v3.26.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2025
Income Taxes [Abstract]  
Schedule of Company’s Loss Before Income Taxes

The Company’s loss before income taxes includes the following components:

 

    Years Ended December 31,  
    2025     2024  
United States loss before income taxes   $ 18,175,072     $ 7,639,148  
China loss before income taxes     85,904       264,246  
Total loss before income taxes   $ 18,260,976     $ 7,903,394  
Schedule of Components of Income Taxes Expense (Benefit)

Components of income taxes expense (benefit) consisted of the following:

 

    Years Ended December 31,  
    2025     2024  
Current:            
U.S. federal   $
-
    $
-
 
U.S. state and local    
-
     
-
 
China    
-
     
-
 
Total current income taxes expense   $
-
    $
-
 
Deferred:                
U.S. federal   $ (3,585,262 )   $ (4,874 )
U.S. state and local     (1,213,867 )     (1,650 )
China     77,641       93,437  
Total deferred income taxes (benefit)   $ (4,721,488 )   $ 86,913  
Change in valuation allowance     4,721,488       (86,913 )
Total income taxes expense   $
-
    $
-
 
Schedule of U.S. Statutory Rate and the Company’s Effective Tax Rate

The table below summarizes the differences between the U.S. statutory rate and the Company’s effective tax rate for the years ended December 31, 2025 and 2024:

 

    Years Ended December 31,  
    2025     2024  
U.S. federal rate     21.0 %     21.0 %
U.S. state rate     7.1 %     6.4 %
Permanent difference     (4.2 )%     (1.3 )%
Non-US rate differential     0.0 %     0.1 %
True ups     1.9 %     (27.3 )%
U.S. valuation allowance     (25.9 )%     1.1 %
Total provision for income taxes     0.0 %     0.0 %
Schedule of Deferred Taxes

The Company’s components of deferred taxes as of December 31, 2025 and 2024 were as follows:

 

    December 31,
2025
    December 31,
2024
 
Deferred tax assets            
Stock-based compensation   $ 1,410,079     $ 1,598,257  
Disallowed business interest deduction    
-
     
-
 
Research and development expense     81,638       106,783  
Accrued directors’ compensation     102,166       104,977  
Accrued settlement     301,047       140,904  
Partnership investment    
-
      2,167,965  
Lease liability     1,687       1,687  
Capital loss limitation     1,846,243       149,394  
Net operating loss carryforward     22,942,772       17,648,077  
Total deferred tax assets, gross     26,685,632       21,918,044  
Valuation allowance     (26,506,126 )     (21,784,638 )
Total deferred tax assets, net   $ 179,506     $ 133,406  
Deferred tax liabilities                
Fixed assets and intangible assets book/tax basis difference   $ (179,506 )   $ (133,406 )
Right-of-use assets    
-
     
-
 
Total deferred tax liabilities   $ (179,506 )   $ (133,406 )
Net deferred tax assets   $
-
    $
-