Company: RHNO
Filing Date: 2025-06-09
Form Type: 10-Q
Source: 0001641172-25-014247
Chunk: 52

Company: RHINO BITCOIN INC.
Filing Date: 2025-06-09
Form: 10-Q
Item: Item 8
Chunk 52
---
 
  
    Deferred: 

    - Local 
     -  
     - 
  
    - Foreign 
     -  
     - 

    Income tax expense 
    $494  
    $- 

    F-13

PHOENIX
PLUS CORP.

NOTES
TO CONDENSED FINANCIAL STATEMENTS

FOR
THE NINE MONTHS ENDED APRIL 30, 2025

(Currency
expressed in United States Dollars (“US$”), except for number of shares)

(UNAUDITED)

Income
taxes are determined in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC Topic 740”).
Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between
the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities
are measured using enacted income tax rates expected to apply to taxable income in the year in which those temporary differences are
expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income
in the year that includes the enactment date.

The
effective tax rate in the periods presented is the result of the mix of income earned in various tax jurisdictions that apply a broad
range of income tax rates. The Company has subsidiaries that operate in various countries: United States, Labuan and Hong Kong that are
subject to taxes in the jurisdictions in which they operate, as follows:

United
States of America

The
Company is registered in the State of Nevada and is subject to the tax laws of the United States of America. As of April 30, 2024 the
operations in the United States of America incurred $929,416 of cumulative net operating losses which can be carried forward to offset
a maximum of 80% future taxable income. The net operating loss carry forwards begin to expire in 2038, if unutilized. The Company has
provided for a full valuation allowance of $743,533 against the deferred tax assets on the expected future tax benefits from the net
operating loss carry forwards as the management believes it is more likely than not that these assets will not be realized in the future.

Labuan

Under
the current laws of the Labuan, Phoenix Plus Corp.is governed under the Labuan Business Activity Act, 1990. The tax charge for such company
is based on 3% of