Income Taxes

6 Months Ended

Oct. 31, 2024

Income Tax Disclosure [Abstract]

Income Taxes

Note 7. Income Taxes

The tax effects of temporary differences and carry-forwards that give rise to significant portions of the deferred tax assets and liabilities are presented below:

	October 31,			April 30,
	2024			2024
Deferred tax assets (liabilities):
Net operating loss carryforwards	$	10,413,290		$	11,378,409
Start-up costs		993,377			833,918
Stock option and warrant payments		715,020			694,206
Accumulated depreciation		1,102,896			(3,339	)
Research and development credits		816,075			255,600
Research and development warrants		21,488			21,488
Total deferred tax assets, net		14,062,146			13,180,282
Valuation Allowance		(14,062,146	)		(13,180,282	)
Net Deferred Tax Assets	$	—		$	—

For the six months ended October 31, 2024 and the year ended April 30, 2024, the Company’s cumulative net operating loss for federal income tax purposes was approximately $50 million and $54 million, respectively. The net operating loss, subject to limitations, may be available in future tax years to offset taxable income. The net operating loss carry-forward will begin to expire in year 2028.

Federal and state tax laws impose restrictions on the utilization of net operating loss carryforwards in the event of a change in ownership as defined by the Internal Revenue Code (the "Code"), Section 382. Under Section 382 of the Code, substantial changes in ownership and the ownership of acquired companies may limit the amount of net operating loss carryforwards that are available to offset taxable income. The annual limitation would not automatically result in the loss of net operating loss carryforwards but may limit the amount available in any given future period.

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Based upon the projections for future taxable income over the periods in which the deferred tax assets are deductible, management believes it is more likely than not that the Company will not realize the benefits of these deductible differences, and therefore, a full valuation allowance has been recorded at October 31, 2024 and April 30, 2024.