Income Taxes (Tables)

12 Months Ended

Jun. 30, 2022

Income Taxes

Schedule of provision for income taxes

The provision for income taxes consists of the following for the years ended June 30, 2022 and 2021:

	Years Ended
	June 30,
	2022		2021
Current
Federal	$	—	$	—
State		3,820		2,319
Foreign (Mexico)		3,802		885
Deferred
Federal		—		—
Foreign		—		—
State		—		—
Provision for income tax expense	$	7,622	$	3,204

Schedule of reconciliation of the effective income tax rate

The reconciliation of the effective income tax rate to the federal statutory rate is as follows:

	Years Ended
	June 30,
	2022		2021
Federal income tax rate	21.0	%	21.0	%
State tax, net of federal benefit	5.0	%	5.0	%
Permanent differences	1.2	%	3.0	%
Change in valuation allowance	(27.7)	%	(30.1)	%
Effective income tax rate	(0.5)	%	(1.1)	%

Schedule of deferred tax assets and liabilities

	June 30,		June 30,
	2022		2021
Deferred tax assets:
Federal net operating loss carryforward	$	2,440,870	$	2,344,543
State net operating loss carryforward		326,117		285,568
Intangibles amortization		156,196		156,196
Stock based compensation		1,993,124		1,762,884
Other		207,901		197,401
Total deferred tax assets		5,124,208		4,746,592
Deferred tax liability:
Fixed asset depreciation		(51,094)		(49,487)
Net deferred tax assets		5,073,114		4,697,105
Less valuation allowance		(5,073,114)		(4,697,105)
	$	—	$	—