INCOME TAXES (Tables)

12 Months Ended

Jun. 30, 2025

SUMMARY OF (LOSS) INCOME BEFORE INCOME TAXES

The following table summarizes loss before income taxes (in thousands):


	Years Ended June 30,
	2025			2024
United States	$	(6,327	)	$	(5,420	)
Foreign		(1,055	)		(28	)
Loss before income taxes	$	(7,382	)	$	(5,448	)

SCHEDULE OF BENEFIT FROM (PROVISION FOR) INCOME TAXES

The composition of the benefit from income taxes consisted of the following (in thousands):


	Years Ended June 30,
	2025		2024
United States	$	1,302	$	1,408
Foreign		260		(29	)
Total benefit from income taxes	$	1,562	$	1,379


	Years Ended June 30,
	2025			2024

Current:
Federal	$	(39	)	$	299
States		(16	)		(43	)
Foreign		7			(74	)
Total current		(48	)		182
Deferred:
Federal		1,356			1,071
States		1			81
Foreign		253			45
Total deferred		1,610			1,197
Total benefit from income taxes	$	1,562		$	1,379

SCHEDULE OF DEFERRED TAX ASSETS

Tax effects of temporary differences that give rise to significant portions of the Company’s deferred tax assets for the years ended June 30, 2025 and 2024 are presented below (in thousands):

SCHEDULE OF DEFERRED TAX ASSETS


	Years Ended June 30,
	2025			2024

Deferred tax assets:
Intangible assets - U.S.	$	685		$	756
Net operating loss		2,222			801
Capital loss carryover		45			43
Accruals, reserves and other - U.S.		488			369
Total deferred tax assets - U.S.	$	3,440		$	1,969

Deferred tax liabilities:
Intangible assets - foreign	$	(195	)	$	(313	)
Accruals, reserves and other - foreign		(26	)		(47	)
Total deferred tax liabilities - foreign	$	(221	)	$	(360	)
Total net deferred tax assets	$	3,219		$	1,609

SCHEDULE OF INCOME TAX BENEFIT EXPENSE


	Years Ended June 30,
	2025			2024
Federal tax benefit at statutory rate	$	1,550		$	1,144
State income taxes		(12	)		47
Permanent differences		(14	)		240
Foreign rate differential		38			(52	)
Total tax benefit	$	1,562		$	1,379


	Years Ended June 30,
	2025			2024

Federal tax benefit at statutory rate		21.0	%		21.0	%
State income taxes		(0.2	)%		0.9	%
Permanent differences		(0.1	)%		4.1	%
Foreign rate differential		0.5	%		(0.7	)%
Total tax benefit		21.2	%		25.3	%

Marygold Companies, Inc. 10-K