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Income Taxes (Tables)
12 Months Ended
Dec. 31, 2024
Income Taxes  
Schedule of components of income tax expense

 

 

2024

 

 

2023

 

Current:

 

 

 

 

 

 

Federal

 

$20

 

 

$(79 )

State

 

 

5

 

 

 

45

 

Foreign

 

 

12

 

 

 

(55 )

Total Current

 

 

37

 

 

 

(89 )

Deferred:

 

 

 

 

 

 

 

 

Federal

 

 

(3,611 )

 

 

(670 )

State

 

 

(590 )

 

 

(175 )

Foreign

 

 

100

 

 

 

(4 )

Total Deferred

 

 

(4,101 )

 

 

(849 )

Total benefit for income taxes

 

$(4,064 )

 

$(938 )
Schedule of effective income tax rate reconciliation

 

 

2024

 

 

2023

 

 

 

Amount

 

 

Percentage

 

 

Amount

 

 

Percentage

 

Federal statutory tax rate

 

$(3,642 )

 

 

21.0%

 

$(920 )

 

 

21.0%

State tax rate

 

 

(586 )

 

 

3.3%

 

 

(139 )

 

 

3.2%

Permanent difference – stock-based compensation

 

 

56

 

 

 

(0.3 )%

 

 

54

 

 

 

(1.2 )%

Permanent difference – other

 

 

19

 

 

 

(0.1 )%

 

 

8

 

 

 

(0.2 )%

Foreign tax credit generated

 

 

 

 

 

 

 

 

 

 

 

 

Tax on foreign earnings – tax reform

 

 

40

 

 

 

(0.2 )%

 

 

 

 

 

 

Foreign rate differential

 

 

4

 

 

 

(0.1 )%

 

 

(9 )

 

 

0.2%

FDII Deduction

 

 

 

 

 

 

 

 

 

 

Other

 

 

45

 

 

 

(0.3 )%

 

 

68

 

 

 

(1.6 )%

Total

 

$(4,064 )

 

 

23.4%

 

$(938 )

 

 

21.4%
Schedule of deferred tax assets and liabilities

 

 

2024

 

 

2023

 

 

Change

 

Assets:

 

 

 

 

 

 

 

 

 

Deferred revenue

 

$129

 

 

$80

 

 

$49

 

Allowance for doubtful accounts

 

 

350

 

 

 

311

 

 

 

39

 

Stock options

 

 

385

 

 

 

338

 

 

 

47

 

Transaction costs

 

 

61

 

 

 

69

 

 

 

(8 )

IRC Section 174 capitalized costs

 

 

936

 

 

 

510

 

 

 

426

 

ROU lease liability

 

 

279

 

 

 

293

 

 

 

(14 )

Purchase of intangible assets

 

 

2,144

 

 

 

 

 

 

2,144

 

Other

 

 

12

 

 

 

19

 

 

 

(7 )

Total deferred tax asset

 

 

4,296

 

 

 

1,620

 

 

 

2,676

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

Prepaid expenses

 

 

(3 )

 

 

(1)

 

 

(2 )

Basis difference in fixed assets

 

 

(88 )

 

 

(149 )

 

 

61

 

Capitalized software

 

 

(63 )

 

 

(20 )

 

 

(43 )

ROU Assets

 

 

(251 )

 

 

(260 )

 

 

9

 

Purchase of intangibles

 

 

 

 

 

(1,268 )

 

 

1,268

 

Other

 

 

(98 )

 

 

(61 )

 

 

(37 )

Total deferred tax liability

 

 

(503 )

 

 

(1,759 )

 

 

1,256

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total net deferred tax asset / (liability)

 

$3,793

 

 

$(139 )

 

$3,932