Company: BLNE
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004793
Chunk: 381

Company: Beeline Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1B
Chunk 381
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, nor does it believe that there are any unrealized tax benefits that would either increase or decrease
within the next year.

Any penalties and interest assessed by income taxing
authorities are included in operating expenses.

The federal and state income tax returns of the Company
are subject to examination by the IRS and state taxing authorities, generally for three years after they were filed. Tax years 2021, 2022,
and 2023 remain open for potential audit.

TROUBLED
DEBT RESTRUCTURING

The
Company evaluates all modifications to its debt agreements in accordance with ASC 470-60, Debt – Troubled Debt Restructurings
by Debtors. A debt restructuring is considered a troubled debt restructuring (“TDR”) if the creditor, for economic or
legal reasons related to the debtor’s financial difficulties, grants a concession to the debtor that it would not otherwise consider.

Concessions
may include, but are not limited to:

●A
                                            reduction in the stated interest rate,

●An
                                            extension of the maturity date,

●A
                                            reduction in the principal amount or accrued interest, or

●A
                                            combination of the above.

When
a debt restructuring qualifies as a TDR, the Company evaluates whether the restructuring represents a modification or an extinguishment
of debt. If the future undiscounted cash flows of the restructured debt are less than the carrying amount of the original debt, a gain
is recognized in the period of the restructuring. The restructured debt is subsequently measured based on the revised terms.

COMPREHENSIVE INCOME (LOSS)

Comprehensive income (loss) includes all changes in
equity during a period from non-owner sources and is presented in accordance with the provisions of ASC 220, Comprehensive Income.
The Company reports comprehensive income in the consolidated statements of operations and comprehensive income (loss), which includes
net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) includes foreign currency translation adjustments,
including gains and losses from the translation of the Company’s foreign subsidiary whose functional currency is not the U.S. dollar.

OPERATING SEGMENTS

Operating segments are identified as components of
an enterprise for which separate discrete financial information is available for evaluation by the Company’s chief operating decision
maker (“CODM”) and relied upon when making decisions regarding resource allocation and assessing performance. When evaluating
the Company’s financial performance, the CODM reviews total revenues, total expenses, and expenses by functional classification,
using this information to make