v3.26.1
INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2025
INCOME TAXES  
Schedule of components of income tax expense

 

 

2025

 

 

2024

 

Current tax provision

 

$

 

 

$

 

Deferred tax (benefit) expense

 

 

16,191,904

 

 

 

(9,128,198)

Valuation allowance

 

 

(16,191,904)

 

 

9,128,198

 

Total income tax provision

 

$

 

 

$

 

Schedule of reconciliation between statutory rate and effective tax rate

 

 

As of December 31,

 

 

 

2025

 

 

2024

 

US federal statutory income tax rate

 

 

12,669,312

 

 

 

21.00%

 

 

(8,232,834)

 

 

21.00%

Domestic state and local taxes, net of federal effect

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Kentucky income tax effect

 

 

(139,732)

 

 

-0.23%

 

 

(1,318,124)

 

 

3.36%

Indiana income tax effect

 

 

(418,310)

 

 

-0.69%

 

 

(378,516)

 

 

0.97%

State Rate Adjustment

 

 

35,314

 

 

 

0.06%

 

 

-

 

 

 

0.00%

Transfer of Legal Liability to Subsidiary Via Spin Off (State)

 

 

390,692

 

 

 

0.65%

 

 

-

 

 

 

0.00%

Valuation Allowance related to Deferred Tax Attributes Transferred via Spin Off

 

 

4,178,190

 

 

 

6.93%

 

 

-

 

 

 

0.00%

Change in VA from Disc Ops Transferred via Spin Off

 

 

(1,422,159)

 

 

-2.36%

 

 

-

 

 

 

0.00%

Change in VA from All Operations

 

 

(2,623,995)

 

 

-4.35%

 

 

1,696,640

 

 

 

-4.33%

Nontaxable or nondeductible items:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stock Compensation

 

 

413,329

 

 

 

0.69%

 

 

791,549

 

 

 

-2.02%

Other Permanent Items

 

 

2,884

 

 

 

0.00%

 

 

9,728

 

 

 

-0.02%

Losses Attributable to Disc Ops Prior to Spin Off

 

 

4,582,330

 

 

 

7.60%

 

 

-

 

 

 

0.00%

Tax Free Spin Off Reorg

 

 

(19,958,469)

 

 

-33.08%

 

 

-

 

 

 

0.00%

Other Adjustments

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Transfer of Legal Liability to Subsidiary Via Spin Off

 

 

2,108,969

 

 

 

3.50%

 

 

 

 

 

 

 

 

Change in Federal valuation allowance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Valuation Allowance related to Deferred Tax Attributes Transferred via Spin Off

 

 

20,803,927

 

 

 

34.48%

 

 

-

 

 

 

0.00%

Change in VA from Disc Ops Transferred via Spin Off

 

 

(7,054,417)

 

 

-11.69%

 

 

-

 

 

 

0.00%

Change in VA from All Operations

 

 

(13,567,865)

 

 

-22.49%

 

 

7,431,557

 

 

 

-18.96%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income Taxes Provision (Benefit)

 

 

-

 

 

 

0.00%

 

 

-

 

 

 

0.00%
Schedule of components of deferred tax assets

 

 

2025

 

 

2024

 

Deferred tax assets:

 

 

 

 

 

 

Net operating loss carry forwards

 

 

34,141,809

 

 

 

35,952,532

 

Remediation Liability

 

 

-

 

 

 

5,554,862

 

Capitalized R&D

 

 

9,676

 

 

 

418,370

 

Fixed Assets

 

 

(3,299)

 

 

5,095,109

 

Accrued Litigation Liability

 

 

460,110

 

 

 

3,576,251

 

ROU Assets/Liabilities

 

 

250,067

 

 

 

507,138

 

    Stock Compensation

 

 

 390,528

 

 

 

 336,487

 

Total deferred tax asset

 

 

35,248,891

 

 

 

51,440,749

 

Valuation allowance

 

 

(35,248,891)

 

 

(51,440,749)