| Income Tax Disclosure [Text Block] |
4. INCOME TAXES
The following table summarizes income (loss) before income taxes for the years ended December 31, 2025 and 2024:
| | | 2025 | | | 2024 | |
| United States | | $ | (814,431 | ) | | $ | 3,036,727 | |
| Foreign | | | - | | | | - | |
The Company's income tax expense (benefit) for the years ended December 31, 2025 and 2024 is as follows:
| | | 2025 | | | 2024 | |
| U.S. Federal | | $ | (507,000 | ) | | $ | 522,900 | |
| State | | | (403,000 | ) | | | 674,000 | |
| Foreign | | | - | | | | - | |
| Current income tax expense (benefit) | | | (910,000 | ) | | | 1,196,900 | |
| | | | | | | | | |
| U.S. Federal | | | 238,000 | | | | 51,985 | |
| State | | | 387,000 | | | | (325,000 | ) |
| Foreign | | | - | | | | - | |
| Deferred income tax expense (benefit) | | | 625,000 | | | | (273,015 | ) |
| Total income tax expense (benefit) | | $ | (285,000 | ) | | $ | 923,885 | |
The following is a reconciliation from the Company's statutory rate to the effective rate for the year ended December 31, 2025 and 2024 after adoption of ASU 2023-09:
| | | 2025 | | | Percent | |
| United States federal statutory income tax rate | | $ | (171,000 | ) | | | 21.0 | % |
| State income taxes, net of federal tax benefit of state tax | | | (13,000 | ) | | | 1.6 | % |
| Credit for tax on employee tips | | | (29,000 | ) | | | 3.6 | % |
| Nontaxable or nondeductible items | | | | | | | | |
| Stock based compensation not benefited | | | 27,000 | | | | (3.3 | %) |
| Nondeductible lobbying expenses | | | 38,000 | | | | (4.7 | %) |
| Other | | | 9,000 | | | | (1.1 | %) |
| Changes in unrecognized tax benefits | | | | | | | | |
| IRS interest refund | | | (146,000 | ) | | | 17.9 | % |
| Provision for income tax benefit | | $ | (285,000 | ) | | | 35.0 | % |
The following is a reconciliation from the Company's statutory rate to the effective rate for the year ended December 31, 2024 prior to the adoption of ASU 2023-09:
| | | 2024 | | | Percent | |
| Federal tax (benefit) expense at statutory rates | | $ | 637,700 | | | | 21.0 | % |
| State and local income tax, net of federal (national) income tax effect | | | 275,700 | | | | 9.1 | % |
| Nondeductible lobbying expense | | | 32,000 | | | | 1.1 | % |
| Stock-based compensation expense | | | 4,900 | | | | 0.2 | % |
| Other | | | (26,415 | ) | | | (0.9 | %) |
| Provision for income tax expense | | $ | 923,885 | | | | 30.4 | % |
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes.
Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2025 and 2024 are as follows:
| | | 2025 | | | 2024 | |
| Deferred tax assets: | | | | | | | | |
| Accrued compensation | | $ | 97,000 | | | $ | 82,300 | |
| Player rewards program accrual | | | 89,000 | | | | 94,800 | |
| Stock-based compensation | | | 210,700 | | | | 160,200 | |
| Net operating losses | | | 218,600 | | | | — | |
| Credits | | | 48,000 | | | | — | |
| Other | | | 155,400 | | | | 1,700 | |
| Net deferred tax assets | | | 818,700 | | | | 339,000 | |
| Deferred tax liabilities: | | | | | | | | |
| Land, building and equipment | | | 5,982,700 | | | | 5,523,200 | |
| Investment in joint ventures | | | 3,996,900 | | | | 3,468,100 | |
| TIF accrued interest receivable | | | 1,058,000 | | | | 962,100 | |
| Prepaid expenses | | | 252,100 | | | | 231,600 | |
| Net deferred tax liabilities | | | 11,289,700 | | | | 10,185,000 | |
| Net long-term deferred tax liabilities | | $ | (10,471,000 | ) | | $ | (9,846,000 | ) |
For the period ended December 31, 2025, the Company had a federal and state net operating loss carryforwards of $460,000 and $1,574,000, respectively. The federal net operating loss carryforward has an indefinite carryforward period. The state post-apportioned net operating loss carryforward will expire in 2040.
The Company is subject to U.S. and Minnesota taxation. The Company is no longer subject to U.S. federal or state by tax authorities for years before 2022 and 2021, respectively.
The following is a reconciliation of the Company's unrecognized tax benefits for the years ended December 31, 2025 and 2024:
| | | 2025 | | | 2024 | |
| Unrecognized tax benefits — January 1 | | $ | 181,000 | | | $ | — | |
| | | | | | | | | |
| Additions based on tax positions related to the current year | | | — | | | | 630,000 | |
| Additions for tax positions of prior years | | | — | | | | — | |
| Reductions for tax positions of prior years | | | — | | | | — | |
| Reductions for tax positions of current years | | | (181,000 | ) | | | (449,000 | ) |
| | | | | | | | | |
| Unrecognized tax benefits — December 31 | | $ | — | | | $ | 181,000 | |
The Company has not accrued interest expense and penalties related to the unrecognized tax benefits for the periods ended December 31, 2025 and December 31, 2024, respectively.
The following table summarizes the Company's tax payments and refunds by jurisdiction for the year ended December 31, 2025:
| Income Tax Paid, Net of Refunds | |
| | | | | |
| Federal refund | | $ | 1,488,608 | |
| State | | | — | |
| Foreign | | | — | |
| | | $ | 1,488,608 | |
|