v3.26.1
Income Tax
 12 Months Ended
Apr. 30, 2026
Income Tax Disclosure [Abstract]  
Income Tax

10. Income Tax

 

A reconciliation of the provision for income taxes computed at the combined Canadian federal statutory rates to the provision for income taxes as shown in the consolidated statements of income (loss) for the years ended April 30, 2026, 2025, and 2024 is as follows:

 

 

 

For the year ended April 30,

 

 

 

2026
($)

 

 

2025
($)

 

 

2024
($)

 

Income (loss) before income taxes

 

 

54,640

 

 

 

(5,644

)

 

 

16,900

 

Statutory rates

 

 

15.00

%

 

 

15.00

%

 

 

15.00

%

Expected income tax at statutory rates

 

 

8,196

 

 

 

(847

)

 

 

2,535

 

 

 

 

 

 

 

 

 

 

 

Reconciling items:

 

 

 

 

 

 

 

 

 

Non-deductible permanent differences

 

 

539

 

 

 

92

 

 

 

65

 

Tax rate difference applicable to investment in equity securities

 

 

(659

)

 

 

138

 

 

 

(847

)

Domestic provincial and local income taxes (British Columbia, Canada), net of federal effect

 

 

6,398

 

 

 

(489

)

 

 

1,408

 

Change in valuation allowance recorded through income

 

 

1

 

 

 

1

 

 

 

(63

)

Other, net

 

 

(84

)

 

 

(30

)

 

 

97

 

Income tax expense (recovery) for the year

 

 

14,391

 

 

 

(1,135

)

 

 

3,195

 

 

 

 

 

 

 

 

 

 

Current

 

 

9,307

 

 

 

—

 

 

 

—

 

Deferred

 

 

5,084

 

 

 

(1,135

)

 

 

3,195

 

Income tax expense (recovery) for the year

 

 

14,391

 

 

 

(1,135

)

 

 

3,195

 

 

The significant component of the Company’s deferred tax assets and liabilities recognized are as follows:

 

 

 

As at April 30, 2026
($)

 

 

As at April 30, 2025
($)

 

Deferred tax liabilities:

 

 

 

 

 

 

Excess of accounting value of short-term investments over tax value

 

 

(967

)

 

 

—

 

Excess of accounting value of royalties over tax value

 

 

(4,845

)

 

 

(3,041

)

Other deferred tax liabilities

 

 

(17

)

 

 

(42

)

Total deferred tax liabilities:

 

 

(5,829

)

 

 

(3,083

)

 

 

 

 

 

 

Deferred tax assets:

 

 

 

 

 

 

Non-capital losses carry-forward

 

 

4

 

 

 

2,236

 

Financing costs

 

 

629

 

 

 

687

 

Other deferred tax assets

 

 

196

 

 

 

1

 

Total deferred tax assets:

 

 

829

 

 

 

2,924

 

Valuation allowance

 

 

(4

)

 

 

(4

)

Deferred tax assets:

 

 

825

 

 

 

2,920

 

Deferred income tax liabilities, net

 

 

(5,004

)

 

 

(163

)

 

The Company has recognized a valuation allowance to the extent of deferred tax assets in the United States in excess of that which can be supported through the reversal of taxable temporary differences, as the Company is unable to conclude it is more likely than not that those assets will be realized. During the year ended April 30, 2024, the Company recorded an increase to common stock upon the release of valuation allowance of $903, the initial recognition of tax benefits associated with share issue costs in prior years.

 

The Company has non-capital losses which may be carried-forward to reduce taxable income in future years. The non-capital losses of $5 in Canada expiring between 2042 and 2046 and non-capital loss carryforwards of $14 in the US with no fixed expiry date.