Company: MIRA
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001183
Chunk: 458

Company: MIRA PHARMACEUTICALS, INC.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 3
Chunk 458
---
,529 
  
    Section
    174 Qualified Research Expenditures 
     1,232,033  
     533,159 
  
    Stock
    compensation 
     1,099,090  
     650,018 
  
    ROU
    liability 
     -  
     1,291 
  
    R&D
    Credit 
     38,640  
     - 
  
    Other 
     -  
     204 
  
    Deferred
    tax assets, Gross 
     6,925,163  
     3,615,201 
  
    Less:
    valuation allowance 
     (6,925,163) 
     (3,613,901)
  
    Deferred
tax assets, Net 
     -  
     1,291 
  
    Deferred
    tax liabilities 

    ROU
    asset 
     -  
     (1,291)
  
    Total
    net deferred tax asset 
    $-  
     - 

Beginning
in 2022, in accordance with Internal Revenue Code Section 174, Qualified Research Expenditures are capitalized for tax purposes and amortized
over a period of five years. Accordingly, for income tax purposes, and as of December 31, 2024 and December 31, 2023, the Company has
recorded a deferred tax asset totaling approximately $1.2 million and $0.5 million, respectively, related to the timing difference between
GAAP and Tax recognition of these expenditures.

The
components of the provision for income taxes consist of the following:

Schedule of Components of Income Tax Provision 

    2024  
    2023 

    December
    31, 

    2024  
    2023 
  
    Deferred
    tax: 

    Deferred 
     (3,311,252) 
     (1,829,030)
  
    Change
    in valuation allowance 
     3,311,252  
     1,829,030 
  
    Total
    deferred 
     -  
     - 
  
    Total
    provision for income taxes 
    $-  
    $- 

ASC
Topic 740 requires that a deferred tax amount be reduced by a valuation allowance if, based on the weight of available evidence it is
more likely than