INCOME TAXES

12 Months Ended

Dec. 31, 2023

INCOME TAXES [Abstract]

INCOME TAXES

NOTE 5 - INCOME TAXES

The Company’s income tax (benefit) expense consisted of the following:

	2023		2022
Current:
Federal	$	478,379	$	449,194
State		15,956		18,048
Deferred:
Federal		16,754		(70,613	)
State		1,284		(4,626	)
	$	512,373	$	392,003

The actual tax (benefit) expense for 2023 and 2022 differs from the “expected” tax expense for those years (computed by applying the applicable United States federal corporate tax rate to income before income taxes) as follows:

	2023			2022
Computed “expected” expense	$	476,239		$	367,452
Permanent differences		24,056			15,685
State and local income tax expense		17,537			13,137
True-up of current taxes		(123,523	)		3,709
True-up of deferred taxes		117,464			(6,158	)
Change in state apportionment		600			(1,822	)
Income tax expense	$	512,373		$	392,003

The tax effects of temporary differences that give rise to significant portions of the net deferred tax assets (liabilities) at December 31, 2023 and 2022 are as follows:

	2023			2022
Deferred tax assets:
Stock options	$	22,830		$	21,654
Accrued vacation		109,955			91,161
Bad debt allowance		6,557			6,546
Deferred revenue		1,007			1,222
Deferred rent		28,224			25,982
Other		929			46,228
Total deferred tax assets		169,502			192,793
Deferred tax liabilities:
Goodwill		(427,204	)		(426,433	)
Fixed assets		(92,903	)		(98,926	)
Total deferred tax liabilities		(520,107	)		(525,359	)
Net deferred tax liabilities	$	(350,605	)	$	(332,566	)