v3.26.1
Income Taxes (Tables)
6 Months Ended
Jun. 30, 2026
Income Taxes [Abstract]  
Schedule of (Loss) Income Before Income Taxes

(Loss) income before income taxes consists of the following: 

 

   Three Months Ended
June 30,
   Six Months Ended
June 30,
 
   2026   2025   2026   2025 
                 
Federal  $(3,321,074)   833,268   $(5,389,424)   1,517,691 
Foreign   
    
    
    
 
(Loss) income before income taxes  $(3,321,074)   833,268   $(5,389,424)   1,517,691 
Schedule of Income Tax Provision

The Company’s income tax provision consists of the following for the three and six months ended June 30, 2026 and 2025:

 

   Three Months Ended
June 30,
   Six Months Ended
June 30,
 
   2026   2025   2026   2025 
Current income tax expense                
Federal  $
   $193,516   $
   $370,659 
State   3,751    41,195    8,154    84,356 
Total current income tax expense  $3,751   $234,711   $8,154   $455,015 
                     
Deferred income tax benefit                    
Federal   (796,224)   (25,402)   (1,139,405)   (64,637)
State   (17,415)   (6,672)   (158,706)   (1,910)
Total deferred income tax benefit  $(813,639)  $(32,074)  $(1,298,111)  $(66,547)
                     
Total income tax provision  $(809,888)  $202,637   $(1,289,957)  $388,468 
Schedule of Reconciliation of Income Taxes The following table presents the reconciliation of income taxes computed at the U.S. federal statutory tax rate to income tax provision for the three and six months ended June 30, 2026 after the adoption of ASU 2023-09:
   Three Months Ended
June 30, 2026
   Six Months Ended
June 30, 2026
 
   Amount   Rate   Amount   Rate 
Statutory federal income tax rate   (697,391)   21.0%   (1,131,745)   21.0%
State taxes (net of federal benefit)   (105,171)   3.2    (167,663)   3.1 
Permanent difference   (9,900)   0.3    (5,948)   0.1 
Other   2,574    (0.1)   15,399    (0.3)
Effective tax rate   (809,888)   24.4%   (1,289,957)   23.9%

 

The following table presents the reconciliation of income taxes computed at the U.S. federal statutory tax rate to income tax provision for the three and six months ended June 30, 2025 prior to the adoption of ASU 2023-09:

 

   Three Months
Ended
June 30,
2025
   Six Months
Ended
June 30,
2025
 
Statutory federal income tax rate   21.0%   21.0%
State taxes (net of federal benefit)   3.1    4.3 
Permanent difference   0.2    0.3 
Effective tax rate   24.3%   25.6%
Schedule of Net Deferred Tax Assets and Liabilities

The Company’s net deferred tax assets and liabilities consisted of the following as of June 30, 2026 and December 31, 2025:

 

   June 30,   December 31, 
   2026   2025 
Deferred tax assets:        
Net Operating Loss   1,612,058    388,182 
Stock-based compensation   80,333    53,586 
Bad debt allowance   263,634    91,828 
Accrued liability   8,065    8,140 
Gross deferred tax assets  $1,964,090   $541,736 
           
Deferred tax liabilities:          
Research & Development credits   (1,423,623)   (1,299,380)
Right of use assets/Lease Liability   (31)   (31)
Total Deferred Tax Liabilities  $(1,423,654)  $(1,299,411)
           
Net deferred tax assets (liabilities):  $540,436   $(757,675)
Schedule of Cash Income Taxes

The amounts of cash income taxes paid by the Company were as follows:

 

   Six Months
Ended
June 30,
2026
 
Federal   
 
State   10,035 
Foreign   
 
Total  $10,035