Company: HCTI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026218
Chunk: 636

Company: Healthcare Triangle, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 4
Chunk 636
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 Particulars 
    2024  
    2023 
  
    Short Term Borrowing 

    Seacoast Business Funding 
    $589  
    $2,676 
  
    Convertible note 
     2,061  
     1,112 
  
    Total 
    $2,650  
    $3,788 

(i) Seacoast Business Funding

The Company has obtained a credit facility from
Seacoast business funding (SBF) a division of Seacoast National Bank during the year ended December 31, 2022. The funding is against the
accounts receivables of the company and its subsidiary. The SBF facility charges an interest of prime rate plus 1% on a floating basis.
The balance as of December 31,2024, is $589 and $ 2,676 for the period ended December 31, 2023.

10) Provision for income taxes

The Company accounts for income taxes in accordance
with FASB ASC Topic 740, Income Taxes. Deferred income taxes reflect the net tax effects of temporary differences between the carrying
amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Management evaluates
all available evidence about future taxable income and other possible sources of realization of deferred tax assets. A valuation allowance
is established to reduce deferred tax assets to an amount that represents management’s best estimate of the amount of such deferred
tax assets that more likely than not will be realized. To the extent the Company establishes a valuation allowance or increased the allowance
in any given period, an expense is recognized within the provision for income taxes in the statement of income.

The Company recognizes the tax benefit from uncertain
tax position only if it is more likely than not that the tax position will be sustained on examination by the tax authorities, based on
the technical merits of the position. The tax benefit is measured based on the largest benefit that has a greater than 50 percent likelihood
of being realized upon ultimate settlement. The Company recognizes interest and penalties related to income tax matters as other expense
in the statement of income. Based on management’s evaluations, there are no uncertain tax positions requiring recognition as of
the date of these financial statements.

F-24

The components of the Company’s net deferred tax assets as of
December 31, 2024, and 2023, were as follows (in thousands):

    December 31,  2024