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Income tax (Tables)
12 Months Ended
Jun. 30, 2022
Income tax  
Schedule of income tax expense

2022

2021

Statutory income tax rate

26.15

%

26.37

%

    

    

Net income (loss) before income taxes

(104,390)

4,384

Expected income tax expense

(27,297)

1,156

Difference in foreign tax rates

(75)

(106)

Tax rate changes and other adjustments

1,437

(17)

Share based compensation

2,596

961

Other non deductible expenses

(42)

167

True-up of prior years

1,194

38

Scientific Research and Experimental Development (SR&ED)

87

(155)

Business acquisition costs

470

877

Sec 481(a) adjustment

136

129

Gain on consideration payable

(591)

(1,037)

Stock options deduction revaluation adjustment

4,239

2,287

Goodwill impairment

23,756

Earn-out amortization

209

Currency translation adjustment and other adjustments

(165)

Changes in tax benefits not recognized

271

(33)

Income tax expense

6,390

4,102

The Company’s income tax expense is allocated as follows:

Current tax expense

3,980

1,935

Deferred income tax expense

2,410

2,167

Income tax expense

6,390

4,102

Schedule of components of deferred tax assets (liabilities)

    

June 30, 

    

June 30, 

July 1,

2022

2021

2020

Deferred income tax assets and liabilities

  

 

  

Non-deductible reserves - Canadian

125

 

317

78

Non-deductible reserves - USA

5,319

 

4,712

1,885

SR&ED investment tax credits, net of 12(1)(x)

2,001

 

1,457

1,459

Property and equipment - Canadian

(83)

 

(212)

(228)

Property and equipment - USA

(2,349)

 

(1,493)

(499)

Deferred development costs

(548)

 

(608)

(735)

Intangible assets including goodwill - Canadian

(89)

 

(82)

(66)

Intangible assets including goodwill - USA

(42,242)

 

(41,967)

(2,798)

Non-capital losses carried forward - USA

15,140

 

5,159

4,074

Non-capital losses carried forward - Canadian

480

 

94

Capital losses carried forward and other - Canadian

3

 

3

272

Right of use assets net of obligations - Canadian

27

 

30

6

Right of use assets net of obligations - USA

239

 

148

76

Share issuance costs - Canadian

834

 

1,146

262

Acquisition costs and other - USA

404

 

421

Stock options - USA

4,096

 

8,260

163J interest

3,593

Interest rate swap

(507)

Capital development cost-USA

(338)

Net deferred income tax assets (liabilities)

(13,895)

 

(22,709)

3,880

Schedule of movement in net deferred tax assets (liabilities)

    

June 30, 

    

June 30, 

2022

2021

Balance at the beginning of the year

(22,709)

 

3,880

Recognized in profit/loss

(2,410)

 

(2,167)

Recognized in goodwill

11,091

 

(25,462)

Recognized in equity

 

1,160

Recognized in deferred development costs

628

 

(124)

Recognized in OCI

(507)

Other foreign exchange movement

12

 

4

Balance at the end of the year

(13,895)

 

(22,709)

Schedule of unrecognized deferred tax assets

June 30,

June 30,

July 1,

    

2022

    

2021

2020

Capital losses carried forward and other - Canadian

41

41

Capital losses carried forward - USA

12,885

12,885

Schedule of tax credits available

    

Federal tax credits

    

Ontario tax credits

Year of expiration

carry forward

carry forward

2034

212

 

2035

233

 

2036

270

 

2037

242

 

2038

184

 

2039

263

 

2040

244

 

35

2041

426

 

168

2042

355

61

2,429

 

264