Note 12 - Income Taxes |
3 Months Ended |
|---|---|
Mar. 31, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | 12. Income Taxes The Company recognized a full valuation allowance on its deferred tax asset as of March 31, 2026 and December 31, 2025 and has recognized a tax benefit of $23,008 for income tax for the three months ended March 31, 2026, respectively, and expense of $223,681 for the three months ended March 31, 2025. The effective tax rate was 0.16% for the three months ended March 31, 2026. The effective tax rate was -1.00% for the three months ended March 31, 2025. At each reporting period, the Company weighs all positive and negative evidence to determine whether the deferred tax assets are more likely than not to be realized. As a result of this analysis at March 31, 2026 and December 31, 2025, the Company provided a full valuation allowance against the deferred tax assets. As part of the Dolly Varden acquisition, the Company measured and recorded a net deferred tax liability through acquisition accounting with an offsetting entry to the property & equipment assets. The Company’s deferred tax liability originating from the Dolly Varden acquisition was $56,058,453 and $nil, as of March 31, 2026 and December 31, 2025, respectively. This relates to the book to tax temporary differences between the carryover tax basis and new book basis of the net assets acquired, recognized at a statutory rate of 27%. As part of the HighGold acquisition, the Company measured and recorded a net deferred tax liability through acquisition accounting with an offsetting entry to the property & equipment assets. The Company’s deferred tax liability originating from the HighGold acquisition was $594,345 and $617,353, as of March 31, 2026 and December 31, 2025, respectively. The net deferred tax liability of $594,345 includes an increase related to exploration costs for the period ended March 31, 2026. The Company reviews its tax positions quarterly for tax uncertainties. The Company did not have any uncertain tax positions as of March 31, 2026 or December 31, 2025. |