INCOME TAX (Tables)
|
12 Months Ended |
Jun. 30, 2026 |
|---|
| Income Tax Disclosure [Abstract] |
|
| SCHEDULE OF BENEFIT PROVISION FOR INCOME TAXES |
The
benefit (provision) for income taxes consisted of the following for the periods indicated:
SCHEDULE
OF BENEFIT PROVISION FOR INCOME TAXES
| | |
June
30, 2026 | | |
June
30, 2025 | |
| Current Tax: | |
| | | |
| | |
| Federal | |
$ | — | | |
$ | — | |
| State | |
| 1,556 | | |
| 1,556 | |
| Total current | |
| 1,556 | | |
| 1,556 | |
| | |
| | | |
| | |
| Deferred Tax: | |
| | | |
| | |
| Federal | |
| (228,073 | ) | |
| (209,219 | ) |
| State | |
| (25,588 | ) | |
| (51,718 | ) |
| Total deferred | |
| (253,661 | ) | |
| (260,937 | ) |
| | |
| | | |
| | |
| Total benefit on
income taxes | |
$ | (252,105 | ) | |
$ | (259,381 | ) |
|
| SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION |
The
benefit from or provision for income taxes differs from the amount computed by applying the federal statutory income tax rate to the
Company’s loss or income before income taxes as follows for the periods indicated:
SCHEDULE
OF EFFECTIVE INCOME TAX RATE RECONCILIATION
| | |
June
30, 2026 | | |
Rate | |
| Tax at Statutory rate (21%) | |
$ | 359,262 | | |
| 21.00 | % |
| | |
| | | |
| | |
| Permanent Differences: | |
| | | |
| | |
| Change in fair value
of warrant liability | |
$ | (357,945 | ) | |
| (20.92 | )% |
| Meals | |
| 1,994 | | |
| 0.12 | % |
| Entertainment | |
| 846 | | |
| 0.05 | % |
| Chane in fair value
of convertible note | |
| (21,669 | ) | |
| (1.27 | )% |
| Change in fair value
of Earnout Liability | |
| (2,332,260 | ) | |
| (136.33 | )% |
| Change in fair value
of Subscription Agreement | |
| (377,904 | ) | |
| (22.09 | )% |
| Change in fair value
of Convertible note SPA | |
| (80,252 | ) | |
| (4.69 | )% |
| Change in fair value
of Debenture | |
| (20,936 | ) | |
| (1.22 | )% |
| Change in fair value
of Secured convertible note | |
| 64,289 | | |
| 3.76 | % |
| Change in fair value
of Tau Agreement | |
| (70,255 | ) | |
| (4.11 | )% |
| Change in fair value
of WDCO sellers convertible note | |
| (13,376 | ) | |
| (0.78 | )% |
| Stock compensation | |
| 766,016 | | |
| 43.78 | % |
| Change in statutory
rate | |
| (29,057 | ) | |
| (1.70 | )% |
| Return To Provision | |
| 1,295,017 | | |
| 75.70 | % |
| State Tax – Net
of Federal Benefit | |
| (388,014 | ) | |
| (22.68 | )% |
| State Minimum Tax –
Net of Federal Benefit | |
| 1,229 | | |
| 0.07 | % |
| Chang in Valuation Allowance
– State | |
| 247,639 | | |
| 14.48 | % |
| Chang in Valuation Allowance
- Federal | |
| 753,357 | | |
| 44.04 | % |
| –Goodwill
intangible DTA recognized as part of acquisition | |
| (50,086 | ) | |
| (2.93 | )% |
| Income tax benefit | |
$ | (252,105 | ) | |
| (14.74 | )% |
| | |
June
30, 2025 | | |
Rate | |
| Tax at Statutory rate (21%) | |
$ | 1,153,091 | | |
| 21.00 | % |
| | |
| | | |
| | |
| Permanent Differences: | |
| | | |
| | |
| Change in fair value
of warrant liability | |
$ | (38,765 | ) | |
| (0.71 | )% |
| Meals | |
| 2,836 | | |
| 0.05 | % |
| Entertainment | |
| 34 | | |
| 0.00 | % |
| Chane in fair value
of convertible note | |
| (837,981 | ) | |
| (15.26 | )% |
| Change in fair value
of Long-Term and Short-Term Investor Notes | |
| (2,597,515 | ) | |
| (47.31 | )% |
| Change in fair value
of Earnout Liability | |
| (195,090 | ) | |
| (3.55 | )% |
| Change in fair value
of Subscription Agreement | |
| 13,503 | | |
| 0.25 | % |
| Change in fair value
of Stock Payable | |
| (48,887 | ) | |
| (0.89 | )% |
| Change in fair value
of Tau Agreement | |
| 85,597 | | |
| 1.56 | % |
| Change in fair value
of Tau commitment fee | |
| (10,536 | ) | |
| (0.19 | )% |
| Change in fair value
of WDCO sellers convertible note | |
| (10,363 | ) | |
| (0.19 | )% |
| Change in fair value
of WDCO Share payable | |
| 176,353 | | |
| 3.21 | % |
| Change in statutory
rate | |
| 13,123 | | |
| 0.24 | % |
| Return To Provision | |
| (1,477,734 | ) | |
| (26.91 | )% |
| State Tax – Net
of Federal Benefit | |
| (400,312 | ) | |
| (7.29 | )% |
| State Minimum Tax –
Net of Federal Benefit | |
| 1,229 | | |
| 0.02 | % |
| Chang in Valuation Allowance
– State | |
| 441,782 | | |
| 8.05 | % |
| Chang in Valuation Allowance
- Federal | |
| 1,752,730 | | |
| 31.92 | % |
| Net adjustments - Federal | |
| 181,158 | | |
| 3.30 | % |
| –Goodwill intangible
DTA recognized as part of acquisition | |
| 1,536,366 | | |
| 27.98 | % |
| Income tax benefit | |
$ | (259,381 | ) | |
| (4.72 | )% |
|
| SCHEDULE OF DEFERRED TAX LIABILITIES |
SCHEDULE
OF DEFERRED TAX LIABILITIES
| | |
June
30, 2026 | | |
June
30, 2025 | |
| Deferred Tax Assets: | |
| | | |
| | |
| Fixed Assets | |
$ | 3,969 | | |
$ | 3,881 | |
| Business Combination
Expenses | |
| 541,171 | | |
| 533,602 | |
| IRC Sec. 195 Start-Up
Costs | |
| 842,674 | | |
| 896,917 | |
| Allowance for Bad Debt | |
| 104,191 | | |
| 102,733 | |
| Accrued Contingent Liability | |
| 25,974 | | |
| 25,611 | |
| Lease Liability (ASC
842) | |
| 176,888 | | |
| 46,799 | |
| IRC Sec. 1231 Losses | |
| 1,776 | | |
| 1,775 | |
| Net
Operating Loss | |
| 4,660,532 | | |
| 3,612,862 | |
| Total Deferred Tax
Asset | |
| 6,357,175 | | |
| 5,224,180 | |
| | |
| | | |
| | |
| Deferred Tax Liabilities: | |
| | | |
| | |
| Intangible Assets | |
| 3,042,476 | | |
| 3,312,054 | |
| ROU Lease Asset (ASC
842) | |
| 173,594 | | |
| 45,912 | |
| State Tax - Current | |
| 21,586 | | |
| 526 | |
| State
Tax - Deferred | |
| 138,992 | | |
| 89,732 | |
| Total
Deferred Tax Liability | |
| 3,376,648 | | |
| 3,448,224 | |
| Net Deferred Tax Asset
before Valuation allowance | |
| 2,980,527 | | |
| 1,775,956 | |
| Valuation Allowance | |
| (6,044,377 | ) | |
| (5,142,093 | ) |
| Net Deferred Tax
Asset/(Liability) | |
$ | (3,063,850 | ) | |
$ | (3,366,137 | ) |
|