Annual report pursuant to Section 13 and 15(d)

Note 12 - Income Taxes (Tables)

v3.23.1
Note 12 - Income Taxes (Tables)
12 Months Ended
Dec. 31, 2022
Notes Tables  
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]
   

2022

   

2021

 

Current income tax (expense) benefit

               

Federal

  $ (2,533 )   $ -  

State & Local

    (7,566 )     (1,813 )
      (10,099 )     (1,813 )

Deferred income tax (expense) benefit

               

Federal

    723,041       973,918  

State & Local

    385,342       98,749  
      1,108,383       1,072,667  

Income tax benefit

  $ 1,098,284     $ 1,070,854  
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]
   

2022

   

2021

 

Loss before taxes

  $ (18,852,122 )   $ (2,202,303 )

Income tax benefit at federal statutory rate

  $ 3,957,892     $ 462,484  

State income tax benefit, net of federal benefit

    379,365       97,318  

Permanent Differences

    (1,313,947 )     (111,237 )

Net Operating Loss ("NOL") expirations

    (12,431 )     -  

Other

    163,945       19,485  

Federal valuation allowance

    (2,076,540 )     602,804  

Income tax benefit

  $ 1,098,284     $ 1,070,854  
Schedule of Deferred Tax Assets and Liabilities [Table Text Block]
   

2022

   

2021

 

Deferred tax assets

               

Net operating losses

  $ 2,649,902     $ 547,035  

Stock-based compensation

    743,915       428,072  

Accrued commissions

    17,836       50,047  

Accrued vacations

    46,665       41,331  

Fixed assets

    1,509       -  
Other     28,025       -  

Deferred tax assets before valuation allowance

    3,487,852       1,066,485  

Valuation allowance

    (2,793,271 )     -  

Net deferred tax assets

    694,581       1,066,485  

Deferred tax liabilities

               

Intangible Assets

    (753,702 )     (2,185,281 )

Fixed Assets

    -       (3,434 )

Other

    -       (45,274 )

Deferred tax liabilities

    (753,702 )     (2,233,989 )

Net deferred tax liabilities

  $ (59,121 )   $ (1,167,504 )