Company: TCRG
Filing Date: 2025-03-21
Form Type: 10-K
Source: 0001185185-25-000206
Chunk: 252

Company: Cannaisseur Group Inc.
Filing Date: 2025-03-21
Form: 10-K
Item: Item 1C
Chunk 252
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, the embedded conversion features
no longer are separated from the host contract for convertible instruments with conversion features that are not required to be accounted
for as derivatives under Topic 815, Derivatives and Hedging, or that do not result in substantial premiums accounted for as paid-in capital.
Consequently, a convertible debt instrument will be accounted for as a single liability measured at its amortized cost.

Recent
Accounting Pronouncements

In
June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13,
Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”).
ASU 2016-13 significantly changes how entities measure credit losses for most financial assets, including accounts and notes receivables.
ASU 2016-13 will replace the current “incurred loss” approach with an “expected loss” model, under which companies
will recognize allowances based on expected rather than incurred losses. Entities will apply the provisions of ASU 2016-13 as a cumulative-effect
adjustment to retained earnings as of the beginning of the first reporting period in which ASU 2016-13 is effective. As a small business
filer, ASU 2016-13 will be effective for the Company for interim and annual reporting periods beginning after December 15, 2022. The
Company adopted ASU 2016-13 effective January 1, 2023. The adoption of ASU 2016-13 did not have a material effect on the Company’s
financial statements and related disclosures.

In
November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment
Disclosures. The amended guidance requires incremental reportable segment disclosures, primarily about significant segment expenses.
The amendments also require entities with a single reportable segment to provide all disclosures required by these amendments, and all
existing segment disclosures. The amendments will be applied retrospectively to all prior periods presented in the financial statements
and is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15,
2024, with early adoption permitted. The Company adopted this guidance in the fourth quarter of 2024. For additional information, see
“Note 11—Segment Information.”

Accounting
Standards Issued