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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-K

(Mark One)

[X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended May 31, ~~2024~~2025

[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ________________ to________________

Commission file number 000-53490

PREAXIA HEALTH CARE PAYMENT SYSTEMS INC.
(Exact name of registrant as specified in its charter)

Nevada	20-4395271
(State or other jurisdiction of	(I.R.S. Employer
incorporation or organization)	Identification No.)

PO Box ~~34075 Westbrook PO~~368, ~~1610-37thStreet~~Dunedin ~~S.W.,~~FL ~~Calgary, Alberta T3C 3W2~~34697-0368

(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code (403) 850-4120

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

None

N/A

Securities registered pursuant to Section 12(g) of the Act:

Common Stock, $0.001 par value
(Title of class)

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.
Yes [ ] No [X]

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.
Yes [ ] No [X]

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes [X] No [ ]

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Yes [ X ] No [ ]

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§ 229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. [X ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer [ ]		Accelerated filer [ ]
Non-accelerated filer [X]		Smaller reporting company [X]
		Emerging growth company [ ]

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).
Yes [ ] No [X]

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. [ ]

[State ]the aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity was last sold, or the average bid and asked price of such common equity, as of the last business day of the registrant’s most recently completed second fiscal quarter. Approximately $494,059 on November 30, 2024.

State the aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity was last sold, or the average bid and asked price of such common equity, as of the last business day of the registrant’s most recently completed second fiscal quarter. Approximately $494,059 on November 30, 2023.

(APPLICABLE ONLY TO CORPORATE REGISTRANTS)

Indicate the number of shares outstanding of each of the registrant’s classes of common stock, as of the latest practicable date:

1953,~~767~~824,~~698~~ 000 shares of common stock as of August ~~October 10~~31, ~~2024~~2025

DOCUMENTS INCORPORATED BY REFERENCE

Not Applicable.

Notice: This filing has not been audited or reviewed by a PCAOB Registered Accounting firm. As soon as an audit for the financial statements has been completed, we will file an amendment to include the audit report.

TABLE OF CONTENTS

PART I 34 FORWARD-LOOKING STATEMENTS. 34 ITEM 1. BUSINESS 34 ITEM 1A. RISK FACTORS 7 ITEM 1B. UNRESOLVED STAFF COMMENTS 7 ITEM 2. PROPERTIES 7 ITEM 3. LEGAL PROCEEDINGS 7 ITEM 4. MINE SAFETY DISCLOSURES 7 PART II 7 ITEM 5. MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES 7 ITEM 6. SELECTED FINANCIAL DATA 8 ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 8 ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 1110 ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA 11 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE 12 ITEM 9A. CONTROLS AND PROCEDURES 12 ITEM 9B. OTHER INFORMATION 12 PART III 13 ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE 13 ITEM 11. EXECUTIVE COMPENSATION 16 ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS 18 ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE 1819 ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES 1920 PART IV 2021 ITEM 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES 2021 ITEM 16. FORM 10-K SUMMARY 2021 SIGNATURES 2122

PART I

FORWARD-LOOKING STATEMENTS.

This annual report contains forward-looking statements. Forward-looking statements are projections in respect of future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “"may,”" “"should,”" “"intend,”" “"expect,”", “ "plan,~~” “~~" "anticipate,”" “"believe,”" “"estimate,”" “"predict,~~” “~~" "potential,” " or “"continue”" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, including uncertainties and other factors, which may cause our or our industry’'s actual results, levels of of activity or performance to be materially different from any future results, levels of activity or performance expressed or implied by these forward-looking statements. These risks and uncertainties include: a continued downturn in international economic conditions; ~~any~~ any adverse occurrence with respect to the development or marketing of our product; any adverse occurrence with respect to any of our ~~licensing~~ licensing agreements; our ability to successfully bring products to market; product development or other initiatives by our competitors; fluctuations in the availability and cost of materials required to produce our products; any adverse occurrence with respect to ~~distribution~~ distribution of our products; potential negative financial impact from claims, lawsuits and other legal proceedings or challenges; and other factors beyond our control.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity or performance. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results.

As used in this annual report, the terms “"we,~~” “~~" "us,”" “"our,” " the “"Corporation,”" and “ "PreAxia”" mean PreAxia Health Care Payment Systems Inc. and our and its wholly owned subsidiaries (i) PreAxia Health Care Payment Systems Inc., incorporated pursuant to the laws of the Province of Alberta on January 28, 2008 (ii) PreAxia Canada Inc., incorporated pursuant to the laws of the Province of Alberta on January 28, 2008 and (iii) PreAxia Health Care Payment Ltd., incorporated pursuant to the laws of the Province of Alberta on November 26, 2015 (collectively, the “"Subsidiaries”"), unless the context clearly requires otherwise. Unless otherwise stated, “"$”" refers to United States dollars.

ITEM 1. BUSINESS

Corporate Overview

PreAxia Health Care Payment Systems Inc. (the “ "Company”" or “"PreAxia”") was incorporated on April 3, 2000, in the State of Nevada.

The Company primarily undertakes its operations through its wholly owned subsidiary, PreAxia Health Care Payment Limited (“"PreAxia Payment”"). PreAxia Payment was incorporated pursuant to the laws of the Province of Alberta on November 26, 2015.

On May 23, 2025, the Company created a wholly owned subsidiary in Alberta Canada, named Zane Inc. CA. This subsidiary will develop and market the personal financial management products and perfect the health care payment processing services. Zane Inc had no operations before June 30, 2025.

General Overview

PreAxia Payment is a company which ~~intends~~ intends to deliver a comprehensive suite of solutions and services directed at the emerging health payment market, specifically the opportunities tied to the growth of health spending accounts (“"HSA”"). There is a rapid shift in healthcare traditional payment models to consumer-directed healthcare that is creating significant opportunities for financial services and insurance industries to deliver new dynamic products to this emerging market.

Spawned by the need to address escalating health care costs, changes in the regulatory environment and the growing consumer desire for greater participation in the management of their health benefits, the boundaries between health care and the financial services industries are becoming increasingly blurred. With the trend towards self-directed health payment solutions and the growing demand for faster, easier and more convenient benefit services, the insurance and benefits industries are banking on HSA medical payments being their next big growth conduit. Studies suggest that HSAs in the US reached $123.3 billion in assets in ~~2023~~2024 and 34.7 million consumers in 2023, an increase of more than 18% of assets over the prior year. This coupled with the continued growth of the Canadian group insurance industry illustrates the emerging opportunity for innovative health payment services. We intend to initially launch our products in Canada. We believe that Canadian businesses are embracing a ~~new~~ new healthcare financing vehicle to provide greater value to employees, increase profitability and get more return from their investment. We intend to provide them with services to capture this market opportunity.

Description of Health Spending Account (“"HSA”")

An HSA is a uniquely designed account established exclusively and specifically for the purpose of health care spending. An employer deposits funds into a special account for the employee. These funds can be used to pay for eligible medical and related health care expenses for the employee and their dependents. HSAs provide employers and employees with greater control in both the amount of funds invested and how these funds are used.

Services and infrastructure provided by PreAxia enable organizations and individuals to eliminate all paper involved in the management of these accounts and benefit through savings in time and money.

The PreAxia platform for processing and managing accounts, including cardholder and customer account management, reconciliation and financial settlement, and customer reporting is fully operational.

Over time, the Company will evaluate opportunities for forms of virtual banking and PayPal-type services. One opportunity seen as particularly relevant to the health care market is to offer instant issuing services that enable corporations to issue and fund Pre-Paid ~~Interac~~lnterac or credit card services to beneficiaries in real time. If implemented, the beneficiary will most likely select a personal identification number (“"PIN”") using a PIN and card activation terminal, thus gaining instant access to funds that can be reloaded. This consideration would require development of ~~software~~ software systems for the issuing of health payment cards and financial transaction processing services that would be fully managed by a data center.

Matching of consumers in need of health care products or services with providers is another area PreAxia intends to evaluate. Consumers managing their health care dollars through an online system will find convenience in seeking out health care professionals and services through the same system.4

Matching consumers in need of health care products or services with providers is another area PreAxia intends to evaluate. Consumers managing their health care dollars through an online system will find convenience in seeking out health care professionals and services through the same system.

Description of personal financial products

Our new subsidiaries, Zane Inc CA and Zane US Inc., will concentrate on developing and marketing personal financial tools. Zane's product philosophy centers on a fundamental belief: everyone deserves access to genius level financial guidance. Zane is building the financial operating system for Generation Z - an AI-powered super-app that not only tracks money but also actively and automatically manages it. We're creating what we call a "personal AI-banker in your pocket" - a revolutionary platform that combines the entire world's banking and financial knowledge with an intimate understanding of each user's unique situation, goals, and needs.

The platform centers around three breakthrough innovations:

High-Interest Super Account (HISA): Eliminates boundaries between checking, savings, and investment accounts, allowing every dollar to grow at a 10% APY average while remaining instantly accessible

Smart Debit Card: Enforces daily spending limits based on predictive budgeting, making overspending physically impossible while building credit automatically

MoneyNet: A distributed financial network monitors all user accounts across every institution, automatically orchestrating fund movements to prevent overdrafts, maximize returns, and minimize fees

Distribution Methods and Marketing Strategy

PreAxia and ~~operates~~Zane operate on a Cloud Computing ~~Platform~~ Platforms that makes it accessible to anyone with a personal computer and Internet access. The preliminary market for PreAxia’'s HSA Management Solution is small and medium sized companies that are not currently well served by the current group benefits model. The financial ~~benefits~~ benefits of the PreAxia business model, however, are also relevant to larger employers and we believe that these larger employers will migrate to the PreAxia product over time.

PreAxia’'s marketing strategy is to promote its existing platform direct to consumers and businesses, and to the groups that most need access to its independent brokers, financial ~~advisors~~ advisors and small to medium sized businesses. Brokers should see PreAxia as a superior method of promoting and supporting HSAs that allow ~~them~~ them to earn above average commission rates on invested funds. Financial advisors should see PreAxia in a similar way as brokers except that there is the additional benefit of tax reduction. Small to medium sized businesses, which are expected to drive the growth in business, should see PreAxia as offering financial savings to the company and to employees by offering personal health care benefits through an HSA, along with the same conveniences they have come to expect from other services they currently utilize over the Internet. It is expected that the group benefits market will subsequently follow as they too realize the advantages of PreAxia over their current HSA offerings. PreAxia has begun and will continue to seek opportunities with lead customers and alliance partners to establish reference-able, high-profile implementations and market-leading, early-adopter firms for further developing innovative products and services. The Company intends to design solutions targeted towards corporate financial management, financial risk, audit management and cash management while targeting product/service management as a support to financial management.

WePreAxia ~~anticipate~~and ~~that~~Zane ~~the~~operate ~~prime~~as ~~target~~a ~~for services~~financial ~~will~~technology becompany ~~small~~structured to ~~medium~~navigate ~~sized~~the ~~organizations~~complex ~~that~~regulatory ~~are~~landscape ~~not~~while ~~adequately~~maintaining ~~served~~agility byto ~~the~~innovate ~~current~~rapidly. ~~insurance~~We're ~~and~~establishing dual ~~group~~headquarters ~~benefits~~to ~~offerings.~~serve ~~These organizations~~our ~~should~~primary ~~realize~~markets ~~significant~~effectively, ~~benefits~~with intechnology ~~both~~development ~~cost~~centered ~~and~~in ~~time~~Calgary, ~~savings~~Canada, byand ~~utilization~~regulatory ofoperations managed ~~PreAxia~~from ~~technology~~major ~~while~~financial ~~providing~~centers ~~their employees~~in ~~with~~both anthe ~~increased~~United ~~level~~States ofand ~~benefits~~Canada.

PreAxia intends to achieve service volume and the associated economies of scale through marketing directly to select target customers that provide the necessary transaction volumes, ~~through~~ through market specific channel partners and through an education based public relations strategy geared to the small to mid- sized employers including the brokers and financial advisors utilized by these businesses. The channel strategy is supported in the solution design, as multiple channel partners may require custom pricing and compensation.

It is our Company’s intention that brokers and financial advisors will aggressively promote their PreAxia supported HSA offerings due to the quality of product, higher margins and because of the non-competitive relationship with PreAxia.

PreAxia has identified the following “channels” through which it will target prime end market customers:

 Independent brokers that sell, or desire to sell, Health Spending Accounts

 Financial advisors who manage funds and advise on tax saving strategies for individuals and corporations

 Accountants and bookkeepers who regularly advise businesses on financial and operational matters

 Benefits managers/adjudicators, including insurance, health or outsourced government benefits processors that manage benefits disbursement

 Issuer banks, including partner banks that enable the issuance of Health Cards and/or sell insurance products

 Application providers, including software manufacturers selling into the target vertical markets

 Professional services, including consulting, development and implementation companies serving the target vertical markets

PreAxia intends to establish several key customer reference accounts, channel marketing partners and technology alliances. These corporate relationships are relevant to advancing our company’'s goals in 2025 and beyond for achieving a prime position in the Canadian marketplace and establishing a solid service foundation.

Competitive Business Conditions and our Company’'s Competitive Position in the Industry and Methods of Competition

PreAxia intends to offer a combination of products ~~and~~ and services in its solution. However, there are other providers of components or versions of the Health Spending Accounts in the marketplace. Our approach is to provide a high value added and robust capability within specific target markets, rather than the “"one size fits all”" and mass volume approach of the larger companies in the Canadian and international market. This is consistent with the PreAxia platform which has been designed for expansion in the United States and internationally. The following are some of the leading ~~providers~~ providers of products and services that are or may be potential competitors in PreAxia’'s target markets:

· • Benecaid has become a leading provider of Health Spending Accounts in Canada by offering an easy-to-understand product through brokers and also directly through the company.

· • Olympia Benefits has become a leading provider of Health Spending Accounts in Canada by offering a “"Cost Plus”" version of HSAs that has become popular in the marketplace.

· • QuickCard is a provider of Health Spending Accounts and group insurance products. They are partially differentiated from competitors by virtue of a “"credit type card” " that is used to pay for qualified health products and services.

· • ~~League,~~Zelle ~~which operates in Canada and the US,~~ offers amobile ~~range~~internet ofmoney ~~health benefit services including Health Spending Accounts~~management.

· Most major insurance companies offer some version of HSAs to their customers.

· Many brokers have created HSA products for their clients.

· Many accounting and financial services firms have created their own HSA products to offer to their clients.

US and International Markets

·PreAxia- ~~HealthEquity~~Zane occupies a unique position in the fintech ecosystem, best understood not as a ~~publicly~~competitor ~~listed~~to ~~company~~existing ~~offering~~players ~~HSAs~~but inas a new category entirely. We're not building a better budgeting app - we're eliminating the ~~USA,~~need ~~manages~~for ~~over~~budgeting ~~$22~~by ~~billion~~giving inusers ~~deposits~~a personal AI banker that handles it automatically. ItWe're not iscreating ~~one~~another ofdigital ~~the~~bank ~~largest~~- ~~dedicated~~we're ~~health~~making ~~account~~traditional ~~custodians~~banking inboundaries ~~the~~irrelevant ~~USA~~through ~~and~~an ~~serves~~AI ~~more~~advisor that orchestrates across all institutions. This positioning allows us to partner with, rather than 12compete ~~million~~against, ~~accounts~~many ~~owned~~existing players. Universities see us as a tool to improve student retention by ~~individuals~~giving every student a personal financial advisor. Employers view us as an employee benefit that provides each worker with genius-level financial guidance at ~~more~~virtually ~~than~~no ~~24,000~~cost ~~companies~~to ~~across~~the company. Even traditional banks will eventually see us as a path to remain relevant to the ~~country~~younger customers they're currently losing. Our long-term vision extends beyond personal finance into the broader economic ecosystem. By aggregating transaction-level data across millions of users, we'll possess unprecedented insights into consumer behavior, enabling us to offer predictive analytics to retailers, manufacturers, and service providers. This creates a virtuous cycle where our B2B revenue streams subsidize free services for consumers while our consumer growth drives more valuable B2B insights.

· HSA Bank, a division of Webster Bank, offers Health Spending Accounts and related offerings to the consumer-directed healthcare industry.

· Fidelity Investments offers a Health Spending Account to businesses as a means of controlling costs while providing employee health benefits.

Intellectual Property and Patent Protection

At present, PreAxia-Zane does not have any pending or registered ~~patents~~ patents or any trademarks.

Research and Development

For the year ended May 31, ~~2024~~2025, and ~~2023~~2024, we incurred $~~5,632~~0 and $65,~~528~~632 in research and development expenses.

Employees

PreAxia has one full-time consultant, our President, Mr. Tom Zapatinas effective September 1, 2011. We anticipate that we will hire additional key staff throughout ~~2024~~2025 and 2025 in areas of administration/accounting, business development, operations, sales/marketing and research/development.

ITEM 1AlA. RISK FACTORS

Not applicable to smaller reporting companies.

ITEM 1BlB. UNRESOLVED STAFF COMMENTS

Not applicable.

ITEM 2. PROPERTIES

Although much of the research and development and the building of our system have been completed, our Calgary office closed during the 2017 fiscal year, and we presently operate out of remote employment sites.

ITEM 3. LEGAL PROCEEDINGS

We know of no material, active or pending legal proceedings against our company, nor are we involved as a plaintiff in any material proceeding or pending litigation. There are no proceedings in which any of our directors, officers or affiliates, or any registered or beneficial shareholder, is an adverse party or has a material interest adverse to our interest.

ITEM 4. MINE SAFETY DISCLOSURES

Not applicable.

PART II

ITEM 5. MARKET FOR REGISTRANT’'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

Market Information

Our common stock is quoted on the OTC Markets Pink Sheets under the symbol PAXH.

Following is a report of high and low bid prices for each quarterly period for the years ended May 31, ~~2024~~2025, and ~~2023~~2024.

Quarter Ended	High	Low
05/31/2025	$0.057	$0.057
02/28/2025	$0.057	$0.057
11/30/2024	$0.057	$0.057
08/31/2024	$0.057	$0.0565
05/31/2024	$0.057	$0.057
02/28/2024	$0.057	$0.057
11/30/2023	$0.057	$0.057
08/31/2023	$0.057	$0.0565
05/31/2023	$0.0565	$0.0565
02/28/2023	$0.45	$0.0565
11/30/2022	$0.0565	$0.0565
08/31/2022	$0.25	$0.0565

Holders of Our Common Stock

As of ~~October~~August 1031, ~~2024~~2025, there were 8392 holders of record of our common stock and 1943,~~767~~024,~~698~~000 shares of common stock outstanding and 10,800,000 in treasury stock pending vesting. There is currently only one class of common stock with one vote per share.

~~There~~Pacific Stock isTransfer ~~currently~~Company ~~only~~of ~~one~~6725 ~~class~~Via ofAustin ~~common~~Parkway, ~~stock~~Suite ~~with~~300, ~~one~~Las ~~vote~~Vegas, Nevada 89119, is the ~~per~~registrar ~~share~~and transfer agent for our common shares.

~~Pacific Stock Transfer Company of 6725 Via Austin Parkway, Suite 300, Las Vegas, Nevada 89119, is the registrar and transfer agent for our common shares.~~Dividends

~~Dividends~~We have not declared or paid dividends on shares of our common stock and we do not expect to declare or pay dividends on shares of our common stock for the foreseeable future. We intend to retain earnings, if any, to finance the development and expansion of our business. Our future dividend policy will be subject to the discretion of our board of directors and will depend upon our future earnings, if any, our financial condition, and other factors deemed relevant by the board.

WeEquity ~~have~~Compensation not declared or paid dividends on shares of our common stock and we do not expect to declare or pay dividends on shares of our common stock for the foreseeable future. We intend to retain earnings, if any, to finance the development and expansion of our business. Our future dividend policy will be subject to the discretion of our board of directors and will depend upon our future earnings, if any, our financial condition, and other factors deemed relevant by the board.Plans

7We adopted and approved our current stock option plan on January 28, 2010. This plan was re-affirmed in July 2025 for 2,400,000 stock options. The following table provides a summary of the number of options granted under our stock option plan, the weighted average exercise price and the number of options remaining available for issuance all as of May 31, 2025.

~~Equity Compensation Plans~~7

We adopted and approved our current stock option plan on January 28, 2010. The following table provides a summary of the number of options granted under our stock option plan, the weighted average exercise price and the number of options remaining available for issuance all as of May 31, 2024.

	Number of securities to be issued upon exercise of outstanding options, warrants and rights	Weighted-average exercise price of outstanding options, warrants and rights	Number of securities remaining available for future issuance under equity compensation plans
Equity compensation plans approved by security holders	None	NIA	2,400,000
Equity compensation plans not approved by security holders	None	NIA	None
Total	None	NIA	2,400,000

	Number of securities to be issued upon exercise of outstanding options, warrants and rights	Weighted-average exercise price of outstanding options, warrants and rights	Number of securities remaining available for future issuance under equity compensation plans
Equity compensation plans approved by security holders	None	N/A	2,000,000
Equity compensation plans not approved by security holders	None	N/A	None
Total	None	N/A	2,000,000

Recent Sales of Unregistered Securities

~~Recent~~We ~~Sales~~have not ofsold ~~Unregistered~~any equity securities that were not registered under the Securities Act of 1933 that were not previously reported in a quarterly report on Form I 0-Q or in a current report on Form 8-K during the fiscal year ended May 31, 2025.

WePurchases ~~have not sold any equity securities that were not~~of ~~registered~~Equity ~~under the~~ Securities ~~Act~~by ~~of 1933 that were not previously reported in a quarterly report on Form 10-Q or in a current report on Form 8-K during~~ the ~~fiscal~~Issuer ~~year~~and ~~ended~~Affiliated ~~May 31, 2024.~~Purchasers

~~Purchases~~We did not purchase any of ~~Equity~~our ~~Securities~~shares byof ~~the~~common ~~Issuer~~stock ~~and~~or ~~Affiliated~~other securities ~~Purchasers~~during our fiscal years ended May 31, 2025, or 2024.

We did not purchase any of our shares of common stock or other securities during our fiscal years ended May 31, 2024 or 2023.

ITEM 6. SELECTED FINANCIAL DATA

Not Applicable.

ITEM 7. MANAGEMENT’'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

General Overview

Corporate Overview

PreAxia Health Care Payment Systems Inc. (the ~~“Company”~~ "Company" or “"PreAxia”") was incorporated on April 3, 2000 in the State of Nevada.

General Overview

PreAxia Payment is a company which ~~intends~~ intends to deliver a comprehensive suite of solutions and services directed at the emerging health payment market, specifically the opportunities tied to the growth of health spending accounts (“"HSA”''). There is a rapid shift in healthcare traditional payment models to consumer-directed healthcare that is creating significant opportunities for financial services and insurance industries to deliver ~~new~~ new dynamic products to this emerging market.

Spawned by the need to address escalating health care costs, changes in the regulatory environment and the growing consumer desire for greater participation in the management of their health benefits, the boundaries between health care and the financial services industries are becoming increasingly blurred. With the trend towards self-directed health payment solutions and the growing demand for faster, easier and more convenient benefit services, the insurance and benefits industries are banking on HSA medical payments being their next big growth conduit. Studies suggest that HSAs in the US reached $123.3 billion in assets in 2023 and 37.4 million consumers in 2023, an increase of more than 18I 8% of assets over the prior year. This coupled with the continued growth of the Canadian group insurance industry illustrates the emerging opportunity for innovative health payment services. We intend to initially launch our products in Canada. We believe that Canadian businesses are embracing a new healthcare financing vehicle to provide greater value to employees, increase profitability and get more return from their investment. We intend to provide them with services to capture this market opportunity.

8Plan of Operation

~~Plan~~Over ofthe next ~~Operation~~twelve months, we plan to:

~~Over~~(a) Raise ~~the~~additional ~~next~~capital to ~~twelve~~execute ~~months,~~our weprevious and ~~plan~~new ~~to:~~business plans;

(~~a) Raise additional capital to execute our business plans; (~~b) Develop ~~Penetrate the health care processing markets in Canada, the United States and worldwide, by continuing to develop innovative health care processing products and services; (c) Build up~~ a ~~network~~suite of ~~strategic~~personal ~~alliances~~financial ~~with several types of health insurance companies, governments and other alliances in various vertical markets, and; (d) Fill the positions of senior~~ management ~~sales,~~applications ~~administrative~~ and ~~engineering positions.~~websites,

~~Liquidity~~(c) Penetrate the United States and ~~Capital~~Canadian ~~Resources~~markets, by continuing to develop innovative financial processing products and services;

~~As of May 31, 2024, PreAxia’s cash balance was~~(d) ~~$14~~Build ~~compared~~up toa $6network as of ~~May~~strategic ~~31,~~alliances ~~2023. Our~~with ~~Company~~several ~~will~~types beof ~~required~~banking toand ~~raise capital to fund our operations. PreAxia~~insurance ~~had a working capital deficit of $2~~companies,~~396,179~~ asgovernments ofand ~~May~~other ~~31,~~alliances ~~2024,~~in ~~compared~~various ~~with~~vertical ~~a working capital deficit of $2~~markets,~~296,730~~ ~~as of May 31, 2023.~~ and;

Our ability to meet our financial liabilities and commitments is primarily dependent upon the continued issuance of equity to new stockholders and our ability to achieve and maintain profitable operations. PreAxia's cash and cash equivalents will not be sufficient to meet its working capital requirements for the next twelve-month period. We will not initially have any cash flow from operating activities as we are in the startup stage. We project that we will require an estimated $1,000,000 over the next twelve-month period to pay our arms-length creditors approximately $300,000 plus an additional $700,000 to complete our business plan. The Company plans to raise the capital required to satisfy our immediate short-term needs and additional capital required to meet our estimated funding requirements for the next twelve months primarily through the private placement of our equity securities or by way of loans or such other means as PreAxia may determine. 8

~~There are no assurances that we will be able to obtain~~(e) Fill the ~~funds~~positions ~~required for our continued operations. There can be no assurance that additional financing will be available to us~~of ~~when~~senior ~~needed~~management orsales, ifadministrative available, that it can be obtained on commercially reasonable terms. If we are not able to obtain the additional financing on a timely basis, we will not be able to meet our other obligations as they become due, and weengineering ~~will be forced to scale down or perhaps even cease the operation of our business~~positions.

~~There~~Liquidity ~~is substantial doubt about our ability to continue as a going concern as the continuation of our business is dependent upon obtaining further long-term financing, successful~~ and ~~sufficient market~~Capital acceptance of our products and achieving a profitable level of operations. The Company hopes to be able to attract suitable investors for our business plan, which will not require us to use our cash. There can be no assurance that the Company will be successful in this situation. The issuance of additional equity securities by us could result in a significant dilution in the equity interests of our current stockholders. Obtaining commercial loans, assuming those loans would be available, will increase our liabilities and future cash commitments.Resources

As of May 31, 2025, PreAxia's cash balance was $0 compared to $14 as of May 31, 2024. Our Company ~~working~~will be required to raise capital (to fund our operations. PreAxia had a working capital deficit) of $2,342,041 as of May 31, ~~2024~~2025, ~~and 2023~~compared iswith ~~summarized~~a working capital deficit of $2,396,179 as ~~follows:~~of May 31, 2024.

9Our ability to meet our financial liabilities and commitments is primarily dependent upon the continued issuance of equity to new stockholders and our ability to achieve and maintain profitable operations. PreAxia's cash and cash equivalents will not be sufficient to meet its working capital requirements for the next twelve-month period. We will not initially have any cash flow from operating activities as we are in the startup stage. We project that we will require an estimated $1,500,000 over the next twelve-month period to pay our arms-length creditors approximately $200,000 plus an additional $1,300,000 to complete our business plan. The Company plans to raise the capital required to satisfy our immediate short-term needs and additional capital required to meet our estimated funding requirements for the next twelve months primarily through the private placement of our equity securities or by way of loans or such other means as PreAxia may determine.

~~Working~~There are ~~Capital~~no assurances that we will be able to obtain the funds required for our continued operations. There can be no assurance that additional financing will be available to us when needed or, if available, that it can be obtained on commercially reasonable terms. If we are not able to obtain the additional financing on a timely basis, we will not be able to meet our other obligations as they become due, and we will be forced to scale down or perhaps even cease the operation of our business.

	May 31, 2024			May 31, 2023
Current Assets	$	14		$	6
Current Liabilities		(2,396,193	)		(2,296,736	)
Working Capital (Deficit)	$	(2,396,179	)	$	(2,296,730	)

There is substantial doubt about our ability to continue as a going concern as the continuation of our business is dependent upon obtaining further long-term financing, successful and sufficient market acceptance of our products and achieving a profitable level of operations. The Company hopes to be able to attract suitable investors for our business plan, which will not require us to use our cash. There can be no assurance that the Company will be successful in this situation. The issuance of additional equity securities by us could result in a significant dilution in the equity interests of our current stockholders. Obtaining commercial loans, assuming those loans would be available, will increase our liabilities and future cash commitments.

The ~~increase~~decrease in our working capital deficit of $9954,~~449~~ 152 was primarily due to ~~increases~~decreases in ~~accrued~~accounts ~~liabilities~~payable –of ($59,506), ~~related~~officer ~~party~~compensation accrual of $60100,000, settlement of ($134,794) in liabilities for unissued shares, and loans payable - shareholders of $1840,~~263~~536.

Off-balance Sheet Arrangements

We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to stockholders.

Results of Operations –- Years ended May 31, ~~2024~~2025, and ~~2023~~2024

For the years ended May 31, ~~2024~~2025, and ~~2023~~ 2024

Our operating results for the years ended May 31, ~~2024~~ 2025, compared to the years ended May 31, ~~2023~~2024, are described below:

Revenue

During the years ended May 31, ~~2024~~2025, and ~~2023~~ 2024, the Company had revenue of $0 and $0, respectively. The Company earns a 10% commission on amounts reimbursed for eligible expenses.

Expenses

Our total expenses for the year ended May 31, ~~2024~~ 2025, were $99152,~~449~~124 compared to $~~156~~99,~~266~~ 44 for the year ended May 31, ~~2023~~2024. The ~~decrease~~increase in total expenses of $5652,~~817~~675 for the year ending May 31, ~~2024~~ 2025, is due to aan ~~decrease~~increase in consulting fees of $6040,~~442~~000, increase in professional fees of $328,~~150~~824, ana ~~increase~~decrease of ($110,~~371~~517) in office and administration fees, and a decrease in research and development of ($~~896~~5,632).

Consulting Fees

During each of the years ended May 31, ~~2024~~2025, and ~~2023~~2024, Tom Zapatinas, the Chief Executive Officer and Director of the Company, earned $60100,000 and $~~120~~60,000, respectively, for consulting services provided to the Company, which is included in accounts payable and accrued liabilities – - related party. During the period from ~~December~~ June 1, ~~2023~~2024, to May 31, ~~2024~~2025, the Company did not accrue compensation to Tom Zapatinas.

Research and Development

Research and development expenses during the year ~~ended~~ ended May 31, ~~2024~~2025, decreased by $~~896~~5,632 to $50,~~632,~~ as compared to $65,~~528~~632 during the year ended May 31, ~~2023~~2024. The decrease is due to a decrease in software lease expenses from Microsoft.

Wages and Benefits

There were no wages and benefits during the years ended May 31, ~~2024~~2025, and ~~2023~~2024.

~~Office and Administration~~9

~~Office and administration expenses increased by $1,371 for~~Professional ~~the year ended May 31, 2024 due to an increase in office supply expense and filing fees.~~Fees

10Professional fees during the year ended May 31, 2025, increased by $28.824 to $47,478, as compared to $18,654 during the year ended May 31, 2024. Professional fees increased due to an increase in costs related to the audit.

~~Professional~~Interest ~~Fees~~Expense

~~Professional~~Interest ~~fees~~expense is ~~during~~$0 for the ~~year~~ years ended May 31, ~~2024 increased by $3~~2025,~~150~~ toand ~~$18~~2024,~~654,~~ asbecause accounts ~~compared~~payable toand ~~$15,504~~accrued ~~during~~liabilities ~~the~~- related ~~year ended May 31~~party, ~~2023.~~convertible ~~Professional~~note payable ~~fees~~- ~~increased~~related ~~due~~party ~~to an increase~~and inloans ~~costs~~payable ~~related~~- toshareholders are ~~accounting~~non-interest ~~assistance~~bearing.

~~Interest~~Gain ~~Expense~~on settlement

~~Interest~~The ~~expense~~Company isrecorded a $070,114 ~~for~~gain on the ~~years~~settlement ~~ended May 31,~~of ~~2024~~old ~~and 2023 because~~ accounts payable ~~and accrued liabilities – related party, convertible note payable – related party and loans payable – shareholders are non-interest bearing~~.

Critical Accounting Policies

We have identified certain accounting policies, ~~described~~ described below, that are the most important to the portrayal of our current financial condition and results of operations. Please refer to ~~Note~~ Note 2 of the accompanying consolidated financial statements for a full and complete disclosure of our accounting policies.

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not applicable.

~~ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA~~10

	Page
Report of Independent Public Accounting Firm (ID 6580)	F-1
Audited Consolidated Financial Statements
Consolidated Balance Sheets	F-3
Consolidated Statements of Operations and Comprehensive Loss	F-4
Consolidated Statements of Changes in Stockholders’ Deficit	F-5
Consolidated Statements of Cash Flows	F-6
Notes to Consolidated Financial Statements	F-7 to F-11

ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA


	Page
Consolidated Balance Sheets	F-1

Consolidated Statements of Operations and Comprehensive Loss	F-2

Consolidated Statements of Changes in Stockholders’ Deficit	F-3

Consolidated Statements of Cash Flows	F-4

Notes to Consolidated Financial Statements	F-5 to F-11

~~REPORT~~Notice: OFThis ~~INDEPENDENT~~filing ~~REGISTERED~~has not been audited or reviewed by a PCAOB Registered Accounting firm. As soon ~~PUBLIC~~as ~~ACCOUNTING~~an ~~FIRM~~audit for the financial statements has been completed, we will file an amendment to include the audit report.

~~To the Board of Directors and Stockholders~~11

Preaxia Healthcare Payment Systems Inc.

PreAxia Health Care Payment Solutions Inc
Consolidated Balance Sheets
As of May 31, 2025 and 2024 (Not audited or reviewed)


		May 31, 2025			May 31, 2024
Assets
Current assets
Cash and cash equivalents	$	—		$	14
		—			14

Property and equipment, net		—			—
Total assets	$	—		$	14

Liabilities and Shareholders' Deficit
Current liabilities
Accounts payable and accruals	$	43,681		$	95,301
Accruals and other current liabilities		468,726			71,609
Related party loans		1,829,623			2,228,885
Bank indebtedness		10			398
		2,342,041			2,396,193

		2,342,041			2,396,193

Commitments and Contingencies (Note 8)

Shareholders' Deficit
Common stock, 75,000,000 shares authorized, $0.001 par value,19,767,698 issued and outstanding on May 31, 2025, and 2024, respectively		19,768			19,768
Additional paid in capital		2,782,203			2,655,236
Stock subscription		7,825			—
Accumulated deficit		(5,210,390	)		(5,128,380	)
Accumulated other comprehensive income		58,553			57,197
Total shareholders' deficit		(2,342,041	)		(2,396,179	)

Total liabilities and shareholders' deficit	$	—		$	14

~~Calgary,~~See ~~Alberta~~Accompanying CANotes to the Consolidated Financial Statements

~~Opinion on the Financial Statements~~F-1

~~We have~~PreAxia ~~audited~~Health ~~the~~Care ~~accompanying consolidated balance sheets of Preaxia Healthcare~~ Payment ~~Systems~~Solutions Inc. ~~(the~~Consolidated ~~Company)~~Statements as of ~~May~~Operations ~~31,~~Years ~~2024 and~~Ended 2023, and the related consolidated statements of operations and comprehensive loss, stockholders’ deficit, and cash flows for the years then ended, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of May 31, ~~2024 and 2023~~2025, and ~~the results of its operations and its cash flows for the years then ended, in conformity with accounting principles generally accepted in the United States of America.~~2024

~~Going~~ ~~Concern~~(Not ~~Considerations~~audited or reviewed)

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. The Company has suffered recurring losses since inception, has a working capital deficit, and has not achieved profitable operations, which raises substantial doubt about its ability to continue as a going concern. Management’s plans in regard to these matters are described in Note 2. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.


	Year Ended May 31, 2025			Year Ended May 31, 2024
Revenues	$	—		$	—

General and administrative expenses
Labor and management		100,000			60,000
Professional fees		47,478			18,654
General and administration		4,646			15,163
Research and development		—			5,632
		152,124			99,449

Operating loss		(152,124	)		(99,449	)

Gain on settlement		(70,114	)		—
Ordinary loss before income taxes		(82,010	)		(99,449	)

Other comprehensive income		1,356			—
Less Income tax expense		—			—
Net loss	$	(53,687	)	$	(99,449	)

Weighted average shares		19,767,698			19,767,698
Earnings per share – basic and diluted	$	(0.00	)	$	(0.01	)

~~Basis~~See Accompanying Notes ~~for~~to ~~Opinion~~the Consolidated Financial Statements

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.F-2

~~We conducted~~PreAxia ~~our~~Health ~~audits~~Care inPayment ~~accordance~~Solutions ~~with~~Inc ~~the~~Consolidated ~~standards~~Statement of ~~the~~Changes ~~PCAOB.~~in ~~Those~~Members' ~~standards require that we plan~~ and ~~perform~~Shareholders’ ~~the~~Deficit ~~audits~~Years toEnded ~~obtain reasonable~~May ~~assurance~~31, ~~about whether the financial statements are free of material misstatement~~2025, ~~whether~~and ~~due~~2024 to(Not ~~error~~audited or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.reviewed)

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

	Number of shares		Common stock		Additional Paid in Capital		Subscriptions for Stock to be issued		Other Comprehensive Income		Accumulated deficit			Total
Balance, May 31, 2023		19,767,698	$	19,768	$	2,655,236	$	—	$	57,197	$	(5,028,931	)	$	(2,296,730	)
Net loss				—		—		—		—		(99,449	)		(99,449	)
Balance, May 31, 2024		19,767,698	$	19,768	$	2,655,236	$	—	$	57,197	$	(5,128,380	)	$	(2,396,179	)

Settlement on debt		—		—		126,967		—		—		—			126,967
Stock to be issued		—		—		—		7,825		—		—			7,825
Net loss		—		—		—		—		1,356		(82,010	)		(80,654	)
Balance, May 31, 2025		19,767,698	$	19,768	$	2,782,203	$	7,825	$	58,553	$	(5,210,390	)	$	(2,342,041	)

~~F-1~~ See Accompanying Notes to the Consolidated Financial Statements

~~Critical Audit Matters~~F-3

Critical audit matters are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. We determined that there were no critical audit matters.

PreAxia Health Care Payment Solutions Inc
Consolidated Statement of Cash Flows
Years Ended May 31, 2025 and 2024 (Not audited or reviewed)

	Year Ended May 31, 2025			Year Ended May 31, 2024
Cash used in Operating activities
Net loss	$	(80,654	)	$	(99,449	)
Less comprehensive income		(1,356	)		—
Ordinary loss		(82,010	)		(99,449	)
Items not affecting cash:
Loss on settlement of debt		(70,114	)		—
Changes in non-cash working capital:
Accounts payable		10,608			8,561
Other current liabilities		100,000			60,000
Net cash flows from operating activities		(41,516	)		(30,888	)

Investing activities
Net cash flows from investing activities		—			—

Financing activities
Bank overdrafts		(388	)		398
Proceeds from related parties		30,534			32,156
Repayments to related parties		(97,825	)		(1,658	)
Stock subscriptions		7,825			—
Proceeds from sale of stock		100,000			—
Net cash flows from financing activities		40,146			30,896

Foreign currency change		1,356			—

Increase (decrease) in cash during the year		(14	)		8
Cash, beginning of the period		14			6
Cash, end of the period	$	—		$	14

~~GreenGrowthCPAs~~See ~~PCAOB~~Accompanying IDNotes ~~Number~~to ~~6580 We have served as~~ the ~~Company’s~~Consolidated Financial ~~auditor since 2023. Los Angeles, California October 10, 2024~~Statements

F-24

PREAXIA HEALTH ~~HEALTHCARE~~CARE PAYMENT SYSTEMS INC. ~~CONSOLIDATED BALANCE SHEETS~~

		May 31, 2024			May 31, 2023
ASSETS
Current assets
Cash	$	14		$	6
Total current assets		14			6
Total assets	$	14		$	6
LIABILITIES
Current liabilities
Bank indebtedness	$	398		$	—
Accounts payable and accrued liabilities		166,909			158,348
Accounts payable and accrued liabilities - related party		300,000			240,000
Advances - related party		77,187			64,952
Loans payable - shareholders		191,330			173,067
Liability for unissued shares		134,792			134,792
Promissory note - related party		466,817			466,817
Convertible note payable - related party		1,058,760			1,058,760
Total current liabilities		2,396,193			2,296,736
Total liabilities		2,396,193			2,296,736
Commitments and Contingencies		—			—
STOCKHOLDERS' DEFICIT
Common Stock, $0.001 par value, 75,000,000 shares authorized 19,767,698 shares issued and outstanding		19,768			19,768
Additional paid-in capital		2,655,236			2,655,236
Accumulated other comprehensive income		57,197			57,197
Accumulated deficit		(5,128,380	)		(5,028,931	)
Total stockholders' deficit		(2,396,179	)		(2,296,730	)
Total liabilities and stockholders' deficit	$	14		$	6

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

~~See~~May ~~Accompanying~~31, ~~Notes~~2025 and ~~to the Consolidated Financial Statements~~2024

~~F-3~~Unaudited (Not audited or reviewed)

~~PREAXIA~~Note ~~HEALTHCARE~~1 ~~PAYMENT~~- ~~SYSTEMS~~Organization ~~INC.~~and ~~CONSOLIDATED~~Description of ~~STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS~~Business

		Years ended
		May 31, 2024			May 31, 2023
Revenue	$	—		$	—
Operating expenses
Consulting		60,000			120,442
Professional		18,654			15,504
Office and administration		15,163			13,792
Research and development		5,632			6,528
Total operating expenses		99,449			156,266
Loss from operations		(99,449	)		(156,266	)
Net loss and comprehensive loss	$	(99,449	)	$	(156,266	)
Net loss per share - basic and diluted	$	(0.01	)	$	(0.01	)
Weighted average number of common shares outstanding - basic and diluted		19,767,698			19,767,698

PreAxia Health Care Payment Systems Inc. (the "Company" or "PreAxia") was incorporated on April 3, 2000, in the State of Nevada. On May 31, 2005, the Company acquired all of the outstanding stock of Tiempo de Mexico Ltd. ("Tiempo") in exchange for 5,000,000 shares of the common stock of the Company with a par value of $0.001. The Company had no operations prior to the date of the aforementioned acquisition.

~~See~~The ~~Accompanying~~business objective ~~Notes~~of tothe Company is the ~~Consolidated~~development, ~~Financial~~distribution, ~~Statements~~marketing and sale of health care payment processing services and personal financial management applications, websites, and products. The Company’s products are in the development stage.

~~F-4~~The operations of the Company are expected to be primarily undertaken by its wholly owned subsidiary, PreAxia Health Care Payment Ltd. ("PreAxia Payment"), incorporated pursuant to the laws of the Province of Alberta on November 26, 2015.

PREAXIA HEALTHCARE PAYMENT SYSTEMS INC.
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' DEFICIT
	Common Stock				Additional Paid-in		Accumulated Other Comprehensive		Accumulated			Total Stockholders'
	Shares		Amount		Capital		Income		Deficit			Deficit
Balance, May 31, 2023	19,767,698	$	19,768	$	2,655,236	$	57,197	$	(5,028,931	)	$	(2,296,730	)
Net loss and comprehensive loss	—		—		—		—		(99,449	)		(99,449	)
Balance, May 31, 2024	19,767,698	$	19,768	$	2,655,236	$	57,197	$	(5,128,380	)	$	(2,396,179	)
	Common Stock				Additional Paid-in		Accumulated Other Comprehensive		Accumulated			Total Stockholders'
	Shares		Amount		Capital		Income		Deficit			Deficit
Balance, May 31, 2022	19,767,698	$	19,768	$	2,655,236	$	57,197	$	(4,872,665	)	$	(2,140,464	)
Net loss and comprehensive loss	—		—		—		—		(156,266	)		(156,266	)
Balance, May 31, 2023	19,767,698	$	19,768	$	2,655,236	$	57,197	$	(5,028,931	)	$	(2,296,730	)

~~See Accompanying Notes to the Consolidated Financial Statements~~F-5

FNote 2 -5 Summary of Significant Accounting Policies

~~PREAXIA~~This ~~HEALTHCARE~~summary ~~PAYMENT~~of significant ~~SYSTEMS~~accounting ~~INC~~policies of the Company is presented to assist in understanding the Company's consolidated financial statements. The ~~CONSOLIDATED~~consolidated ~~STATEMENTS~~financial OFstatements ~~CASH~~and ~~FLOWS~~notes are representations of the Company's management who are responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America and have been consistently applied in the preparation of the consolidated financial statements, which are stated in U.S. Dollars.

		Year ended
		May 31, 2024			May 31, 2023
Cash flows from operating activities
Net loss	$	(99,449	)	$	(156,266	)
Change in operating assets and liabilities
Increase in accounts payable and accrued liabilities - related party		60,000			120,000
Increase (decrease) in accounts payable and accrued liabilities		8,561			(1,351	)
Cash flows used in operating activities		(30,888	)		(37,617	)
Cash flows from investing activities		—			—
Cash flows from financing activities
Bank indebtedness		398			—
Advances - loans payable - shareholders		18,263			4,992
Advances - related party		13,893			33,157
Repayment of advances - related party		(1,658	)		(785	)
Net cash provided by financing activities		30,882			37,364
Net change in cash		8			(253	)
Cash, beginning of the period		6			259
Cash, end of the period	$	14		$	6
Supplemental Disclosure:
Cash paid for income taxes	$	—		$	—
Cash paid for interest	$	—		$	—

Principles of Consolidation

~~See~~The ~~Accompanying~~consolidated financial ~~Notes~~statements toinclude the ~~Consolidated~~accounts ~~Financial~~of ~~Statements~~the Company and its wholly owned subsidiaries (i) PreAxia Health Care Payment Ltd., and (ii) Zane Inc CA, All inter-company accounts and transactions have been eliminated in consolidation.

~~F-6~~Going Concern

~~PREAXIA~~The accompanying ~~HEALTH~~consolidated ~~CARE~~financial ~~PAYMENT~~statements ~~SYSTEMS~~have ~~INC~~been prepared assuming the Company will continue as a going concern, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. During the year ended May ~~NOTES~~31, TO2025, ~~THE~~the ~~CONSOLIDATED~~Company ~~FINANCIAL~~incurred ~~STATEMENTS~~a net loss of $80,654 and used cash in operating activities of $41,516, and as of May 31, ~~2024~~2025, had a stockholders' deficit of $2,342,041 and ~~2023~~an accumulated deficit of $5,210,390. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern within one year of the date that the consolidated financial statements are issued. The Company's consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty should we be unable to continue as a going concern.

~~Note~~The 1Company's –ability to ~~Organization~~continue as a going concern is dependent upon its ability to develop additional sources of capital and ~~Description~~to ultimately achieve profitable operations. Currently, the Company does not have significant cash or other material assets, nor does it have operations or a source of ~~Business~~revenue sufficient to cover its operating costs and allow it to continue as a going concern. The Company's officers or principal shareholders are committed to making advances or loans to pay certain legal, accounting, and administrative costs.

~~PreAxia~~The ~~Health~~Company ~~Care~~hopes to ~~Payment~~be ~~Systems~~able ~~Inc.~~to ~~(the~~attract ~~“Company” or~~suitable ~~“PreAxia”)~~investors ~~was~~for ~~incorporated~~our onbusiness ~~April 3~~plan, ~~2000~~which inwill ~~the~~not ~~State~~require ofus ~~Nevada~~to use our cash. OnThere ~~May~~can ~~31,~~be ~~2005,~~no assurance that the Company ~~acquired~~will ~~all~~be ofsuccessful ~~the~~in ~~outstanding stock~~this ofsituation. ~~Tiempo~~Even deif ~~Mexico~~the ~~Ltd.~~Company ~~(“Tiempo”)~~is inable ~~exchange~~to ~~for~~obtain 5additional financing,~~000,000~~ ~~shares~~it ofmay ~~the~~contain ~~common~~undue ~~stock~~restrictions on ofour ~~the~~operations, ~~Company~~in ~~with~~the acase ~~par value~~ of ~~$0.001.~~debt ~~The~~financing, ~~Company~~or ~~had~~cause nosubstantial ~~operations~~dilution ~~prior~~for toour stockholders, in the ~~date~~case of ~~the~~equity ~~aforementioned acquisition~~financing.

~~The~~Cash ~~business objective of the Company is the development, distribution, marketing~~ and ~~sale of health care payment processing services and products. The Company has realized only nominal revenues~~Cash ~~from its planned operations.~~ Equivalents

The ~~operations of the~~ Company ~~are expected to be primarily~~considers ~~undertaken~~all byhighly ~~its~~liquid ~~wholly~~debt ~~owned~~instruments ~~subsidiary,~~with ~~PreAxia~~an ~~Health~~original ~~Care~~maturity ~~Payment~~of ~~Ltd.~~three ~~(“PreAxia~~months ~~Payment”),~~or ~~incorporated~~less ~~pursuant~~ to ~~the~~ ~~laws~~be ofcash ~~the Province of Alberta on November 26, 2015~~equivalents.

~~PreAxia~~Use ~~Payment is in the process~~ of ~~developing an online access system creating a health spending account that will facilitate card payment and processing services to third-party administrators, insurance companies and others.~~Estimates

~~Note~~The 2preparation of –the ~~Summary~~Company's consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in these consolidated financial statements and accompanying notes. Although these estimates are based on management's knowledge of ~~Significant~~current ~~Accounting~~events and actions that our company may undertake in the ~~Policies~~future, actual results could differ from those estimates.

This summary of significant accounting policies of the Company is presented to assist in understanding the Company’s consolidated financial statements. The consolidated financial statements and notes are representations of the Company’s management who are responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America and have been consistently applied in the preparation of the consolidated financial statements, which are stated in U.S. Dollars.F-6

~~Principles~~Foreign Currency ~~of Consolidation~~Translation

The functional ~~consolidated~~currency ~~financial~~of ~~statements include~~ the ~~accounts~~ ofCompany is the ~~Company~~United ~~and~~States ~~its~~dollar. ~~wholly-owned~~The ~~subsidiaries~~functional ~~(i)~~currency ~~PreAxia~~of ~~Health~~the ~~Care~~Subsidiaries ~~Payment~~is ~~Systems~~the ~~Inc~~Canadian dollar., Assets ~~incorporated~~and ~~pursuant~~liabilities toin the ~~laws of~~accompanying ~~the~~consolidated ~~Province~~financial ofstatements ~~Alberta~~are ontranslated ~~January~~into ~~28,~~United ~~2008~~States dollars ~~(ii)~~at ~~PreAxia~~the ~~Canada~~exchange ~~Inc.,~~rate ~~incorporated~~in ~~pursuant~~effect toat the ~~laws~~balance ofsheet ~~the~~date and ~~Province~~capital ofaccounts ~~Alberta on~~are ~~January~~translated ~~28,~~at ~~2008~~historical ~~and~~rates. ~~(iii)~~Income ~~PreAxia~~statement ~~Health~~accounts ~~Care~~are ~~Payment~~translated ~~Ltd.,~~at ~~incorporated~~the ~~pursuant~~average torates of exchange prevailing during the ~~laws~~period. ofTranslation adjustments arising from the ~~Province~~use of ~~Alberta~~differing onexchange ~~November 26,~~rates ~~2015~~from ~~(collectively,~~period ~~the~~to ~~“Subsidiaries”).~~period ~~All~~are ~~inter-company~~included ~~accounts~~in ~~and~~the accumulated ~~transactions~~other ~~have~~comprehensive ~~been~~income ~~eliminated~~(loss) account in ~~consolidation~~stockholders' deficit.

~~Going~~Transactions undertaken ~~Concern~~in currencies other than the functional currency of the entity are translated using the exchange rate in effect as of the transaction date. Any transaction exchange gains and losses are included in the statement of operations and comprehensive loss.

The ~~accompanying consolidated financial statements have been prepared assuming the~~ Company's ~~will continue as a going concern, which contemplates the realization of assets and satisfaction~~reporting ofcurrency ~~liabilities~~is in the ~~normal~~U.S. ~~course of business~~dollar. ~~During~~All ~~the~~transactions ~~year~~initiated ~~ended~~in ~~May~~Canadian ~~31,~~Dollars ~~2024,~~are ~~the~~translated ~~Company~~into ~~incurred~~U.S. adollars ~~net~~in ~~loss~~accordance ofwith ~~$99,449 and used~~Accounting ~~cash~~Standards inCodification ~~operating~~("ASC") ~~activities of $~~830-30,~~888,~~ ~~and~~"Translation as of ~~May~~Financial 31Statements," ~~2024, had a stockholders’ deficit of $2,396,179 and an accumulated deficit of $5,128,380. These factors, among others, raise substantial doubt about the Company’s ability to continue~~ as a going concern within one year of the date that the consolidated financial statements are issued. The Company’s consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty should we be unable to continue as a going concern.follows:

~~The~~i) assets ~~Company’s~~and ~~ability~~liabilities toare ~~continue~~translated asat athe ~~going concern~~closing israte ~~dependent~~at ~~upon~~the ~~its~~date ~~ability~~of tothe ~~develop~~balance sheet ~~additional sources~~ of ~~capital~~1.00 ~~and~~US ~~to ultimately achieve profitable operations~~Dollar=1. ~~Currently,~~3860 ~~the~~Canadian ~~Company~~Dollars ~~does~~(May ~~not~~31, ~~have~~2025), ~~significant~~1.00 ~~cash~~USD orDollar=0.7408 ~~other material assets~~GBP, ~~nor does it have operations or a source of revenue sufficient to cover its operating costs~~ and ~~allow~~1.00 itUS ~~to continue as a going concern~~Dollar=l.3643 ~~The Company’s officers or principal shareholders are committed~~Canadian toDollars ~~making~~(May ~~advances or loans to pay for certain legal~~31, ~~accounting~~2024), ~~and~~1.00 ~~administrative~~USD ~~costs~~Dollar=0. 7852 GBP;

~~The~~ii) income ~~Company~~and ~~hopes~~expenses toare betranslated ~~able~~at toaverage ~~attract~~exchange ~~suitable~~rates ~~investors~~ for ~~our business plan, which will not require us to use our cash. There can be no assurance that~~ the ~~Company~~year ~~will~~ended ~~be successful in this~~May ~~situation. Even if the Company is able to obtain additional financing~~31, it2025 ~~may~~of ~~contain~~1.00 ~~undue~~US ~~restrictions~~Dollar= on1.3957 Canadian ~~our~~Dollars ~~operations,~~and in1.00 ~~the~~US ~~case~~Dollar= of1.3515 ~~debt~~Canadian ~~financing,~~Dollars or(May ~~cause substantial dilution for our stockholders~~31, ~~in the case of equity financing.~~2024);

~~Cash~~iii) all resulting exchange differences are recognized as other comprehensive income, a separate component of equity. The exchange differences during the year ended May 31, 2025, and ~~Cash~~2024 ~~Equivalents~~were $1,356 and $0, respectively.

~~The~~Fair ~~Company~~Value ~~considers all highly liquid debt instruments with an original maturity~~ of ~~three~~Financial ~~months or less to be cash equivalents.~~Instruments

~~Use~~The Company defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Management uses a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity's own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of ~~Estimates~~three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below:

~~The preparation of the Company’s consolidated~~□ ~~financial~~Level ~~statements~~1 in- ~~conformity~~Unadjusted ~~with~~quoted ~~accounting~~prices ~~principles generally accepted~~ in ~~the~~active ~~United~~markets ~~States requires management to make estimates and assumptions~~ that ~~affect the amounts reported in these consolidated financial statements and accompanying notes. Although these estimates~~ are ~~based~~accessible onat ~~management’s knowledge of current events and actions that our company may undertake in~~ the ~~future,~~measurement ~~actual~~date ~~results could~~for ~~differ~~identical, ~~from~~unrestricted ~~those~~assets ~~estimates~~or liabilities.

F□ Level 2 -7 Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability (e.g., interest rates); and inputs that are derived principally from or corroborated by observable market data by correlation or other means.

~~Foreign~~□ Level ~~Currency~~3 ~~Translation~~- Inputs that are both significant to the fair value measurement and unobservable.

The ~~functional~~fair ~~currency of the Company is the United~~value ~~States~~estimates ~~dollar.~~discussed ~~The~~herein ~~functional~~are ~~currency~~based ofupon ~~the~~certain ~~Subsidiaries~~market isassumptions ~~the Canadian dollar. Assets~~ and ~~liabilities~~pertinent ininformation ~~the~~available ~~accompanying~~to ~~consolidated financial~~management ~~statements~~as ~~are~~of ~~translated~~May ~~into~~31, ~~United States dollars at the exchange rate in effect at the balance sheet date~~ 2025, and ~~capital accounts are translated at historical rates~~2024. ~~Income~~The ~~statement~~carrying ~~accounts~~amounts ~~are translated at the average rates~~ of ~~exchange~~current ~~prevailing~~assets ~~during~~and ~~the~~current ~~period. Translation~~liabilities ~~adjustments~~approximate ~~arising~~their ~~from~~fair ~~the~~value ~~use~~because of ~~differing~~the ~~exchange~~relatively ~~rates from~~ short period toof ~~period~~time ~~are~~between ~~included in~~ the ~~accumulated~~origination ~~other~~of ~~comprehensive income~~these ~~(loss)~~instruments ~~account~~and intheir ~~stockholders’~~expected ~~deficit~~realization.

~~Transactions~~Research ~~undertaken in currencies other than the functional currency of the entity are translated using the exchange rate in effect as of the transaction date. Any transaction exchange gains~~ and ~~losses~~Development ~~are included in the statement of operations and comprehensive loss.~~Costs

The Company's ~~reporting~~expenses ~~currency~~research isand ~~the~~development ~~U.S.~~costs ~~dollar. All~~as ~~transactions~~incurred ~~initiated~~ in ~~Canadian~~accordance ~~Dollars~~with ~~are~~FASB ~~translated~~ASC ~~into~~730 U"Research and Development.S." ~~dollars~~During inthe ~~accordance~~years ~~with~~ended ~~Accounting~~May ~~Standards~~31, ~~Codification~~2025, ~~("ASC") 830-30~~and 2024, ~~"Translation~~we ofincurred ~~Financial~~$0 ~~Statements~~and $5,"632, asrespectively, in ~~follows:~~research and development expenses.

i)Software ~~assets~~Development and liabilities are translated at the closing rate at the date of the balance sheet of 1.00 US Dollar =1.3643 Canadian Dollars (May 31, 2024), 1.00 USD Dollar=0.7852 GBP, and 1.00 US Dollar=1.3605 Canadian Dollars (May 31, 2023), 1.00 USD Dollar=0.593 GBP;Costs

~~ii)~~The Company ~~income~~accounts ~~and~~for ~~expenses~~software ~~are~~development ~~translated~~costs atin ~~average~~accordance ~~exchange~~with ~~rates~~several ~~for~~accounting ~~the~~pronouncements, ~~year~~including ~~ended~~FASB ~~May~~ASC 31730, ~~2024~~"Research and ofDevelopment," ~~1.00~~FASB USASC ~~Dollar~~350-40, ="Internal-Use ~~1.3515~~Software," FASB ~~Canadian~~985-20, ~~Dollars~~"Costs ~~and~~of ~~1.00~~Computer USSoftware ~~Dollar~~to =be ~~1.3351~~Sold, ~~Canadian~~Leased, ~~Dollars~~or ~~(May~~Marketed" 31and FASB ASC 350-50, ~~2023);~~"Website Development Costs"

~~iii)~~Costs ~~all~~incurred during ~~resulting~~the ~~exchange~~period ~~differences~~of ~~are~~planning ~~recognized~~and asdesign, ~~other~~prior ~~comprehensive~~to ~~income~~the period determining technological feasibility, afor ~~separate~~all ~~component~~software ofdeveloped ~~equity.~~for ~~The~~use internal ~~exchange~~and ~~differences~~external, ~~during~~has ~~the~~been ~~year~~charged ~~ended~~to ~~May~~operations ~~31,~~in ~~2024~~the ~~and~~period ~~2023~~incurred ~~were~~as ~~insignificant~~research and nodevelopment ~~amounts~~costs. Additionally, costs incurred after determination of readiness for market have been ~~recorded~~expensed as research and development.

~~Fair~~The ~~Value~~Company will capitalize certain costs in the development of ~~Financial~~our ~~Instruments~~proprietary software (computer software to be sold, leased or licensed) for the period after technological feasibility was determined and prior to our marketing and initial sales.

The Company defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Management uses a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below:F-7

☐Website ~~Level~~development ~~1 - Unadjusted quoted prices in active markets that~~ costs are ~~accessible~~capitalized atunder the ~~measurement~~same ~~date~~criteria as ~~for~~our ~~identical,~~marketed ~~unrestricted assets or liabilities~~software.

☐Impairment of ~~Level 2~~ Long-lived Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability (e.g., interest rates); and inputs that are derived principally from or corroborated by observable market data by correlation or other means.Assets

☐Long-lived assets ~~Level~~such 3as -property, equipment ~~Inputs~~and ~~that~~identifiable intangibles are reviewed ~~both~~for ~~significant~~impairment whenever facts and circumstances indicate that the carrying value may not be recoverable. When required, impairment losses on assets to be held and used are recognized based on the fair value of the asset. The fair value ~~measurement~~is determined based on estimates of future cash flows, market value of similar assets, if available, or independent appraisals, if required. If the carrying amount of the long-lived asset is not recoverable from its undiscounted cash flows, an impairment loss is recognized for the difference between the carrying amount and ~~unobservable~~fair value of the asset. When fair values are not available, the Company estimates fair value using the expected future cash flows discounted at a rate commensurate with the risk associated with the recovery of the assets. We did not recognize any impairment losses for any periods presented.

~~The~~Commitments ~~fair value estimates discussed herein are based upon certain market assumptions~~ and pertinent information available to management as of May 31, 2024 and 2023. The carrying amounts of current assets and current liabilities approximate their fair value because of the relatively short period of time between the origination of these instruments and their expected realization.Contingencies

~~Research~~The Company follows subtopic 450-20 of the FASB Accounting Standards Codification to report accounting for contingencies. Liabilities for loss contingencies arising from claims, assessments, litigation, fines and ~~Development~~penalties ~~Costs~~and other sources are recorded when it is probable that a liability has been incurred and the amount of the assessment can be reasonably estimated.

~~The~~Revenue Company expenses research and development costs as incurred in accordance with FASB ASC 730 “Research and Development.” During the years ended May 31, 2024 and 2023, we incurred $5,632 and $6,528, respectively, in research and development expenses.Recognition

~~Software~~In accordance ~~Development~~with ~~Costs~~ASC 606, "Revenue from Contracts with Customers," revenue is recognized when a customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which we expect to be entitled to receive in exchange for these goods or services. ASC 606 requires us to apply the following steps: (1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, we satisfy the performance obligation.

~~The Company accounts for software development costs~~Gross inVersus ~~accordance~~Net with several accounting pronouncements, including FASB ASC 730, “Research and Development,” FASB ASC 350-40, “Internal-Use Software,” FASB 985-20, “Costs of Computer Software to be Sold, Leased, or Marketed” and FASB ASC 350-50, “Website Development Costs.” Revenue

~~Costs~~ASC 606 ~~incurred~~provides ~~during~~guidance on proper recognition of principal versus agent considerations which is used to determine gross versus net revenue recognition. Under ASC 606, the ~~period~~core objective of ~~planning~~the ~~and~~guidance ~~design~~on gross versus net revenue recognition is to help determine whether an entity is a principal or an agent in a transaction. In general, the primary difference between these two is the performance obligation being satisfied. ~~prior~~The principal has a performance obligation to provide the ~~period~~desired ~~determining~~goods or ~~technological~~services ~~feasibility~~to the end customer, whereas the agent arranges for ~~all~~the ~~software~~principal ~~developed~~to ~~for~~provide ~~use~~the ~~internal~~desired ~~and~~goods ~~external~~or services. Additionally, a ~~has~~fundamental ~~been~~characteristic ~~charged~~of a principal in a transaction is control. A principal substantively controls the goods and services before they are transferred to ~~operations~~the customer as well as controlling the price of the good or service being provided. An agent normally receives a commission or fee for these activities. In addition to control, the level at which an entity controls the price of the good or service being transferred determines principal versus agent status. The more discretion over setting price a company has in providing the ~~period~~good ~~incurred~~or asservice, the ~~research~~more ~~and~~likely ~~development~~they ~~costs~~are considered a principal rather than an agent. ~~Additionally~~ Under the guidance when another party is involved in providing a good or service to a customer, ~~costs~~an entity ~~incurred~~is ~~after~~a ~~determination~~principal if the entity obtains control of ~~readiness~~the asset ~~for~~or ~~market~~right ~~have~~to ~~been~~a ~~expensed~~service asperformed by ~~research~~the ~~and~~other ~~development~~party.

The Company ~~will~~provides ~~capitalize~~administrative ~~certain~~services ~~costs~~for Health inSpending Accounts sponsored by employers (the ~~development~~"customer"). The Company does not take possession of ~~our~~goods ~~proprietary~~or ~~software~~control ~~(computer~~the ~~software~~services provided as the employees of the customer are free to bedetermine ~~sold,~~their ~~leased~~health orcare provider. ~~licensed)~~As ~~for~~such, the ~~period~~Company records ~~after~~revenue ~~technological~~net ~~feasibility~~of ~~was~~reimbursements ~~determined~~to employees. ~~and~~The ~~prior~~Company's services to ~~our~~the ~~marketing~~customer consist of reviewing medical costs for eligibility and ~~initial~~reimbursing ~~sales~~employees for eligible costs.

~~F-8~~During the years ended May 3l, 2025 and 2024, the Company had revenue of $0 and $0, respectively. The Company earns a 10% commission on amounts reimbursed for eligible expenses.

~~Website~~Income ~~development costs are capitalized under the same criteria as our marketed software.~~Taxes

~~Impairment~~The Company offollows ~~Long~~Section 740-~~lived~~10-30 of ~~Assets~~the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are based on the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the fiscal year in which the differences are expected to be reversed. Deferred tax assets are reduced by a valuation allowance to the extent management concludes it is more likely than not that the assets will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the fiscal years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the Statements of Income and Comprehensive Income in the period that includes the enactment date.

~~Long-lived~~The Company ~~assets~~follows ~~such~~section as740-10-25 of ~~property,~~the ~~equipment~~FASB ~~and~~Accounting Standards ~~identifiable~~Codification ~~intangibles~~("Section ~~are~~740-10-25") ~~reviewed~~with regards ~~for~~to ~~impairment~~uncertain ~~whenever~~income ~~facts~~tax ~~and~~positions. ~~circumstances~~Section ~~indicate~~740-10-25 ~~that~~ addresses the ~~carrying~~determination ~~value~~of ~~may~~whether ~~not~~tax bebenefits ~~recoverable. When required,~~claimed ~~impairment~~or ~~losses on assets~~ expected to be ~~held~~claimed ~~and~~on ~~used~~a ~~are~~tax ~~recognized~~return should ~~based~~be onrecorded ~~the~~in ~~fair value of~~ the ~~asset~~financial statements. ~~The~~ ~~fair~~Under ~~value~~Section is740-10-25, ~~determined~~the ~~based~~Company onmay recognize ~~estimates~~the oftax ~~future~~benefit ~~cash~~from ~~flows,~~an uncertain ~~market~~tax ~~value~~position ofonly ~~similar assets,~~ if ~~available,~~it oris ~~independent~~more ~~appraisals,~~likely ifthan ~~required. If the~~not ~~carrying~~that ~~amount of~~ the ~~long-lived~~tax ~~asset~~position iswill be ~~not~~sustained ~~recoverable~~on ~~from~~examination ~~its~~by the ~~undiscounted~~taxing ~~cash flows~~authorities, anbased ~~impairment~~on ~~loss is recognized for~~ the ~~difference~~technical ~~between~~merits of the ~~carrying~~position. The ~~amount~~tax ~~and~~benefits ~~fair~~recognized ~~value~~in of the ~~asset. When~~financial ~~fair~~statements ~~values~~from ~~are~~such a ~~not~~position ~~available,~~should ~~the~~be ~~Company estimates~~measured ~~fair~~based ~~value~~on ~~using~~ the ~~expected~~largest ~~future~~benefit ~~cash~~that ~~flows~~has ~~discounted~~a atgreater than afifty ~~rate~~percent ~~commensurate~~(50%) ~~with~~likelihood ~~the~~of ~~risk~~being ~~associated~~realized ~~with~~upon ~~the~~ultimate ~~recovery~~settlement. Section of740-10-25 ~~the~~also ~~assets. We~~provides ~~did~~guidance ~~not~~on ~~recognize~~de-recognition, ~~any~~classification, interest ~~impairment~~and ~~losses~~penalties ~~for~~on income ~~any~~taxes, accounting in interim periods ~~presented~~and requires increased disclosures.

~~Commitments and Contingencies~~ F-8

~~The Company follows subtopic 450-20 of the FASB Accounting~~Per ~~Standards~~Share Codification to report accounting for contingencies. Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount of the assessment can be reasonably estimated.Data

~~Revenue~~Net loss ~~Recognition~~per common share is computed by dividing net loss by the weighted average common shares outstanding during the period as defined by Financial Accounting Standards, ASC Topic 260, "Earnings per Share". Basic earnings per common share ("EPS") calculations are determined by dividing net income by the weighted average number of shares of common stock outstanding during the year. Diluted earnings per common share calculations are determined by dividing net income by the weighted average number of common shares and dilutive common share equivalents outstanding. During periods when common stock equivalents, if any, are anti-dilutive they are not considered in the computation. On May 31, 2025 and 2024, we excluded the common stock issuable upon conversion of Convertible Note Payable - Related Party of I0,587,600 shares and l 0,587,600 shares, respectively, as their effect would have been anti-dilutive.

InNote accordance with ASC 606, “Revenue from Contracts with Customers,” revenue is recognized when a customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which we expect to be entitled to receive in exchange for these goods or services. ASC 606 requires us to apply the following steps: (1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) ~~determine~~- ~~the~~Recent ~~transaction~~Accounting ~~price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, we satisfy the performance obligation.~~Pronouncements

~~Gross~~The Company ~~Versus~~reviews ~~Net~~new ~~Revenue~~accounting standards as issued or updated. No new standards or updates had any material effect on these consolidated financial statements. The accounting pronouncements issued subsequent to the date of these consolidated financial statements that were considered significant by management were evaluated for the potential effect on these consolidated financial statements. Management does not believe any of the subsequent pronouncements will have a material effect on these consolidated financial statements as presented.

~~ASC~~Segment ~~606 provides guidance on proper recognition of~~reporting ~~principal~~pronouncement ~~versus~~from ~~agent~~November ~~considerations~~2023 ~~which~~are isincluded used to determine gross versus net revenue recognition. Under ASC 606, the core objective of the guidance on gross versus net revenue recognition is to help determine whether an entity is a principal or an agent in ~~a transaction. In general, the primary difference between~~ these ~~two is the performance obligation being satisfied~~statements. ~~The~~There ~~principal~~have ~~has~~been ano ~~performance~~other ~~obligation to~~recent ~~provide~~accounting ~~the~~pronouncements ~~desired goods~~ or ~~services to the end customer, whereas the agent arranges for the principal to provide the desired goods~~changes ~~or services. Additionally, a fundamental characteristic of a principal~~ in aaccounting ~~transaction~~pronouncements isduring ~~control. A principal substantively controls~~ the ~~goods~~period ~~and~~ended ~~services~~May before they are transferred to the customer as well as controlling the price of the good or service being provided. An agent normally receives a commission or fee for these activities. In addition to control31, the level at which an entity controls the price of the good or service being transferred determines principal versus agent status. The more discretion over setting price a company has in providing the good or service2025, ~~the~~that ~~more likely they~~ are ~~considered~~of asignificance ~~principal rather than an agent. Under the guidance when another party is involved in providing a good~~ or ~~service~~potential tosignificance ~~a customer, an entity is a principal if the entity obtains control of the asset or right~~ to ~~a service performed by~~ the ~~other party~~Company.

~~The~~Note ~~Company~~4 ~~provides~~– ~~administrative~~Property ~~services~~and for Health Spending Accounts sponsored by employers (the “customer”). The Company does not take possession of goods or control the services provided as the employees of the customer are free to determine their health care provider. As suchequipment, ~~the Company records revenue net of~~ ~~reimbursements to employees. The Company’s services to the customer consist of reviewing medical costs for eligibility and reimbursing employees for eligible costs.~~net

~~During~~The ~~the~~Company has ~~years~~recorded ~~ended May 31, 2024 and 2023,~~ the ~~Company~~ ~~had~~following ~~revenue~~Property ~~of $0~~ and ~~$0, respectively. The Company earns a 10% commission on amounts reimbursed for eligible expenses.~~Equipment:

Income Taxes

	May 31, 2025			May 31, 2024

Software acquisition costs	$	102,151		$	102,151
Less accumulated depreciation		(102,151	)		(102,151	)

Net Property and equipment	$	—		$	—

~~The~~Depreciation ~~Company~~expense ~~follows~~recorded ~~Section 740-10-30 of the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities~~ for the ~~expected future tax consequences~~ ofyears ~~events~~ended ~~that~~May ~~have been included in the financial statements or tax returns. Under this method~~31, ~~deferred~~2025 ~~tax assets~~ and ~~liabilities are~~2024 ~~based~~were on$0 ~~the differences between the financial statement~~ and ~~tax~~$0, ~~bases of assets and liabilities using enacted tax rates in effect for the fiscal year in which the differences are expected to reverse~~respectively. Deferred tax assets are reduced by a valuation allowance to the extent management concludes it is more likely than not that the assets will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the fiscal years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the Statements of Income and Comprehensive Income in the period that includes the enactment date.

~~The~~Note ~~Company~~5 ~~follows section 740~~-~~10-25~~ ofRelated ~~the FASB~~Party Accounting Standards Codification (“Section 740-10-25”) with regards to uncertain income tax positions. Section 740-10-25 addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under Section 740-10-25, the Company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent (50%) likelihood of being realized upon ultimate settlement. Section 740-10-25 also provides guidance on de-recognition, classification, interest and penalties on income taxes, accounting in interim periods and requires increased disclosures. Transactions

FAs of May 31, 2025, and 2024, accounts payable and accrued liabilities -9 related party due to Tom Zapatinas (Chief Executive Officer and a Director of the Company) totaled $400,000 and $300,000, respectively. During the years ended May 31, 2025, and 2024, Tom Zapatinas, earned $100,000 and $60,000, respectively, for consulting services provided to the Company.

~~Per~~Advances - ~~Share~~Related ~~Data~~Party

~~Net loss per common share is computed by dividing~~As ~~net~~of ~~loss~~May ~~by the weighted average common shares outstanding during the period as defined by Financial Accounting Standards~~31, ~~ASC Topic 260~~2025, and ~~"Earnings~~2024, ~~per~~advances ~~Share".~~payable ~~Basic~~due ~~earnings~~to ~~per~~Tom ~~common~~Zapatinas ~~share~~totaled ~~(“EPS”)~~$102,716 ~~calculations are determined by dividing net income~~and by$72,182, ~~the weighted average number of shares of common stock outstanding during the year~~respectively. ~~Diluted~~Advances ~~earnings per common share calculations~~ are ~~determined~~ bynon-interest-bearing, ~~dividing net income by the weighted average number of common shares~~ unsecured and ~~dilutive~~payable ~~common~~on ~~share equivalents outstanding~~demand. During ~~periods~~ ~~when common stock equivalents, if any, are anti-dilutive they are not considered in~~ the ~~computation.~~years Onended May 31, 2025, ~~2024~~ and ~~2023~~2024, we ~~excluded~~Tom Zapatinas, the ~~common~~Chief ~~stock~~Executive ~~issuable~~Officer and ~~upon~~a ~~conversion~~Director of ~~Convertible~~the Company, ~~Note~~advanced ~~Payable~~the ~~– Related Party of 10~~Company $30,~~587,600~~108 ~~shares~~ and 10$22,~~587~~156,~~600 shares,~~ respectively, asin ~~their~~cash ~~effect~~and ~~would~~was ~~have~~repaid ~~been~~$0 ~~anti-dilutive~~and $1,658, respectively, in cash.

~~Note~~Loans 3Payable - ~~– Recent Accounting Pronouncements~~Shareholders

~~The~~As of ~~Company~~May ~~reviews~~31, ~~new~~2025, ~~accounting~~and ~~standards~~2024, ~~as issued~~loans orpayable ~~updated.~~- Noshareholders ~~new~~are ~~standards~~$191,330 and or$191,330, ~~updates~~respectively. ~~had~~Loans ~~any~~payable - ~~material~~shareholders ~~effect~~are onunsecured, non-interest ~~these~~bearing ~~consolidated~~and ~~financial~~due on ~~statements~~demand. ~~The accounting pronouncements~~During ~~issued subsequent to~~ the ~~date~~years ofended ~~these~~May ~~consolidated~~31, ~~financial~~2025, ~~statements that were considered significant by management were evaluated~~and ~~for~~2024, the ~~potential~~Company advanced ~~effect~~$0 onand ~~these~~$18,263, respectively, ~~consolidated~~in ~~financial~~cash, ~~statements.~~and was ~~Management~~repaid ~~does~~$0 ~~not~~and ~~believe~~$0, ~~any of the subsequent pronouncements~~respectively, ~~will~~in ~~have a material effect on these consolidated financial statements as presented~~cash.

~~Note~~Liability 4for –unissued ~~Related Party Transactions~~shares

As of May 31, ~~2024~~ 2025, and ~~2023~~2024, ~~accounts~~the ~~payable~~liability ~~and accrued~~for ~~liabilities~~unissued –shares ~~related~~totaled ~~party~~$0 ~~due~~and to$134,792, ~~Tom~~respectively. ~~Zapatinas~~The ~~(Chief~~stock ~~Executive~~associated ~~Officer~~with ~~and~~this aliability ~~Director~~had ofbeen ~~the Company) totaled $300,000~~issued ~~and~~previously ~~$240,000,~~at ~~respectively~~par. ~~During~~As ~~the~~of ~~years ended~~ May 31, ~~2024~~2025, ~~and~~this ~~2023,~~liability ~~Tom~~was ~~Zapatinas,~~settled ~~earned~~by applying $60100,000 to paid in capital and recognizing a $~~120~~26,~~000,~~967 ~~respectively~~gain on settlement. The remaining $7,825 ~~for consulting~~was ~~services~~reclassified ~~provided~~as toStock Subscriptions in the ~~Company~~Equity section, pending issuance of 20,000 shares.

~~Advances~~Promissory Note –- Related Party

As of May 31, ~~2024~~2025, and ~~2023~~2024, ~~advances payable due~~ topromissory ~~Tom~~note ~~Zapatinas~~- ~~totaled~~related party of $77466,~~187~~817 and $64466,~~952~~817, respectively~~. Advances are non-interest bearing~~, ~~unsecured~~is ~~and~~due ~~payable~~to ~~on demand. During the years ended May 31, 2024 and 2023,~~ Tom Zapatinas, the Chief Executive Officer and a Director of the Company~~, advanced the Company~~. ~~$13,893~~The ~~and~~Note ~~$33,157,~~is ~~respectively,~~non-interest ~~in cash and was repaid $1~~bearing,~~658~~ unsecured and ~~$785,~~payable ~~respectively,~~on ~~in cash~~demand.

~~Loans Payable – Shareholders~~F-9

AsConvertible ~~of May 31, 2024 and 2023, loans payable - shareholders~~Note ~~are~~Payable ~~$191,330 and $173,067, respectively. Loans payable – shareholders are unsecured, non~~-~~interest~~ ~~bearing~~Related ~~and due on demand. During the years ended May 31, 2024 and 2023, the Company advanced $18,263 and $4,992, respectively, in cash, and was repaid $0 and $0, respectively, in cash.~~Party

~~Promissory~~As of May 31, 2025, and 2024, convertible note payable - related party of $1,058,760 is due to Tom Zapatinas, the Chief Executive Officer and a Director of the Company. The Note –is ~~Related~~non-interest ~~Party~~bearing, unsecured, payable on demand and convertible in whole or in part into shares of common stock of the Company at a conversion price of $0.10 per share, which equates to 10,587,600 shares.

AsNote of6 ~~May 31, 2024 and 2023, promissory note~~ - ~~related~~ ~~party~~Income ~~of $466,817 and $466,817, respectively, is due to Tom Zapatinas, the Chief Executive Officer and a Director of the Company. The Note is non-interest bearing, unsecured and payable on demand.~~Taxes

~~Convertible~~The ~~Note~~Company ~~Payable~~elected –to ~~Related~~be ~~Party~~taxed as a corporation and adopted the provisions of uncertain tax positions as addressed in ASC 740-10-65-1. As a result of the implementation of ASC 740-10-65-1, the Company recognized no increase in the liability for unrecognized tax benefits.

AsThe ofCompany has no tax position at May 31, ~~2024~~2025, ~~and~~or ~~2023~~2024, ~~convertible~~for ~~note~~which ~~payable -~~the ~~related~~ultimate ~~party~~deductibility ~~of $1,058,760~~ is ~~due~~highly tocertain ~~Tom~~but ~~Zapatinas,~~for ~~the~~which ~~Chief~~there ~~Executive~~is ~~Officer~~uncertainty ~~and~~about athe ~~Director~~timing of such ~~the Company~~deductibility. The ~~Note~~Company isdoes ~~non-~~not recognize interest ~~bearing,~~ ~~unsecured,~~accrued ~~payable~~related onto ~~demand~~unrecognized ~~and~~tax ~~convertible~~benefits in ~~whole~~interest orexpense and penalties in ~~part~~operating ~~into~~expenses. ~~shares~~No ofsuch ~~common~~interest ~~stock~~or ofpenalties were recognized during the period presented. The Company athad ano ~~conversion~~accruals ~~price~~for interest ofand ~~$0.10~~penalties ~~per~~at ~~share~~May 31, ~~which~~2025, ~~equates~~or, to2024. ~~10,587,600~~The ~~shares~~Company’s utilization of any net operating loss carry forward may be unlikely as a result of its intended activities.

~~F-10~~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 income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred income tax liabilities, projected future taxable income, and tax planning strategies in making this assessment.

~~Note~~Based 5on –consideration ~~Income~~of ~~Taxes~~these items, management has determined that enough uncertainty exists relative to the realization of the deferred income tax asset balances to warrant the application of a full valuation allowance as of May 31, 2024 and 2023. All tax years since inception remains open for examination only by taxing authorities of US Federal, Canadian, and state of Nevada.

AsSince ofthe ~~May~~US ~~31,~~tax ~~2024,~~rate ~~the Company~~ is ~~in arrears~~higher onthan ~~filing~~the ~~its~~effective ~~statutory~~Canadian ~~income~~ tax ~~returns.~~rate, ~~Tax~~and ~~years~~the ~~2008~~US ~~through~~tax ~~2024~~code ~~are~~contains ~~open~~provisions for ~~examination~~a byforeign ~~taxing~~tax ~~authorities.~~credit ~~The~~to ~~Company~~avoid ~~has~~double taxation, the Company ~~incurred~~is ~~substantial~~using ~~net~~the ~~operating~~US ~~losses~~corporate oftax ~~approximately~~rate ~~$4,227,000~~as ~~since~~the ~~January~~effective ~~28,~~tax ~~2008~~rate ~~(Date~~for ofall ~~Inception)~~income.

Schedule of deferred tax assets and liabilities
	2024			2023
Net operating losses – U.S. parent:
Amount carried forward from prior years	$	(879,752	)	$	(872,137	)
Net operating losses (21% tax rate)		(20,884	)		(32,815	)
Accrued management compensation		12,600			25,200
Total		(888,036	)		(879,752	)
The Company’s deferred tax assets and liabilities consist primarily of the following:
Deferred taxes – U.S. Parent		(888,036	)		(879,752	)
Net operating losses – Canadian subsidiary:
Amount carried forward from prior years		(31,760	)		(31,760	)
Net operating losses		—			—
Deferred taxes – Canadian subsidiary		(31,760	)		(31,760	)
Total deferred tax assets		(919,796	)		(911,512	)
Less: valuation allowance		919,796			911,512
Total net deferred tax assets	$	—		$	—

The components of the Company’s deferred tax assets and reconciliation of income taxes computed at the new federal, Canadian, and state statutory rate of 21.0% to the income tax amount recorded as of May 31, 2025, and 2024, are as follows:

During the years ended May 31, 2024 and 2023, the change in valuation allowance was an increase of $8,284 in 2024 and an increase of $7,615 in 2023.


	May 31, 2025			May 31, 2024
Accumulated loss	$	5,210,390		$	5.125.380
Book tax differences – stock-based comp		(400,000	)		(300,000	)
Net operating loss and carryforwards	$	4,810,390		$	4,828,381
Effective tax rate - US		21.0	%		21.0	%
Deferred tax asset, rounded		1,010,200			1,014,000
Less: Valuation allowance, rounded		(1,010,200	)		(1,014,000	)
Net deferred asset	$	—		$	—

~~The~~During ~~Company~~the ~~has~~years ended ~~no tax positions on~~ May 31, ~~2024~~ 2025, and ~~2023~~2024, ~~for which~~ the ~~ultimate deductibility is highly certain but for which there is uncertainty about the timing of such deductibility.~~ ~~The~~change ~~Company recognizes interest accrued related to unrecognized tax benefits~~ in ~~interest~~valuation ~~expense~~allowance ~~and~~was ~~penalties in operating expenses.~~a Nodecrease ~~such~~of ~~interest~~($3,800) orin ~~penalties~~2025 ~~were recognized during the period presented. The Company had no accruals for interest~~ and ~~penalties~~an ~~on May~~increase 31of $8,300 ~~2024~~in ~~and 2023~~2024.

Note 67 – - Stockholders’' Deficit

Common Stock

Common Stock, par value of $0.001 per share; 75,000,000 shares authorized: 19,767,698 shares issued and outstanding on May 31, ~~2024~~2025, and ~~2023~~2024. Holders of Common Stock have one vote per share of Common Stock held.

Note 78 - – Contingencies and Commitments

From time to time the Company may be a party to litigation matters involving claims against the Company. Management believes that there are no current matters that would have a material effect on the Company’'s financial position or results of operations.

The Company does not have long-term commitments for equipment purchases or leases. The Company presently operates from remote employment sites.

~~Note 8 – Subsequent Events~~F-10

~~The~~Note ~~Company~~9 ~~has~~- ~~evaluated~~Segment ~~all subsequent events through the date these financial statements were issued and no subsequent events occurred that required disclosure.~~reporting

FFASB ASU 2023-117 requires all public entities to expand segment reporting on all significant segments and to report significant segment expenses when the chief operating decision maker uses this information to make decisions about resource allocation.

The Company was established to develop Health Savings Account software. During the fiscal year ended May 31, 2025. management continued to work exclusively to develop this software and implement a sales program.

Note 10 - Subsequent Events

The Company has evaluated all subsequent events through the date these financial statements were issued.

On June 30, 2025, the CEO converted USD $1,525,577 in convertible debt to common stock at $0.10 per share.

In June 2025, the Company signed a Contractor agreement with INARE, Inc, an Alberta CA company, for the services of Pavel Bondarev to run two (2) subsidiaries and develop new technologies and products for stock and management fees. Pavel Bondarev was also added to the Board of Directors of PreAxia. The Company issued 16,5,000 shares of common stock for the contract at $0.10 per share.

In June 2025, 1.500,000 shares of stock were issued for services at $0.10 per share.

In June 2025, the Company reestablished a 2025 Stock Plan for 2.400,000 stock options.

In August 2025, the Company received $200,000 from the sale of 800,000 shares of common stock in a private placement and issued 400,000 shares of common stock for debt and services in the amount of $100,000.

In September 2025, the Company established a new subsidiary, Zane Inc US, to market mobile banking and personal finance management platforms in the United States. Pavel Bondarev will run both Zane subsidiaries.

In September 2025, the Board of Directors decided to start doing business as PreAxia-Zane Financial.

F-11

ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE

None.

ITEM 9A. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

Management, evaluated the effectiveness of our disclosure controls and procedures, as defined under Exchange Act Rule 13a-15(e). Based upon this evaluation, the Chief Executive Officer concluded that, as of May 31, ~~2024~~2025, the disclosure controls and procedures were not effective. The ineffectiveness of our Company’'s disclosure controls and procedures was due to the existence of material weaknesses identified below.

Disclosure controls and procedures are the controls and other procedures that are designed to ensure that information required to be disclosed in our Company’'s Exchange Act reports is recorded, processed, summarized and reported within the time periods specified in the Securities Exchange Commission’'s rules and forms.

Management’'s Report on Internal ~~Control~~ Control Over Financial Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting, as defined under Exchange Act Rules ~~13a~~l 3a-15 l 5(f) and 14d-14(f). Our internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles.

All internal control systems, no matter how well designed, have inherent limitations and may not prevent or detect misstatements. Therefore, even those systems determined to be effective can only provide reasonable assurance with respect to financial reporting reliability and financial statement preparation and presentation. In addition, projections of any evaluation of effectiveness to future periods are subject to risk that controls become inadequate because of changes in conditions and that the degree of compliance with the policies or procedures may deteriorate.

Management assessed the effectiveness of our company’'s internal control over financial reporting as of May 31, ~~2024~~2025. In making the assessment, management used the criteria issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO - 2013) in Internal Control-Integrated Framework. Based on its assessment, management concluded that, as of May 31, ~~2024~~2025, our Company’'s internal control over financial reporting was not effective.

Management has identified the following material weaknesses:

· • We do not have accounting staff with sufficient technical accounting knowledge relating to accounting for U.S. income taxes and complex US GAAP matters; and

· • We failed to file our corporate tax returns for 2008 through ~~2024~~2025.

We intend to take appropriate and reasonable steps to make the necessary improvements to remediate these material weaknesses. In particular, we intend to hire staff with U.S. GAAP expertise if we can obtain additional financing and hire professionals to prepare and complete the filing of our corporate tax returns.

Changes in Internal Control over Financial Reporting

There have been no changes in our internal controls over financial reporting that occurred during our fourth fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal controls over financial reporting.

ITEM 9B. OTHER INFORMATION.

During the fiscal ~~quarter~~year ended May 31, ~~2024~~2025, no director or Section 16 officer adopted or terminated any Rule 10b5-1l trading arrangements or non-Rule 10b5-1 l trading arrangements.

12PART III

~~PART~~ITEM 10. ~~III~~DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

~~ITEM~~Directors ~~10.~~and Executive ~~DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE~~Officers

~~Directors~~The following individuals serves as the director and executive ~~Executive~~officers ~~Officers~~of our Company. All directors of our Company hold office until the next annual meeting of our shareholders or until their successors have been elected and qualified. The executive officers of our Company are appointed by our board of directors and hold office until their death, resignation or removal from office.

The following individual serves as the director and executive officers of our Company. All directors of our Company hold office until the next annual meeting of our shareholders or until their successors have been elected and qualified. The executive officers of our Company are appointed by our board of directors and hold office until their death, resignation or removal from office.12

Name	Position	Age	Date First Elected ~~or Appointed~~
Tom Zapatinas	President, Chief Executive Officer, Secretary, Chief Financial Officer, Treasurer and Director	6670	Director ~~since~~ January 9, 2007 Officer ~~since~~ January ~~25, 2008~~2009
Paul Verberne	Director	59	Director ~~since~~ June 1, 2018
Pavel Bondarev	Director		Director June 2025

Significant Employees

There are no family relationships between or among our directors or or executive officers.

Business Experience

Tom Zapatinas, President, Secretary, Chief Executive Officer,; Chief Financial Officer and a director

Tom Zapatinas has been a director of our Company since January 9, 2007, and the president, secretary, chief executive officer and chief financial officer of our company since January 25, 2008. Mr. Zapatinas has been a self-employed business consultant since August 1997. In June of 1998, Mr. Zapatinas founded Prolific Smart ~~Card~~ Card Software Systems Inc. which became a reporting issuer on the TSX Venture Exchange in Canada. Mr. Zapatinas resigned from ~~Prolific~~ Prolific on May 29, 2001, to go back to his consulting practice. He ~~brings~~has experience in financing, corporate development and mergers and acquisitions.

Mr. Zapatinas is not an officer or director of any other reporting company that files annual, quarterly or periodic reports with the United States Securities and Exchange Commission.

We believe Mr. Zapatinas is qualified to serve on our board of directors because of his knowledge of our company’'s history and current operations, which he gained from ~~working~~ working for our company as described above, in addition to his business experiences as described above.

Paul Verberne, ~~member~~ member of the Board of Directors

Mr. Verberne has been involved in the Healthcare Spending Account (HSA) industry since 2004, when he became counsel for HSA Bank (a division of Webster Bank). He provided legal and business expertise focused on tax ~~favoured~~ favored benefit accounts, helping HSA Bank grow from $8 million in HSA deposits to over $800 million in six years. HSA Bank is now a leading HSA provider in the USA with over $5 billion in assets. Mr. Verberne was also general counsel to the American Banker's Association HSA Council and Tango Health, a leading benefits optimization solutions provider. He is currently a principal in HSA Consulting Services, LLC, which provides training and expertise to the HSA industry, and a partner in Verberne & Maldonado LLP in Houston, a law firm concentrating in business law. He received his B.A. in Liberal Arts Hi(Economics/Psychology) from the University of Texas (Austin) and a Juris Doctorate from University of Houston Law Center. Mr. Verberne will be providing strategic advice and guidance to PreAxia as it develops, rolls out and expands its HSA Management Solution throughout Canada and the USA.

~~Involvement~~Pavel inBondarev, ~~Certain~~member ~~Legal~~of the ~~Proceedings~~Board of Directors

~~Our~~Pavel ~~directors~~Bondarev oris a dynamic and visionary executive ~~officers~~with ~~have~~15+ ~~not~~years of global experience leading Al, Data Science, Business Intelligence, and Digital Strategy across ~~been~~banking ~~involved~~& financial services, telecom, Saas, and emerging technologies. Proven track record in ~~any~~building and scaling high performing teams, creating award-winning innovation, and delivering over $ZOOM in measurable business impact through AI and analytics platforms. Recognized by the British Royal Society, the Russian Academy of Science, the ~~following~~Swiss ~~events~~and ~~during~~German National Research Foundations, and CBC's Dragon's Den. Extensive board-level exposure in startup and corporate environments, with deep knowledge of technology commercialization, digital transformation, and customer-centric strategy. He has a degree in Mechanical Engineering, postgraduate work at the ~~past~~University of ~~ten~~Westminster, ~~years:~~UK and a PhD in Applied Mathematics & Computer Science from Southern Federal University, Russia.

1.Involvement any bankruptcy petition filed by or against any business of which such person was a general partner or executive officer either at the time of the bankruptcy or within two years prior to that time; 2. any conviction in aCertain ~~criminal~~Legal proceeding or being subject to a pending criminal proceeding (excluding traffic violations and other minor offences); 3. being subject to any order, judgment, or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction, permanently or temporarily enjoining, barring, suspending or otherwise limiting his involvement in any type of business, securities or banking activities; or 4. being found by a court of competent jurisdiction (in a civil action), the Commission or the Commodity Futures Trading Commission to have violated a federal or state securities or commodities law, and the judgment has not been reversed, suspended, or vacated. 5. being the subject of, or a party to, any federal or state judicial or administrative order, judgment, decree, or finding, not subsequently reversed, suspended or vacated, relating to an alleged violation of: (i) any federal or state securities or commodities law or regulation; or (ii) any law or regulation respecting financial institutions or insurance companies including, but not limited to, a temporary or permanent injunction, order of disgorgement or restitution, civil money penalty or temporary or permanent cease- and-desist order, or removal or prohibition order; or (iii) any law or regulation prohibiting mail or wire fraud or fraud in connection with any business entity; or 6. being the subject of, or a party to, any sanction or order, not subsequently reversed, suspended or vacated, of any self-regulatory organization (as defined in Section 3(a) (26) of the Securities Exchange Act of 1934), any registered entity (as defined in Section 1(a) (29) of the Commodity Exchange Act), or any equivalent exchange, association, entity or organization that has disciplinary authority over its members or persons associated with a member.Proceedings

~~Audit~~Our ~~Committee~~directors or executive officers have not been involved in any of the following events during the past ten years:

~~The~~1. any ~~Corporation~~bankruptcy ispetition ~~a “venture issuer”~~filed asby ~~defined~~or inagainst ~~National~~any ~~Instrument~~business ~~52-110~~of which ~~and~~such isperson was ~~relying~~a ongeneral ~~the~~partner ~~exemption~~or executive ~~contained~~officer ~~in Section 6.1 of National Instrument 52-110, which~~either ~~exempts~~at the ~~Corporation~~time ~~from the requirements~~ of ~~Part 3 (Composition of~~ the ~~Audit~~bankruptcy ~~Committee)~~or within ~~and~~two ~~Part~~years ~~5 (Reporting Obligations) of National~~prior ~~Instrument~~to ~~52-110.~~that time;

132. any conviction in a criminal proceeding or being subject to a pending criminal proceeding (excluding traffic violations and other minor offences);

~~The~~3. being ~~Audit~~subject ~~Committee’s~~to ~~Charter~~any order, judgment, or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction, permanently or temporarily enjoining, barring, suspending or otherwise limiting his involvement in any type of business, securities or banking activities; or

~~Mandate~~4. being found by a court of competent jurisdiction (in a civil action), the Commission or the Commodity Futures Trading Commission to have violated a federal or state securities or commodities law, and the judgment has not been reversed, suspended, or vacated.

The primary function of the audit committee (the "Committee") is to assist the Board of Directors in fulfilling its financial oversight responsibilities by reviewing the financial reports and other financial information provided by the Corporation to regulatory authorities and shareholders, the Corporation’s systems of internal controls regarding finance and accounting and the Corporation’s auditing, accounting and financial reporting processes. Consistent with this function, the Committee will encourage continuous improvement of, and should foster adherence to, the Corporation’s policies, procedures and practices at all levels. The Committee’s primary duties and responsibilities are to:13

·5. being ~~Serve~~the assubject of, or a party to, any federal or state judicial or administrative order, judgment, decree, or finding, not subsequently reversed, suspended or vacated, relating to an ~~independent~~alleged violation of: (i) any federal or state securities or commodities law or regulation; or (ii) any law or regulation respecting financial institutions or insurance companies including, but not limited to, a temporary or permanent injunction, order of disgorgement or restitution, civil money penalty or temporary or permanent cease- and-desist ~~objective~~order, or removal or prohibition order; or (iii) any law or regulation prohibiting mail or wire fraud or fraud in connection with any business entity; or being the subject of, or a party to, any ~~monitor~~sanction or order, not subsequently reversed, suspended or vacated, of any self-regulatory organization (as defined in Section 3(a) (26) of the ~~Corporation’s~~Securities ~~financial~~Exchange ~~reporting~~Act ~~and~~of ~~internal~~1934), ~~control~~any ~~system~~registered entity ~~and~~(as ~~review~~defined in Section l(a) (29) of the ~~Corporation’s~~Commodity ~~financial~~Exchange Act), ~~statements~~or any equivalent exchange, association, entity or organization that has disciplinary authority over its members or persons associated with a member.

~~· Review and appraise the performance of the Corporation’s external auditors.~~Audit Committee

·The Corporation ~~Provide~~is ana ~~open~~"venture ~~avenue~~issuer" as defined in National Instrument 52-110 and is relying on the exemption contained in Section 6.1 of ~~communication~~National ~~among~~Instrument 52-110, which exempts the Corporation’s ~~auditors,~~from ~~financial~~the requirements ~~and~~of ~~senior~~Part ~~management~~3 ~~and~~(Composition of the ~~Board~~Audit Committee) and Part 5 (Reporting Obligations) of ~~Directors~~National Instrument 52-110.

~~Composition~~The Audit Committee's Charter

The Committee shall be comprised of two directors as determined by the Board of Directors, whom shall be free from any relationship that, in the opinion of the Board of Directors, would interfere with the exercise of his or her independent judgment as a member of the Committee.Mandate

The primary ~~members~~function of the ~~Committee~~audit ~~shall~~committee (the be"Committee") ~~elected~~is byto assist the ~~Board~~ Board of Directors atin fulfilling its ~~first~~financial ~~meeting~~oversight ~~following~~responsibilities by reviewing the ~~annual~~financial ~~shareholders’~~reports ~~meeting.~~and other ~~Unless~~financial ainformation ~~Chair~~provided ~~is elected~~ by the ~~full Board~~Corporation ofto ~~Directors~~regulatory authorities and shareholders, the Corporation's ~~members~~systems of internal controls regarding finance and accounting and the ~~Committee~~Corporation's ~~may~~auditing, ~~designate~~accounting aand ~~Chair~~financial reporting byprocesses. aConsistent ~~majority~~with ~~vote~~this function, the Committee will encourage continuous improvement of, and should foster adherence to, the Corporation's ~~full~~policies, ~~Committee~~procedures ~~membership~~and practices at all levels. The Committee's primary duties and responsibilities are to:

~~Meetings~~• Serve as an independent and objective party to monitor the Corporation's financial reporting and internal control system and review the Corporation's financial statements.

~~The Committee shall meet annually, or more frequently~~• asReview ~~circumstances~~and ~~dictate.~~appraise ~~As part of its job to foster open communication,~~ the ~~Committee will meet at least annually with the Chief Financial~~ ~~Officer~~performance ~~and~~of the ~~external~~Corporation's external auditors.

~~Responsibilities~~• Provide an open avenue of communication among the Corporation's auditors, financial and ~~Duties~~senior management and the Board of Directors.

~~To fulfill its responsibilities and duties, the Committee shall:~~Composition

~~Documents/Reports~~The Committee ~~Review~~shall be comprised of two directors as determined by the Board of Directors, whom shall be free from any relationship that, in the opinion of the Board of Directors, would interfere with the exercise of his or her independent judgment as a member of the Committee.

~~(a)~~The members ~~Review~~of ~~and~~the ~~update~~Committee ~~this~~shall be ~~Charter~~elected ~~annually.~~by ~~(b) Review~~ the ~~Corporation’s~~Board ~~financial~~of Directors ~~statements,~~at ~~MD&A~~its ~~and~~first ~~any~~meeting following ~~reports~~the orannual ~~other~~shareholders' ~~financial~~meeting. ~~information~~Unless ~~(including~~a Chair ~~quarterly~~is ~~financial~~elected ~~statements),~~by ~~which~~the full ~~are~~Board ~~submitted~~of ~~to any governmental body~~Directors, orthe members toof the ~~public,~~Committee ~~including~~may ~~any~~designate ~~certification,~~a Chair ~~report,~~by ~~opinion,~~a ormajority ~~review~~vote ~~rendered~~of by the full ~~external~~Committee ~~auditors~~membership.

~~External Auditors~~Meetings

~~(a)~~The Committee ~~Review~~shall meet annually, ~~the~~or ~~performance~~more frequently ofas ~~the~~circumstances ~~external~~dictate. ~~auditors~~As part ~~who~~of ~~shall~~its bejob ~~ultimately accountable~~ to ~~the~~foster open ~~Board~~communication, ~~of Directors and~~ the Committee aswill ~~representatives~~meet ofat least annually with the ~~shareholders~~Chief Financial ofOfficer and the external ~~Corporation~~auditors.

~~(b) Obtain annually, a formal written statement of the external auditors setting forth all relationships between the external auditors~~ Responsibilities and ~~the Corporation, consistent with PCAOB Rule 3526.~~Duties

~~(c)~~To ~~Review~~fulfill its ~~and~~responsibilities ~~discuss with the external auditors any disclosed relationships or services that may impact the objectivity~~ and ~~independence~~duties, of the Committee ~~external auditors.~~shall:

~~(d) Take, or recommend that the full Board of Directors take, appropriate action to oversee the independence of the external auditors.~~Documents/Reports Review

(ea) Review ~~Recommend to the Board of Directors the selection~~ and, ~~where~~update this ~~applicable,~~Charter ~~the replacement of the external auditors nominated~~ annually ~~for shareholder approval~~.

(fb) Review Atthe ~~each~~Corporation's ~~meeting~~financial statements, ~~consult~~MD&A ~~with~~and ~~the~~any ~~external~~reports or ~~auditors,~~other ~~without~~financial ~~the~~information (including ~~presence~~quarterly offinancial ~~management~~statements), ~~about~~which ~~the~~are ~~quality~~submitted ofto ~~the~~any governmental ~~Corporation’s~~body, ~~accounting~~or to ~~principles~~the public, ~~internal~~including ~~controls~~any ~~and~~certification, report, ~~the~~opinion, ~~completeness~~or ~~and~~review ~~accuracy~~rendered by of the ~~Corporation’s~~external ~~financial statements~~auditors.

~~(g)~~External ~~Review with management and the external auditors the audit plan for the year-end financial statements and intended template for such statements.~~Auditors

(ha) Review ~~and~~annually ~~pre-approve~~the ~~all~~performance of ~~audit~~the ~~and~~external ~~audit~~auditors ~~related~~who shall ~~services~~be ~~and~~ultimately accountable to the ~~fees~~Board ~~and~~of ~~other compensation related thereto,~~ Directors and ~~any non-audit services, provided by~~ the ~~Corporation’s~~Committee ~~external~~as ~~auditors.~~representatives ~~The pre-approval requirement is waived with respect to~~ of the ~~provision~~shareholders of ~~non-audit~~the ~~services if:~~Corporation.

14(b) Obtain annually, a formal written statement of the external auditors setting forth all relationships between the external auditors and the Corporation, consistent with PCAOB Rule 3526.

(ic) Review ~~the~~and ~~aggregate~~discuss ~~amount~~with ~~of all such non-audit services provided to~~ the ~~Corporation constitutes not more than five percent of the total amount of revenues paid by the Corporation to its~~ external auditors ~~during~~any ~~the~~disclosed relationships ~~fiscal~~or ~~year in which the non-audit~~ services ~~are~~that ~~provided;~~may impact ~~(ii) such services were not recognized by~~ the ~~Corporation~~objectivity ~~at the time of the engagement to be non-audit services;~~ and ~~(iii) such services are promptly brought to the attention~~ independence of the ~~Committee~~external by the Corporation and approved prior to the completion of the audit by the Committee or by one or more members of the Committee who are members of the Board of Directors to whom authority to grant such approvals have been delegated by the Committeeauditors.

~~Provided the pre-approval of the non-audit services~~(d) isTake, ~~presented~~or torecommend that the ~~Committee's~~full ~~first~~Board ~~scheduled~~of ~~meeting~~Directors ~~following~~take, appropriate ~~such~~action ~~approval such authority may be delegated by the Committee~~ to ~~one~~oversee orthe ~~more~~independence ~~independent members~~ of the ~~Committee~~external auditors.

~~Financial~~(e) Recommend ~~Reporting~~to ~~Processes~~the Board of Directors the selection and, where applicable, the replacement of the external auditors nominated annually for shareholder approval.

(af) At Ineach ~~consultation~~meeting, ~~with~~consult with the external auditors, ~~review~~without ~~with management~~ the presence ~~integrity~~ of ~~the Corporation’s financial reporting process~~management, ~~both internal and external. (b) Consider the external auditors’ judgments~~ about the quality ~~and appropriateness~~ of the Corporation’'s accounting principles ~~as applied in its financial reporting. (c) Consider and approve~~, ifinternal ~~appropriate, changes to the Corporation’s auditing~~ controls and ~~accounting principles and practices as suggested by~~ the ~~external~~completeness ~~auditors~~ and ~~management. (d) Review significant judgments made by management in the preparation~~ accuracy of ~~financial statements and~~ the ~~view~~Corporation's of the external auditors as to the appropriateness of such judgments. (e) Following completion of the annual audit, review separately with management and the external auditors any significant difficulties encountered during the course of the audit, including any restrictions on the scope of work or access to required information. (f) Review any significant disagreement among management and the external auditors in connection with the preparation of the financial statements. (g) Review with the external auditors and management the extent to which changes and improvements in financial or accounting practices have been implemented. (h) Review any complaints or concerns about questionable accounting, internal accounting controls or auditing matters. (i) Review certification process.

~~Other~~14

(g) Review ~~any~~with ~~related~~management and the external auditors the audit plan for the year-~~party~~end ~~transactions~~financial statements and intended template for such statements.

~~Members~~(h) Review ofand pre-approve all audit and audit related services and the ~~Audit~~fees ~~Committee~~and other compensation related thereto, and any non-audit services, provided by the Corporation's external auditors. The pre-approval requirement is waived with respect to the provision of non-audit services if,:

~~Member~~(i) ~~Independence~~the ~~Financially~~aggregate ~~Literate~~amount ~~Tom~~of ~~Zapatinas~~all ~~Paul~~such ~~Verberne~~non-audit ~~Not~~services ~~Independent~~provided ~~Not~~to ~~Independent~~the ~~Not~~Corporation ~~Financially~~constitutes ~~literate~~not ~~Not~~more ~~Financially~~than ~~literate~~five percent of the total amount of revenues paid by the Corporation to its external auditors during the fiscal year in which the non-audit services are provided;

~~CORPORATE~~(ii) ~~GOVERNANCE~~such services were not recognized by the Corporation at the time of the engagement to be non-audit services; and

~~Corporate~~(iii) ~~Governance~~such ~~relates~~services toare ~~the~~promptly ~~activities~~brought ~~of the Board of Directors. National Policy 58-201 establishes corporate governance guidelines which apply~~ to ~~all~~the ~~public~~attention ~~companies. The Corporation has reviewed its own corporate governance practices in light~~ of ~~these~~the ~~guidelines.~~Committee Inby ~~certain cases,~~ the Corporation’s ~~practices comply~~and ~~with~~approved ~~the~~prior ~~guidelines,~~to ~~however,~~ the ~~Board~~completion ~~considers that some~~ of the ~~guidelines~~audit ~~are~~by ~~not~~the ~~suitable~~Committee ~~for~~or ~~the~~by ~~Corporation~~one ator ~~its~~more ~~current stage~~members of ~~development~~the ~~and~~Committee ~~therefore~~who ~~these~~are ~~guidelines~~members ~~have not been adopted. National Policy 58-201 mandates disclosure~~ of ~~corporate~~the ~~governance practices which disclosure is set out below. The~~ Board ~~is committed to sound corporate governance practices in the interest~~ of ~~its~~Directors ~~shareholders and contribute~~ to ~~effective~~whom ~~and~~authority ~~efficient decision making. The Corporation will continue~~ to ~~review~~grant ~~and~~such ~~implement~~approvals ~~corporate~~have ~~governance guidelines~~been asdelegated ~~the~~by ~~business of~~ the ~~Corporation progresses~~Committee.

~~Independence~~Provided the pre-approval of ~~Members~~the non-audit services is presented to the Committee's first scheduled meeting following such approval such authority may be delegated by the Committee to one or more independent members of ~~Board~~the Committee.

~~The~~Financial ~~Corporation’s~~Reporting ~~Board consists of two directors, Paul Verberne and Tom Zapatinas. Of which Tom Zapatinas is not independent as he is the Chief Executive Officer of the Corporation.~~Processes

15(a) In consultation with the external auditors, review with management the integrity of the Corporation's financial reporting process, both internal and external.

~~Management~~(b) Consider ~~Supervision~~the byexternal ~~Board~~auditors' judgments about the quality and appropriateness of the Corporation's accounting principles as applied in its financial reporting.

~~The~~(c) Consider ~~size~~and ofapprove, ~~the~~if ~~Corporation~~appropriate, changes isto ~~such that all of~~ the Corporation’'s ~~operations~~auditing ~~are~~and accounting ~~conducted~~principles ~~by a small management team which is also represented on the Board. The Board considers that~~and ~~management~~practices ~~is effectively supervised by the director on an informal basis~~ as ~~the~~suggested ~~director is actively and regularly involved in reviewing~~by the ~~operations~~external ofauditors ~~the Corporation~~ and ~~has regular and full access to~~ management.

~~Other~~(d) Review ~~Directorships~~significant judgments made by management in the preparation of financial statements and the view of the external auditors as to the appropriateness of such judgments.

~~Paul~~(e) Following ~~Verberne~~completion orof ~~Tom~~the ~~Zapatinas~~annual audit, isreview ~~not~~separately awith management ~~director~~and ofthe external auditors any ~~other~~significant difficulties ~~reporting~~encountered ~~issuers~~during the course of the audit, including any restrictions on the scope of work or access to required information.

~~Orientation~~(f) Review any significant disagreement among management and ~~Continuing~~the ~~Education~~external auditors in connection with the preparation of the financial statements.

~~The Board does not have a formal orientation~~(g) orReview ~~education program for its members. New Board members are provided~~ with ~~information respecting~~ the ~~functioning~~external ~~of the Board of Directors,~~auditors ~~audit~~and ~~committee,~~management ~~access~~the extent to ~~all~~which ofchanges ~~the publicly filed documents of the Corporation~~ and ~~complete~~improvements in ~~access~~financial toor ~~management~~accounting ~~and the Corporation’s~~practices ~~professional~~have ~~advisors~~been implemented.

~~Board~~(h) Review ~~members~~any ~~are encouraged to communicate~~complaints ~~with~~or ~~management~~concerns ~~and~~about ~~the auditors, to keep themselves current with industry trends and developments and changes in legislation with the~~questionable ~~Corporation’s assistance~~accounting, tointernal ~~attend~~accounting ~~industry seminars and to visit the Corporation’s operations. Board members have full access~~controls toor ~~the~~auditing ~~Corporation’s records and legal counsel~~matters.

~~Ethical~~(i) Review ~~Business~~certification ~~Conduct~~process.

~~The Board believes good corporate governance in an integral component to the success of the Corporation and to meet responsibilities to shareholders.~~Other

AtReview ~~present the Board has not adopted guidelines~~any orrelated-party ~~stipulations or a code to encourage and promote a culture of ethical business conduct due to the size of its Board and its limited activities~~transactions. ~~The Corporation does promote ethical business conduct through the nomination of Board members it considers ethical.~~

~~Nomination~~Members of ~~Directors~~the Audit Committee

The Board has responsibility for identifying and assessing potential Board candidates. Recruitment of new directors has generally resulted from recommendations made by directors, management and shareholders. The Board assesses potential Board candidates to fill perceived needs on the Board for required skills, expertise, independence and other factors.

Name	Independence	Financially Literate

Tom Zapatinas	Not Independent	CEO, CFO for over 30 years
Paul Verberne	Independent	Corporate Lawyer

~~Compensation of Directors and the CEO~~15

~~The directors decide as a Board the compensation~~CORPORATE for the Corporation’s directors and officers. Compensation payable is determined by considering compensation paid for directors and CEOs of companies of similar size and stage of development in the health care payment industry and determining appropriate compensation reflecting the need to provide incentive and compensation for the time and effort expended by the directors and senior management while taking into account the financial and other resources of the Corporation. In setting the compensation, the performance of the CEO is reviewed in light of the Corporation’s objectives and other factors that may have impacted the success of the Corporation.GOVERNANCE

Corporate Governance relates to the activities of the Board ~~Committees~~of Directors. National Policy 58-201 establishes corporate governance guidelines which apply to all public companies. The Corporation has reviewed its own corporate governance practices in light of these guidelines. In certain cases, the Corporation's practices comply with the guidelines, however, the Board considers that some of the guidelines are not suitable for the Corporation at its current stage of development and therefore these guidelines have not been adopted. National Policy 58-201 mandates disclosure of corporate governance practices which disclosure is set out below. The Board is committed to sound corporate governance practices in the interest of its shareholders and contribute to effective and efficient decision making. The Corporation will continue to review and implement corporate governance guidelines as the business of the Corporation progresses.

~~The~~Independence ~~Corporation has an Audit Committee (see~~of ~~section~~Members ~~entitled~~of ~~“Audit Committee”).~~Board

The Corporation's Board isconsists of ~~the~~two ~~view~~directors, ~~that~~Paul ~~the~~Verberne ~~size~~and ofTom ~~the~~Zapatinas. Of which ~~Corporation’s~~Tom ~~operations~~Zapatinas ~~does~~is not ~~warrant~~independent ~~additional~~as ~~committees~~he is atthe ~~this~~Chief ~~stage~~Executive Officer of the Corporation~~’s development~~.

~~Assessments~~Management Supervision by Board

The size of the Corporation is such that all of the Corporation's operations are conducted by a small management team which is also represented on the Board. ~~does~~The ~~not~~Board ~~consider~~considers that ~~formal~~management ~~assessments~~is effectively supervised by the director on an informal basis as the director is actively ~~would~~and beregularly ~~useful~~involved atin ~~this~~reviewing ~~stage~~the operations of the Corporation’s ~~development~~and has regular and full access to management.

~~Section~~Other ~~16(a) Beneficial Ownership Reporting Compliance~~Directorships

~~Section~~Neither ~~16(a)~~Paul ~~of the Securities Exchange Act requires our executive officers and directors~~Verbeme, ~~and persons who own more than 10% of our common stock, to file reports regarding ownership~~Pavel ofBondarev, ~~and~~nor ~~transactions~~Tom ~~in,~~Zapatinas ~~our~~are ~~securities~~directors ~~with the Securities and Exchange Commission and to provide us with copies~~ of ~~those~~any ~~filings.~~other ~~Based solely on our review of the copies of such forms received by us, or written representations from certain~~ reporting persons, we believe that during the fiscal year ended May 31, 2024 all filing requirements applicable to our executive officers, directors and greater than 10% percent beneficial owners were complied withissuers.

~~ITEM~~Orientation ~~11.~~and ~~EXECUTIVE~~Continuing ~~COMPENSATION~~Education

The ~~following~~Board ~~table~~does not ~~sets~~have ~~forth~~a ~~all~~formal ~~compensation~~orientation ~~received during~~or ~~the~~education ~~two~~program ~~years~~for ~~ended~~its ~~May~~members. ~~31,~~New ~~2024~~Board ~~and~~members ~~2023~~are byprovided ~~our~~with ~~principal~~information ~~executive~~respecting ~~officer~~the ~~and~~functioning of ~~principal~~the ~~financial~~Board ~~officer and each~~ of ~~the~~Directors, ~~other most~~audit ~~highly~~committee, ~~compensated~~access ~~executive~~to ~~officers~~all ~~whose~~of ~~total~~the ~~compensation~~publicly ~~exceeded~~filed ~~$100,000~~documents inof ~~such~~the ~~fiscal~~Corporation ~~year.~~and ~~These~~complete ~~officers~~access ~~are~~to ~~referred~~management toand as the ~~Named~~Corporation's ~~Executive~~professional ~~Officers in this report~~advisors.

~~Summary~~Board ~~Compensation~~members are encouraged to communicate with management and the auditors, to keep themselves current with industry trends and developments and changes in legislation with the Corporation's assistance, to attend industry seminars and to visit the Corporation's operations. Board members have full access to the Corporation's records and legal counsel.

16Ethical Business Conduct

The ~~following~~Board ~~table~~believes ~~provides~~good acorporate ~~summary~~governance in ofan ~~the~~integral ~~compensation~~component ~~received~~to by the ~~persons~~success ~~set~~of ~~out~~the ~~therein~~Corporation ~~for~~and ~~each~~to ofmeet ~~our~~responsibilities ~~last~~to ~~two fiscal years:~~shareholders.

~~SUMMARY~~At ~~COMPENSATION~~present the ~~TABLE~~Board has not adopted guidelines or stipulations or a code to encourage and promote a culture of ethical business conduct due to the size of its Board and its limited activities. The Corporation does promote ethical business conduct through the nomination of Board members it considers ethical.

Name and Principal Position

Year

Salary ($)

Bonus ($)

Stock Awards ($)

Option Awards ($)

Non-Equity Incentive Plan Compensation ($)

Change in Pension Value and Nonqualified Deferred Compensa- tion Earnings ($)

All Other Compensa -tion ($)

Total ($)

Tom Zapatinas, President, CEO and Director

2024 2023

$60,000 $120,000

Nil Nil

$60,000 $120,000

Nomination of Directors

~~Employment~~The ~~Agreements~~Board has responsibility for identifying and assessing potential Board candidates. Recruitment of new directors has generally resulted from recommendations made by directors, management and shareholders. The Board assesses potential Board candidates to fill perceived needs on the Board for required skills, expertise, independence and other factors.

~~There~~Compensation ~~are~~of ~~currently~~Directors noand ~~employment~~the ~~agreements in effect.~~CEO

~~Pension~~The directors decide as a Board the compensation for the Corporation's directors and officers. Compensation is determined by considering compensation paid for directors and CEOs of companies of similar size and stage of development in the health care payment industry and determining appropriate compensation reflecting the need to provide incentive and compensation for the time and effort expended by the directors and senior management while taking into account the financial and other resources of the Corporation. In setting compensation, ~~Retirement~~the orperformance of ~~Similar~~the ~~Benefit~~CEO ~~Plans~~is reviewed in light of the Corporation's objectives and other factors that may have impacted the success of the Corporation.

~~There~~Board are no arrangements or plans in which we provide pension, retirement or similar benefits for directors or executive officers. We adopted and approved our current stock option plan on January 28, 2010, pursuant to which we may grant stock options to acquire up to 2,000,000 shares of our common stock. Our directors and executive officers may receive stock options at the discretion of our board of directors in the future. We do not have any material bonus or profit-sharing plans pursuant to which cash or non-cash compensation is or may be paid to our directors or executive officers, except that stock options may be granted at the discretion of our board of directors from time to time.Committees

~~Termination~~The ofCorporation ~~Employment~~has ~~and~~an ~~Change~~Audit ~~in Control~~Committee ~~Arrangements~~(see section entitled "Audit Committee").

WeThe ~~have~~Board nois ~~plans or arrangements in respect~~ of ~~remuneration received~~the orview that ~~may be received by our executive officers to compensate such officers in~~ the ~~event~~ size of ~~termination~~the ofCorporation's ~~employment~~operations ~~(as~~does ~~a result~~not ofwarrant ~~resignation,~~additional ~~retirement,~~committees ~~change~~at ofthis ~~control)~~stage ~~or a change~~ of ~~responsibilities~~the ~~following~~Corporation's ~~a change of control~~development.

~~Outstanding Equity Awards at Fiscal Year-End~~Assessments

The ~~following~~Board ~~table~~does ~~sets~~not ~~forth~~consider ~~for~~that ~~each named executive~~formal ~~officer~~assessments ~~certain~~would ~~information~~be ~~concerning~~useful ~~the~~at ~~outstanding~~this ~~equity~~stage ~~awards as~~ of ~~May~~the ~~31,~~Corporation's ~~2024~~development.

OUTSTANDING EQUITY AWARDS AT FISCAL YEAR-END OPTION AWARDS STOCK AWARDS Name Number of Securities Underlying Unexercised Options (#) Exercisable Number of Securities Underlying Unexercised Options (#) Unexercisable Equity Incentive Plan Awards: Number of Securities Underlying Unexercised Unearned Options (#) Option Exercise Price ($) Option Expiration Date Number of Shares or Units of Stock That Have Not Vested (#) Market Value of Shares or Units of Stock That Have Not Vested ($) Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#) Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested (#) Tom Zapatinas None None None None None None None None None16

17Section 16(a) Beneficial Ownership Reporting Compliance

~~Aggregated~~Section ~~Option~~l ~~Exercises~~6(a) of the Securities Exchange Act requires our executive officers and directors, and persons who own more than 10% of our common stock, to file reports regarding ownership of, and transactions in, our securities with the Securities and Exchange Commission and to provide us with copies of those filings. Based solely on our review of the copies of such forms received by us, or written representations from certain reporting persons, we believe that during the fiscal year ended May 31, 2025, all filing requirements applicable to our executive officers, directors and greater than I0% percent beneficial owners were complied with.

~~There~~ITEM ~~were~~11. ~~no options granted or exercised by any~~EXECUTIVE ~~executive officer or director of our company during the twelve-month period ended May 31, 2024.~~COMPENSATION

~~Directors~~The ~~Compensation~~following table sets forth all compensation received during the two years ended May 31, 2025, and 2024 by our principal executive officer and principal financial officer and each of the other most highly compensated executive officers whose total compensation exceeded $100,000 in such fiscal year. These officers are referred to as the Named Executive Officers in this report.

WeSummary reimburse our directors for expenses incurred in connection with attending board meetings but did not pay director’s fees or other cash compensation for services rendered as a director in the year ended May 31, 2024. We have no present formal plan for compensating our directors for their service in their capacity as directors, although in the future, such directors are expected to receive compensation and options to purchase shares of common stock as awarded by our board of directors or (as to future options) a compensation committee which may be established in the future. Directors are entitled to reimbursement for reasonable travel and other out-of-pocket expenses incurred in connection with attendance at meetings of our board of directors. The board of directors may award special remuneration to any director undertaking any special services on behalf of our company other than services ordinarily required of a director. Other than indicated in this annual report, no director received and/or accrued any compensation for his or her services as a director, including committee participation and/or special assignments.Compensation

~~ITEM~~The ~~12.~~following table ~~SECURITY~~provides ~~OWNERSHIP~~a OFsummary ~~CERTAIN~~of ~~BENEFICIAL~~the compensation ~~OWNERS~~received ~~AND~~by ~~MANAGEMENT~~the persons ~~AND~~set ~~RELATED~~out ~~STOCKHOLDER~~therein ~~MATTERS~~for each of our last two fiscal years:

~~Security~~SUMMARY COMPENSATION ~~ownership of certain beneficial owners~~TABLE

The following table sets forth, as of September 26, 2024, certain information with respect to the beneficial ownership of our common stock by our current directors and executive officers as a group. Each person has sole voting and investment power with respect to the shares of common stock they hold, except as otherwise indicated. Beneficial ownership consists of a direct interest in the shares of common stock, except as otherwise indicated. As of September 26, 2024, there were no shareholders known by us to be the beneficial owner of more than 5% of our common stock except as set forth in the following table.

Name and Principal Position	Year		Salary $		Bonus $		Stock Award $		Option Award $		Non-Equity Incentive Plan $		Change in Pension Value and Non-Qualified Deferred Comp $		All Other Comp $		Total $

Tom Zapatinas		2025	$	100,000		0		0		0		0		0		0	$	100,000
CEO, President		2024	$	60,000		0		0		0		0		0		0	$	60,000

~~Security~~Employment ~~ownership of management~~Agreements

Title of Class	Name and Address of Beneficial Owner	Amount and Nature of Beneficial Ownership (1)		Percentage of Class (2)
Common Stock	Tom Zapatinas	9,100,000	Direct	46.03%
	3212 – 14 Avenue SW
	Calgary, AB T3C 0X3
Common Stock	Paul Verberne 3212 – 14 Avenue SW Calgary, AB T3C 0X3	-		-
Common Stock	All officers and directors as a group (2 persons)	9,100,000		46.03%

There are currently no employment agreements in effect.

~~1 Except as otherwise indicated~~Pension, weRetirement believe that the beneficial owners of the common stock listed above, based on information furnished by such owners, have sole investment and voting power with respect to such shares, subject to community property laws where applicable. Beneficial ownership is determined in accordance with the rules of the Securities and Exchange Commission and generally includes voting or ~~investment~~ ~~power~~Similar ~~with~~Benefit respect to securities. Shares of common stock subject to options or warrants currently exercisable, or exercisable within 60 days, are deemed outstanding for purposes of computing the percentage ownership of the person holding such option or warrants, but are not deemed outstanding for purposes of computing the percentage ownership of any other person.Plans

2There are ~~Based~~no ~~upon~~arrangements 19or plans in which we provide pension,~~767,698~~ ~~issued~~retirement or similar benefits for directors or executive officers. We adopted and ~~outstanding~~approved our current stock option plan on January 28, 2010, pursuant to which we may grant stock options to acquire up to 2,000,000 shares of our common stock. Our asdirectors and executive officers may receive stock options at the discretion of ~~October~~our 10board of directors in the future. We do not have any material bonus or profit- sharing plans pursuant to which cash or non-cash compensation is or may be paid to our directors or executive officers, ~~2024~~except that stock options may be granted at the discretion of our board of directors from time to time.

~~Changes~~Termination inof Employment and Change in Control Arrangements

We have ~~are~~no ~~unaware~~plans ofor ~~any~~arrangements ~~contract~~in orrespect ~~other~~of ~~arrangement~~remuneration received ~~the~~or ~~operation~~that ofmay ~~which~~be ~~may~~received atby our aexecutive ~~subsequent~~officers ~~date~~to ~~result~~compensate such officers in the event of termination of employment (as a result of resignation, retirement, change of control) or a change of ~~our~~responsibilities ~~company~~following a change of control.

~~ITEM~~Outstanding Equity ~~13.~~Awards ~~CERTAIN~~at ~~RELATIONSHIPS~~Fiscal ~~AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE~~Year-End

~~Other~~No ~~than~~executive ~~as listed below, no director,~~ officer~~, principal~~ ~~shareholder~~held ~~holding at least 5% of our common shares, or~~ any ~~family member thereof, had any material interest, direct or indirect,~~outstanding inequity ~~any~~awards ~~transaction,~~as ~~or proposed transaction, since the beginning~~ of ~~our fiscal year ended~~ May 31, ~~2024, in which the amount involved in the transaction exceeded or exceeds the lesser of $120,000 or one percent of the average of our total assets at year-end for the last two completed fiscal years~~2025.

1817

1.Aggregated ~~During~~Option the year ended May 31, 2024, the Company’s president, Tom Zapatinas, invoiced $60,000 for management services rendered to the Company, advanced $13,893 in cash and received repayments of $1,658 in cash. As of May 31, 2024, Accounts payable – related party and Advances – related party includes a total of $377,187 due and payable to Mr. Zapatinas. The balance as of May 31, 2023 was $304,952. 2. As of May 31, 2024 and 2023, loans payable - shareholders are $191,330 and $173,067, respectively. Loans payable – shareholders are unsecured, non-interest bearing and due on demand or due within one year after the issuance date. During the years ended May 31, 2024 and 2023, the Company was advanced $18,263 and $4,992, respectively, in cash, and was repaid $0 and $0, respectively, in cash. 3. As of May 31, 2024 and 2023, convertible note payable - related party of $1,058,760 is due to Tom Zapatinas, the Chief Executive Officer and a Director of the Company. The Note is non-interest bearing, unsecured, payable on demand and convertible in whole or in part into shares of common stock of the Company at a conversion price of $0.10 per share, which equates to 10,587,600 shares.Exercises

~~Director~~There ~~Independence~~were no options granted or exercised by any executive officer or director of our company during the twelve-month period ended May 31, 2025.

WeDirectors ~~do not currently have any directors that would fit the independence requirements of Rule 5605(a)(2) of the Nasdaq Marketplace Rules.~~Compensation

~~ITEM~~We reimburse 14our directors for expenses incurred in connection with attending board meetings but did not pay director's fees or other cash compensation for services rendered as a director in the year ended May 31, 2025. ~~PRINCIPAL~~We ~~ACCOUNTING~~have ~~FEES~~no ~~AND~~present ~~SERVICES~~formal plan for compensating our directors for their service in their capacity as directors, although in the future, such directors are expected to receive compensation and options to purchase shares of common stock as awarded by our board of directors or (as to future options) a compensation committee which may be established in the future. Directors are entitled to reimbursement for reasonable travel and other out-of-pocket expenses incurred in connection with attendance at meetings of our board of directors. The board of directors may award special remuneration to any director undertaking any special services on behalf of our company other than services ordinarily required of a director. Other than indicated in this annual report, no director received and/or accrued any compensation for his or her services as a director, including committee participation and/or special assignments.

~~Audit~~ITEM ~~fees~~12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

~~The~~Security ~~aggregate~~ownership ~~fees billed by GreenGrowthCPAs for the completed fiscal periods ended May 31, 2024 and 2023 for professional services rendered for the audit~~ of ~~our~~certain ~~annual~~beneficial financial statements, quarterly reviews of our interim financial statements and services normally provided by the independent accountant in connection with statutory and regulatory filings or engagements for these fiscal periods were as follows:owners

	Year Ended May 31, 2024		Year Ended May 31, 2023
Audit Fees and Audit Related Fees	$	10,000	$	10,000
Tax Fees		—		—
All Other Fees		—		—
Total	$	10,000	$	10,000

The following table sets forth, as of August 15, 2025, certain information with respect to the beneficial ownership of our common stock by our current directors and executive officers as a group. Each person has sole voting and investment power with respect to the shares of common stock they hold, except as otherwise indicated. Beneficial ownership consists of a direct interest in the shares of common stock, except as otherwise indicated. As of August 15, 2025, there were no shareholders known by us to be beneficial owners of more than 5% of our common stock except as set forth in the following table.

In the above tables, “audit fees” are fees billed by our company’s external auditor for services provided in auditing our company’s annual financial statements for the subject year. “Audit-related fees” are fees not included in audit fees that are billed by the auditor for assurance and related services that are reasonably related to the performance of the audit and review of our company’s financial statements. “Tax fees” are fees billed by the auditor for professional services rendered for tax compliance, tax advice and tax planning. “All other fees” are fees billed by the auditor for products and services not included in the foregoing categories.18

~~Policy~~Security onownership ~~Pre-Approval by Audit Committee~~ of ~~Services Performed by Independent Auditors~~management

The board of directors pre-approves all services provided by our independent auditors. All of the above services and fees were reviewed and approved by the board of directors before the respective services were rendered.

Title of Class	Name and Address of Beneficial Owner	Amount and Nature of Beneficial Ownership ⁽¹⁾	Percentage of Class ⁽²⁾
Common Stock	Tom Zapatinas	16,500,000	32.0%
	3212 – 14 Avenue SW
	Calgary, AB T3C 0X3
Common Stock	Paul Verberne 3212 – 14 Avenue SW Calgary, AB T3C 0X3	-	-
Common Stock	Paul Bondarev 3212 – 14 Avenue SW Calgary, AB T3C 0X3	16,500,000	32.0%
Common Stock	All officers and directors as a group (2 persons)	33,000,000	64.00%

191) Except as otherwise indicated, we believe that the beneficial owners of the common stock listed above, based on information furnished by such owners, have sole investment and voting power with respect to such shares, subject to community property laws where applicable. Beneficial ownership is determined in accordance with the rules of the Securities and Exchange Commission and generally includes voting or investment power with respect to securities. Shares of common stock subject to options or warrants currently exercisable, or exercisable within 60 days, are deemed outstanding for purposes of computing the percentage ownership of the person holding such option or warrants but are not deemed outstanding for purposes of computing the percentage ownership of any other person.

~~PART~~2) IVBased upon 53,824,000 issued shares of common stock as of August 31, 2025, 43,024,000 outstanding and 10,800,000 in treasury.

Changes in Control

We are unaware of any contract or other arrangement, the operation of which may at a subsequent date result in a change of control of our company.

ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

Other than as listed below, no director, officer, principal shareholder holding at least 5% of our common shares, or any family member thereof, had any material interest, direct or indirect, in any transaction, or proposed transaction, since the beginning of our fiscal year ended May 31, 2025, in which the amount involved in the transaction exceeded or exceeds the lesser of $120,000 or one percent of the average of our total assets at year-end for the last two completed fiscal years.

1. During the year ended May 31, 2025, the Company's president, Tom Zapatinas, invoiced $100,000 for management services rendered to the Company, advanced $30,534 in cash and received repayments of $0 in cash. As of May 31, 2025, Accounts payable - related party and Advances - related party include a total of $102,716 due for advances and $400,000 due as officer compensation payable to Mr. Zapatinas. The balances as of May 31, 2024, were $72,182 and $300,000, respectively.

2. As of May 31, 2025 and 2024, loans payable - shareholders are $201,331 and $191,330, respectively. Loans payable - shareholders are unsecured, non- interest bearing and due on demand or due within one year after the issuance date. During the years ended May 31, 2025, and 2024, the Company was advanced $0 and $0, respectively, in cash, and was repaid $10,000 and $0, respectively, in cash.

3. As of May 31, 2025, and 2024, promissory note - related party of $466,817 and $466,817, respectively, is due to Tom Zapatinas, the Chief Executive Officer and a Director of the Company. The Note is non-interest bearing, unsecured and payable on demand.

4. As of May 31, 2025 and 2024, convertible note payable - related party of $1,058,760 is due to Tom Zapatinas, the Chief Executive Officer and a Director of the Company. The Note is non-interest bearing, unsecured, payable on demand and convertible in whole or in part into shares of common stock of the Company at a conversion price of $0.10 per share, which equates to 10,587,600 shares.

Director Independence

We do not currently have any directors that would fit the independence requirements of Rule 5605(a)(2) of the Nasdaq Marketplace Rules.

ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES

Audit fees

The aggregate fees billed by registered audit firms for the completed fiscal periods ended May 31, 2025 and 2024 for professional services rendered for the audit of our annual financial statements, quarterly reviews of our interim financial statements and services normally provided by the independent accountant in connection with statutory and regulatory filings or engagements for these fiscal periods were as follows:

	Year Ended	Year Ended
	May 31, 2024	May 31, 2025

Audit Fees and Audit Related Fees GreenGrowthCPAs	$ 25,000	-
Audit Fees and Reviews – Fruci & Associates	-	$ 19,000
Tax Fees
Total	$ 25,000	$ 19,000

In the above tables, "audit fees" are fees billed by our company's external auditor for services provided in auditing our company's annual financial statements for the subject year. "Audit-related fees" are fees not included in audit fees that are billed by the auditor for assurance and related services that are reasonably related to the performance of the audit and review of our company's financial statements. "Tax fees" are fees billed by the auditor for professional services rendered for tax compliance, tax advice and tax planning. "All other fees" are fees billed by the auditor for products and services not included in the foregoing categories.

Policy on Pre-Approval by Audit Committee of Services Performed by Independent Auditors

PART IV

ITEM 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES

Exhibit Number	Description
3.1	Articles of Incorporation (Incorporated by reference to the Exhibits filed with the Form SB-2 filed with the SEC on March 16, 2006)
3.2	Certificate of Amendment to Articles of Incorporation (Incorporated by reference to the Exhibits filed with Schedule 14C on November 14, 2008)
3.3	Bylaws (Incorporated by reference to the Exhibits filed with the Form SB-2 filed with the SEC on March 16, 2006)
3.4	Amended Bylaws (Incorporated by reference to the Exhibits filed with the Form SB-2 filed with the SEC on March 16, 2006)
10.1	Share Exchange Agreement dated May 31, 2005 between Kimberley Coonfer, Caribbean Overseas Investments Ltd., Sun World Partners Inc. and Tiempo De Mexico Ltd. (Incorporated by reference to the Exhibits filed with the Form SB-2 filed with the SEC on March 16, 2006)
10.2	Letter of Intent dated February 22, 2008 between Sun World Partners Inc. and H Pay Card Ltd. (Incorporated by reference to the Exhibits filed with the Form 8-K on March 5, 2008)
10.3	Acquisition Agreement dated April 22, 2008 (Incorporated by reference to the Exhibits filed with the Form 8-K on May 19, 2008)
10.4	Promissory note dated June 1, 2011 issued to Macleod Projects Inc. (Incorporated by reference to the Exhibits filed with the annual report on Form 10-K for the year ended May 31, 2011 filed with the SEC on October 21, 2011)
10.5	Promissory note dated August 5, 2011 issued to Macleod Projects Inc. (Incorporated by reference to the Exhibits filed with the annual report on Form 10-K for the year ended May 31, 2011 filed with the SEC on October 21, 2011 )
10.6	Promissory note dated August 31, 2017 issued to 2001033 Alberta Ltd. (Incorporated by reference to the Exhibits filed with the annual report on Form 10-K for the year ended May 31, 2018 filed with the SEC on September 13, 2018)
10.7	Promissory note dated May 31, 2018 issued to 1378655 Alberta Ltd. (Incorporated by reference to the Exhibits filed with the annual report on Form 10-K for the year ended May 31, 2018 filed with the SEC on September 13, 2018)
31.1*	Section 302 Certification of Principal Executive Officer
32.1*	Certification Pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101.INS*	XBRL INSTANCE DOCUMENT
101.SCH*	XBRL TAXONOMY EXTENSION SCHEMA
101.CAL*	XBRL TAXONOMY EXTENSION CALCULATION LINKBASE
101.DEF*	XBRL TAXONOMY EXTENSION DEFINITION LINKBASE
101.LAB*	XBRL TAXONOMY EXTENSION LABEL LINKBASE
101.PRE*	XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE

Exhibit Number

Exhibit Number	Description
3.1	Articles of Incorporation (Incorporated by reference to the Exhibits filed with the Form SB-2 filed with the SEC on March 16, 2006)
3.2	Certificate of Amendment to Articles of Incorporation (Incorporated by reference to the Exhibits filed with Schedule 14C on November 14, 2008)
3.3	Bylaws (Incorporated by reference to the Exhibits filed with the Form SB-2 filed with the SEC on March 16, 2006)
3.4	Amended Bylaws (Incorporated by reference to the Exhibits filed with the Form SB-2 filed with the SEC on March 16, 2006)
10.1	Share Exchange Agreement dated May 31, 2005 between Kimberley Coonfer, Caribbean Overseas Investments Ltd., Sun World Partners Inc. and Tiempo De Mexico Ltd. (Incorporated by reference to the Exhibits filed with the Form SB-2 filed with the SEC on March 16, 2006)
10.2	Letter of Intent dated February 22, 2008 between Sun World Partners Inc. and H Pay Card Ltd. (Incorporated by reference to the Exhibits filed with the Form 8-K on March 5, 2008)
10.3	Acquisition Agreement dated April 22, 2008 (Incorporated by reference to the Exhibits filed with the Form 8-K on May 19, 2008)
10.4	Promissory note dated June 1, 2011 issued to Macleod Projects Inc. (Incorporated by reference to the Exhibits filed with the annual report on Form 10-K for the year ended May 31, 2011 filed with the SEC on October 21, 2011)
10.5	Promissory note dated August 5, 2011 issued to Macleod Projects Inc. (Incorporated by reference to the Exhibits filed with the annual report on Form 10-K for the year ended May 31, 2011 filed with the SEC on October 21, 2011)
10.6	Promissory note dated August 31, 2017 issued to 2001033 Alberta Ltd. (Incorporated by reference to the Exhibits filed with the annual report on Form 10-K for the year ended May 31, 2018 filed with the SEC on September 13, 2018)
10.7	Promissory note dated May 31, 2018 issued to 1378655 Alberta Ltd. (Incorporated by reference to the Exhibits filed with the annual report on Form 10-K for the year ended May 31, 2018 filed with the SEC on September 13, 2018)
31.1*	Section 302 Certification of Principal Executive Officer
32.1*	Certification Pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

*Filed Herewith.

ITEM 16. FORM 10-K SUMMARY. None

2021

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

PREAXIA HEALTH CARE PAYMENT SYSTEMS INC.

~~/s/ Tom Zapatinas~~ Isl ~~By:~~ Tom Zapatinas~~, President and Director (Principal Executive Officer, Principal Financial Officer and Director) Dated: October 10, 2024~~

By: Tom Zapatinas, President and Director

(Principal Executive Officer, Principal Financial Officer and Director) Dated: September 12, 2025

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

~~/s/ Tom Zapatinas~~ Isl ~~By:~~ Tom Zapatinas~~, President and Director (Principal Executive Officer, Principal Financial Officer and Director) Dated: October 10, 2024~~

~~/s/ Paul Verberne~~ By: ~~Paul~~Tom ~~Verberne~~Zapatinas, ~~Director Dated: October~~President ~~10,~~and ~~2024~~Director

21(Principal Executive Officer, Principal Financial Officer and Director) Dated September 12, 2025

Isl Paul Verberne

By: Paul Verbeme, Director Dated: September 12, 2025

Filing Compare · PREAXIA HEALTH CARE PAYMENT SYSTEMS INC.