XML 20 R11.htm IDEA: XBRL DOCUMENT v3.24.0.1
INCOME TAXES
 9 Months Ended
Dec. 31, 2023
INCOME TAXES  
INCOME TAXES

NOTE 4 – INCOME TAXES

The Company accounts for income taxes under ASC 740, Income Taxes. The tax provision for interim periods is determined using the estimated annual effective consolidated tax rate, based on the current estimate of full-year earnings before taxes, adjusted for the impact of discrete quarterly items. We recorded an income tax benefit for the three ($240,230) and nine months ($563,358) ended December 31, 2023. For the three and nine months ended December 31, 2022, we recorded income tax expense of $46,991 and $8,786, respectively. The Company’s effective tax rate for the nine months ended December 31, 2023 and 2022 was 22.7% and 27.0%, respectively.

The valuation allowance on deferred tax assets was approximately $2.2 million at December 31, 2023. We believe that it is more likely than not that the benefit from certain state net operating losses, or “NOLs”, carryforwards and other deferred tax assets will not be realized. In the event future taxable income is below management’s estimates or is generated in tax jurisdictions different than projected, the Company could be required to increase the valuation allowance for deferred tax assets. This would result in an increase in the Company’s effective tax rate.

​