INCOME TAXES |
3 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Income Tax Disclosure [Abstract] | |
| INCOME TAXES | NOTE 9: INCOME TAXES
The Company records its interim income tax provision (benefit) based on the estimated annual effective tax rate expected to apply for the full fiscal year, adjusted for discrete items recognized in the period, in accordance with ASC 740-270, Income Taxes — Interim Reporting.
For the three months ended June 30, 2026, the Company recognized an income tax benefit of $370,925, compared to an income tax provision of $215,185 for the three months ended June 30, 2025. The Company’s effective tax rate applicable to ordinary income for the current period was minimal, reflecting the utilization of available U.S. federal net operating loss carryforwards against taxable income.
The income tax benefit for the three months ended June 30, 2026 reflects a change in estimate, recognized as a discrete item during the quarter, relating to the phased reduction of a previously accrued income tax payable balance following the Company’s application of available net operating loss carryforwards. Consistent with ASC 740-270, this discrete item was recognized in the period in which it arose and was excluded from the estimated annual effective tax rate applied to ordinary income.
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