SCHEDULE OF DEFERRED TAX ASSETS |
Net
deferred tax assets (liabilities) consist of the following components as of December 31:
SCHEDULE
OF DEFERRED TAX ASSETS
|
|
2024 |
|
|
2023 |
|
Deferred
Tax Assets (Liabilities): |
|
|
|
|
|
|
|
|
Net
operating losses |
|
$ |
25,430,000 |
|
|
$ |
20,861,000 |
|
Stock-based compensation |
|
|
1,899,000 |
|
|
|
3,035,000 |
|
Interest
expense |
|
|
381,000 |
|
|
|
179,000 |
|
Accounts
receivable reserve |
|
|
129,000 |
|
|
|
121,000 |
|
Contributions
carryover |
|
|
242,000 |
|
|
|
285,000 |
|
Research
and development credits |
|
|
- |
|
|
|
839,000 |
|
Intangibles |
|
|
(8,307,000 |
) |
|
|
(8,358,000 |
) |
Inventory |
|
|
684,000 |
|
|
|
(361,000 |
) |
Research
and development costs |
|
|
57,000 |
|
|
|
27,000 |
|
Total
deferred tax assets: |
|
|
20,515,000 |
|
|
|
16,628,000 |
|
Less
valuation allowance |
|
|
(20,515,000 |
) |
|
|
(16,628,000 |
) |
Net
deferred tax assets (liabilities) |
|
$ |
- |
|
|
$ |
- |
|
|
SCHEDULE OF EFFECTIVE INCOME RATE RECONCILIATION |
The
income tax provision differs from the amount of income tax determined by applying the U.S. federal and effective state income tax rates
to pretax income from operations for the years ended December 31, due to the following:
SCHEDULE
OF EFFECTIVE INCOME RATE RECONCILIATION
|
|
2024 |
|
|
2023 |
|
Book
loss |
|
$ |
(4,939,354 |
) |
|
$ |
(12,984,984 |
) |
Meals
and entertainment |
|
|
10,426 |
|
|
|
14,467 |
|
Goodwill
impairment |
|
|
4,009,454 |
|
|
|
8,286,700 |
|
Fair value share
adjustment |
|
|
(2,950,664 |
) |
|
|
60,313 |
|
Opening
balance sheet (acquisitions) |
|
|
- |
|
|
|
(10,977,844 |
) |
True
up adjustment |
|
|
(10,350 |
) |
|
|
310,513 |
|
Other
non-deductible expenses |
|
|
(6,512 |
) |
|
|
17,835 |
|
Change
in valuation allowance |
|
|
3,887,000 |
|
|
|
15,273,000 |
|
Provision
for income tax |
|
$ |
- |
|
|
$ |
- |
|
|