XML 35 R20.htm IDEA: XBRL DOCUMENT
v3.26.1

Income taxes | 12 Months Ended
--- | ---
Dec. 31, 2025
Income Tax Disclosure [Abstract] |
Income taxes | Note 10 – Income taxes The provision for income taxes consists of the following:
Schedule of provision for income taxes |  |  |  |  |  |
|  | For the Years Ended December 31, |
|  | 2025 |  |  | 2024 |
Current: |  |  |  |  |  |
Federal |  | $ | 4,333 |  |  | $ | 3,371 |
State and local |  |  | 1,764 |  |  |  | 1,512 |
Total current |  |  | 6,097 |  |  |  | 4,883 |
Deferred |  |  | (270) |  |  |  | 61 |
Provision for income taxes |  | $ | 5,827 |  |  | $ | 4,944 |
The following is a reconciliation of income tax expense computed at the U.S. federal statutory tax rate to income tax expense reported in the consolidated statement of operations:
Schedule of reconciliation to effective rate for income taxes |  |  |  |  |  |  |  |  |  |  |  |
|  | 2025 |  |  | 2024 |
|  | Amount |  |  | Percentage |  |  | Amount |  |  | Percentage |
Federal income tax at statutory rate |  | $ | 4,137 |  |  |  | 21.0% |  |  | $ | 2,933 |  |  |  | 21.0% |
State and local income tax, net (a) |  |  | 1,135 |  |  |  | 5.8% |  |  |  | 737 |  |  |  | 5.3% |
Section 162m |  |  | 479 |  |  |  | 2.4% |  |  |  | 1,074 |  |  |  | 7.7% |
Stock based compensation |  |  | 46 |  |  |  | 0.2% |  |  |  | 167 |  |  |  | 1.2% |
Other permanent differences |  |  | 31 |  |  |  | 0.2% |  |  |  | 29 |  |  |  | 0.2% |
Change in tax laws or rates |  |  | (1) |  |  |  | 0.0% |  |  |  | 2 |  |  |  | 0.0% |
Other |  |  | – |  |  |  | 0.0% |  |  |  | 2 |  |  |  | 0.0% |
Provision for income taxes |  | $ | 5,827 |  |  |  | 29.6% |  |  | $ | 4,944 |  |  |  | 35.4% |
| (a) | State taxes in Illinois made up the majority (greater than 50 percent) of this category.
The income taxes paid (net of refunds) to a jurisdiction that represent greater than 5% of the total income taxes paid are as follows:
Schedule of income paid (net of refunds) to a jurisdiction |  |  |  |  |  |
|  | December 31, |
|  | 2025 |  |  | 2024 |
Federal |  | $ | 3,846 |  |  | $ | 4,151 |
State |  |  |  |  |  |  |  |
Illinois |  |  | 1,087 |  |  |  | 1,134 |
California |  |  | – |  |  |  | 338 |
Other (individually below 5% of total income taxes paid) |  |  | 655 |  |  |  | 364 |
|  | $ | 5,588 |  |  | $ | 5,987 |
The tax effects of temporary differences giving rise to deferred income tax assets and liabilities were:
Schedule of deferred tax assets and liabilities |  |  |  |  |  |
|  | December 31, |
|  | 2025 |  |  | 2024 |
Deferred tax liabilities attributable to: |  |  |  |  |  |  |  |
Accumulated depreciation and amortization |  | $ | (4,196 | ) |  | $ | (3,829 | )
Unrealized gains |  |  | – |  |  |  | (467 | )
Total deferred tax liabilities |  |  | (4,196 | ) |  |  | (4,296 | )
Deferred tax assets attributable to: |  |  |  |  |  |  |  |
Net operating losses |  |  | 6 |  |  |  | 6 |
Unrealized loss |  |  | 23 |  |  |  | – |
Accrued compensation |  |  | 480 |  |  |  | 454 |
Incentive compensation |  |  | 550 |  |  |  | 499 |
Inventory |  |  | 349 |  |  |  | 279 |
Allowances for doubtful accounts and discounts |  |  | 2 |  |  |  | 2 |
Other |  |  | (6 | ) |  |  | (6 | )
Total net deferred tax assets |  |  | 1,404 |  |  |  | 1,234 |
Net deferred tax liabilities |  | $ | (2,792 | ) |  | $ | (3,062 | )
The following table details the Company’s tax attributes related to net operating losses for which it has recorded deferred tax assets.
Schedule of tax attributes related to net operating losses |  |  |  |  |  |  |  |  |  |  |
Tax Attributes |  | Gross Amount |  |  | Net Amount |  |  | Expiration Years |
State net operating losses |  | $ | 116 |  |  | $ | 6 |  |  | 2035 |
|  |  |  |  |  | $ | 6 |  |  |  |
Lifeway is subject to U.S. federal income tax as well as income tax in multiple state and city jurisdictions. With limited exceptions, Lifeway’s calendar year 2022 and subsequent federal and state tax years remain open by statute. As of December 31, 2025, the unrecognized tax benefit is $0. The amount of interest and penalties recognized in the consolidated statements of operations was $0 during 2025 and 2024, respectively. The amount of accrued interest and penalties recognized in the consolidated balance sheets was $0 at December 31, 2025 and 2024, respectively. On July 4, 2025, the One Big Beautiful Bill Act ("OBBBA") was signed into law, which includes a broad range of tax reform provisions that may affect the Company’s financial results. The OBBBA changes to corporate taxation include, but are not limited to, 100% bonus depreciation for purchases of qualified property, an elective deduction for domestic research and experimental expenditures, changes to the definition of adjusted taxable income for purposes of determining the interest deduction limitation under Internal Revenue Code Section 163(j), and a more favorable tax rate on Foreign-Derived Deduction Eligible Income and income from non-U.S. subsidiaries (Net CFC Tested Income). The OBBBA does not have a material impact on our estimated annual effective tax rate or cash flows in the current fiscal year.

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for income tax. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 942 -SubTopic 740 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147477617/942-740-50-1 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480738/235-10-S50-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 944 -SubTopic 740 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478822/944-740-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12 Reference 5: http://www.xbrl.org/2003/role/exampleRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 231 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482663/740-10-55-231 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12C -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12C Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12B -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12B Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 270 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147477891/740-270-50-1 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SAB Topic 6.I.5.Q1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479360/740-10-S99-1 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 946 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480990/946-20-50-13 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/740/tableOfContent Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 14 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-14 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-21 Reference 15: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 17 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-17 Reference 16: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479360/740-10-S99-2 Reference 17: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482603/740-30-50-2 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration