Company: PGACR
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001013762-25-002878
Chunk: 637

Company: PANTAGES CAPITAL ACQUSITION Corp
Filing Date: 2025-03-27
Form: 10-K
Item: Item 7
Chunk 637
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 period.

F-12

As of December 31, 2024, the Class A ordinary shares subject to possible
redemption reflected in the balance sheet are reconciled in the following table:

    Gross Proceeds 
    $86,250,000 
  
    Less: 

    Proceeds allocated to public rights 
     (1,565,438)
  
    Class A ordinary shares issuance cost 
     (2,470,987)
  
    Plus: 

    Initial measurement of carrying value to redemption value 
     4,036,425 
  
    Remeasurement of carrying value to redemption value 
     268,878 
  
    Class A ordinary shares subject to possible redemption, December 31, 2024 
    $86,518,878 

Income Taxes

The Company accounts for income taxes under ASC 740, “Income
Taxes” (“ASC 740”). ASC 740 requires the recognition of deferred tax assets and liabilities for both the expected
impact of differences between the financial statement and tax basis of assets and liabilities and for the expected future tax benefit
to be derived from tax loss and tax credit carry forwards. ASC 740 additionally requires a valuation allowance to be established
when it is more likely than not that all or a portion of deferred tax assets will not be realized.

ASC 740 also clarifies the accounting for
uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement
process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those
benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. ASC 740
also provides guidance on derecognition, classification, interest and penalties, accounting in interim period, disclosure and transition.
Based on the Company’s evaluation, it has been concluded that there are no significant uncertain tax positions requiring recognition
in the Company’s financial statements.

The Company recognizes accrued interest and penalties
related to unrecognized tax benefits as income tax expense. There were no unrecognized tax benefits and no amounts accrued for interest
and penalties as of December 31, 2024. The Company is currently not aware of any issues under review that could result in significant
payments, accruals or material deviation from its position.

There is currently no taxation imposed on income
by the Government of the Cayman Islands. In accordance with Cayman Islands f