Company: GAME
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004869
Chunk: 106

Company: GameSquare Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 106
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     -  
     (55,096)
  
    Total deferred tax expense (benefit) 
     -  
     (55,096)

    Total income tax expense (benefit) 
     -  
     (55,096)

    F-37

The
reconciliation between the income tax expense (benefit) calculated by applying statutory rates to net loss before income taxes and the
income tax expense (benefit) reported in the consolidated financial statements is as follows:

 Schedule of reconciliation between income tax expense (benefits)

    December 31, 2024  
    December 31, 2023 

    For the year ended 

    December 31, 2024  
    December 31, 2023 

    $  
    $ 

    Income (loss) before income taxes 
     (48,750,907) 
     (31,337,523)
  
    Statutory income tax rate 
     21.0% 
     26.5%
  
    Expected income tax (benefit) 
     (10,237,690) 
     (8,304,444)

    Reconciling items: 

    Change in valuation allowance 
     51,434,409  
     5,424,830 
  
    State taxes 
     -  
     - 
  
    Permanent differences 
     3,093,876  
     443,320 
  
    Return to provision 
     4,306,483  
     50,819 
  
    Purchase accounting adjustments 
     (47,300,799) 
     - 
  
    Disposal of business units 
     (966,704) 
     - 
  
    Other 
     (329,575) 
     2,330,379 
  
    Total income tax expense (benefit) 
     -  
     (55,096)

The
Company believes that income tax filing positions will be sustained upon examination and does not anticipate any adjustments that would
result in a material adverse effect on the Company’s financial position, results of operations or cash flows. Accordingly, the
Company has not recorded any reserves, or related accruals or uncertain income tax positions at December 31, 2024 or 2023.

The
Company recognizes interest accrued related to unrecognized tax benefits and penalties in