INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2023

INCOME TAXES

Schedule of provision (benefit) for income taxes

The provision (benefit) for income taxes consists of the following:

	For the Years Ended December 31,
	2023		2022		2021
Current tax provision (benefit)
Federal	$	33,734	$	1,448,000	$	20,041,644
State		(65,529)		(8,711,302)		8,079,555
Total current provision (benefit)		(31,795)		(7,263,302)		28,121,199
Deferred tax provision (benefit)
Federal		(1,855,875)		3,717,559		(6,719,211)
State		(17,491)		3,629,613		(2,515,418)
Total deferred tax provision (benefit)		(1,873,366)		7,347,172		(9,234,629)
Total income tax provision	$	(1,905,161)	$	83,870	$	18,886,570

Schedule of tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities

Deferred taxes are provided for those items reported in different periods for income tax and financial reporting purposes.  The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities are presented below:

	December 31,
	2023		2022
Deferred tax assets
Net operating loss carry forwards	$	4,654,612	$	5,053,102
Accrued expenses and reserves		782,234		713,429
Employee stock option expense		13,311		—
Inventories		299,276		159,405
Deferred income – TIA contract		14,742,111		15,860,880
Capital loss		188,270		67,962
Interest expense limitation		—		24,572
Deferred tax assets		20,679,814		21,879,350
Deferred tax liabilities
Unrealized gains/losses		1,194,734		(1,028,232)
Property, plant, and equipment		(13,199,805)		(14,049,742)
Deferred tax liabilities		(12,005,071)		(15,077,974)
Net deferred assets		8,674,743		6,801,376
Valuation allowance		(282,713)		(282,713)
Net deferred tax assets	$	8,392,030	$	6,518,663

*Certain totals may not reconcile due to rounding.

Schedule of reconciliation of the federal statutory corporate tax rate to the Company's effective tax rate

A reconciliation of the federal statutory corporate tax rate to the Company’s effective tax rate is as follows:

	December 31,
	2023		2022		2021
U.S. statutory federal tax rate	21.0		21.0	%	21.0	%
State tax, net of federal tax	0.8		1.0		6.4
Change in valuation allowance	—		5.5		—
Valuation Allowance	(0.2)		4		—
Stock options	—		10.8		(0.1)
Section 162(m); Limit on Compensation	(0.2)		30.9
State tax nexus study
State rate change	—		(75.1)		—
PPP loan	—		—		(0.4)
Return-to-provision and other	0.1		3.7		(1.7)
Effective tax rate	21.5	%	1.6	%	25.2	%