % |
| Permanent differences | |
| 1.0 | % | |
| 7.2 | % |
| Tax return to provision adjustment | |
| 0.4 | % | |
| -0.2 | % |
| Change in federal valuation allowance | |
| 39.7 | % | |
| -29.7 | % |
| Adjustment for stock-based compensation | |
| -62.1 | % | |
| - | % |
| Effective
tax rate | |
| 0.0 | % | |
| 0.0 | % |
|