Income Taxes (Tables)
|
12 Months Ended |
Dec. 31, 2025 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Schedule of Provision for Income Taxes |
Our income before provision for (benefit from)
income taxes for the years ended December 31, 2025, and 2024 was as follows:
Schedule of Provision for Income Taxes
| |
|
2025 |
|
|
2024 |
|
| Domestic |
|
$ |
(9,999,086 |
) |
|
$ |
(10,594,939 |
) |
| Australia |
|
|
19,689 |
|
|
|
27,021 |
|
|
| Schedule of Components of Provision for Income Taxes |
The
components of the provision for income taxes for the years ended December 31, 2025, and 2024 are as follows:
Schedule
of Components of Provision for Income Taxes
| |
|
2025 |
|
|
2024 |
|
| Current - Australia |
|
$ |
(136,910 |
) |
|
$ |
— |
|
| Deferred - Federal |
|
|
2,010,443 |
|
|
|
(1,408,287 |
) |
| Valuation Allowance |
|
|
(2,010,443 |
) |
|
|
1,408,287 |
|
| Total provision (deferred benefit) for income taxes |
|
$ |
(136,910 |
) |
|
$ |
— |
|
|
| Schedule of Effective Income Tax Rate Reconciliation |
Schedule of Effective Income Tax Rate Reconciliation
| |
|
For the year ended |
|
| |
|
December 31, 2025 |
|
|
|
|
| U.S. federal statutory income tax rate |
|
|
(2,096 |
) |
|
|
21.00 |
% |
| State taxes1, net of federal |
|
|
0 |
|
|
|
0.00 |
% |
| Australia |
|
|
|
|
|
|
|
|
| Statutory tax rate difference between Australia and United States |
|
|
1 |
|
|
|
-0.05 |
% |
| R&D tax incentive expenditure addback |
|
|
112
|
|
|
|
-1.13 |
% |
| FY24 tax provision true up |
|
|
(78 |
) |
|
|
0.78 |
% |
| Australian R&D incentive offset |
|
|
(176 |
) |
|
|
1.76 |
% |
| Change in valuation allowance |
|
|
1,042 |
|
|
|
-10.42 |
% |
| Expiring NOLS |
|
|
742 |
|
|
|
-7.42 |
% |
| Deferred only stock-based compensation adjustment |
|
|
300 |
|
|
|
-3.00 |
% |
| Other deferred only adjustments |
|
|
14 |
|
|
|
-0.14 |
% |
| Nontaxable or nondeductible items |
|
|
2 |
|
|
|
-0.02 |
% |
| Effective Tax Rate |
|
|
(137 |
) |
|
|
1.36 |
% |
| |
|
|
|
|
|
December 31, 2024 |
|
| U.S. statutory rate |
|
|
|
|
|
|
21.00 |
% |
| Australia Tax |
|
|
|
|
|
|
0.59 |
% |
| State taxes, net of federal |
|
|
|
|
|
|
3.80 |
% |
| Change in valuation allowance |
|
|
|
|
|
|
-19.29 |
% |
| Nontaxable or nondeductible items |
|
|
|
|
|
|
0.00 |
% |
| Stock-based compensation |
|
|
|
|
|
|
-0.47 |
% |
| Issuance Costs |
|
|
|
|
|
|
0.00 |
% |
| Other permanent items, net |
|
|
|
|
|
|
-0.01 |
% |
| Change in tax rate |
|
|
|
|
|
|
-5.62 |
% |
| Effective Tax Rate |
|
|
|
|
|
|
0.00 |
% |
| 1 |
Florida accounts for 100% of the tax effect in this category. |
|
| Summary of Components of Deferred Tax |
The
table below presents the effects of temporary differences that gave rise to significant portions of deferred tax assets and liabilities
as of December 31, 2025, and 2024:
Summary
of Components of Deferred Tax
| |
|
2025 |
|
|
2024 |
|
| Deferred tax assets (liabilities): |
|
|
|
|
|
|
|
|
| Net operating loss carryforward |
|
$ |
40,114,803 |
|
|
$ |
41,070,043 |
|
| Accrued vacation |
|
|
799 |
|
|
|
13,421 |
|
| Non-qualified stock compensation |
|
|
940,759 |
|
|
|
1,228,004 |
|
| Capitalized Research & Development costs |
|
|
2,940,435 |
|
|
|
3,694,354 |
|
| In-process research and development |
|
|
2,081,681 |
|
|
|
2,360,913 |
|
| Intangibles |
|
|
234,049 |
|
|
|
— |
|
| Total deferred tax assets |
|
|
46,312,526 |
|
|
|
48,366,735 |
|
| Less valuation allowance |
|
|
(46,312,526 |
) |
|
|
(48,366,735 |
) |
| Total net deferred tax asset, net of valuation allowance |
|
$ |
— |
|
|
$ |
— |
|
|
| Schedule of Reconciliation of Unrecognized Tax Benefits |
A
reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
Schedule
of Reconciliation of Unrecognized Tax Benefits
| Balance as of December 31, 2023 |
|
$ |
4,169,354 |
|
| Additions based on tax positions related to the current year |
|
|
— |
|
| Reductions for the tax positions of prior years |
|
|
(46,229 |
) |
| Expired Tax Credits due to 20-year life |
|
|
(81,431 |
) |
| Balance as of December 31, 2024 |
|
$ |
4,041,694 |
|
| Additions based on tax positions related to the current year |
|
|
— |
|
| Reductions for the tax positions of prior years |
|
|
— |
|
| Expired Tax Credits due to 20-year life |
|
|
(81,881 |
) |
| Balance as of December 31, 2025 |
|
$ |
3,959,813 |
|
|