Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of Components of Provision for Income Taxes

The components of the provision for income taxes for the years ended December 31, 2023 and 2022 are as follows:

	2023			2022
Current	$	—		$	—
Deferred		(5,791,558	)		(3,714,988	)
Valuation Allowance		5,791,558			3,714,988
Total provision (Deferred benefit) for income taxes	$	—		$	—

Summary of Components of Deferred Tax

At December 31, 2023 and 2022, the Company had temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their respective income tax bases, as measured by enacted state and federal tax rates, as follows:

Summary of Components of Deferred Tax

	2023			2022
Deferred tax assets (liabilities):
Net operating loss carryforward	$	39,810,409		$	37,713,107
Accrued vacation		-			8,751
Non-qualified stock compensation		1,160,775			1,119,642
Capitalized Research & Development costs		3,417,706			2,325,391
Intangibles		2,569,559			-
Total deferred tax assets		46,958,449			41,166,891
Less valuation allowance		(46,958,449	)		(41,166,891	)
Total net deferred tax asset, net of valuation allowance	$	—		$	—

Schedule of Reconciliation of Tax Computed at Statutory Federal Rate

The following is a reconciliation of tax computed at the statutory federal rate to the income tax expense (benefit) in the statements of operations for the years ended December 31, 2023 and 2022:

	2023			2022
Income tax benefit computed at statutory federal rate of 21% and 21%, respectively	$	(4,337,705	)	$	(3,000,564	)
State income tax benefits, net of federal expense/benefit		(1,204,720	)		(785,862	)
Prior year adjustment		150,533			-
Change in valuation allowance		5,342,529			3,714,988
Non-deductible expenses		272			612
Other		49,091			70,826
Total provision (benefit) for income taxes	$	—		$	—

Schedule of Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

Balance as of December 31, 2021	$	4,027,180
Additions based on tax positions related to the current year		940,106
Reductions for the tax positions of prior years		(115,396	)
Expired Tax Credits due to 20-year life		(17,043	)
Balance as of December 31, 2022	$	4,834,847
Additions based on tax positions related to the current year		46,229
Reductions for the tax positions of prior years		(680,042	)
Expired Tax Credits due to 20-year life		(31,680	)
Balance as of December 31, 2023	$	4,169,354