Company: MYSZ
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000990
Chunk: 142

Company: My Size, Inc.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1C
Chunk 142
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    31, 

    2024  
    2023 
  
    Balance
    at beginning of the year 
     21,663  
     21,455 
  
    Additions
    in valuation allowance to the income statement 
     795  
     988 
  
    Additions
    in valuation allowance due to exchange rate foreign currency translation differences 
     51  
     (780)
  
    Net
    change in the valuation allowance 
     846  
     208 
  
    Balance
    at end of the year 
     (22,509) 
     (21,663)

In
assessing the realization of deferred tax assets, management considers whether it is more likely than not that all or some portion of
the deferred tax assets will not be realized.

The
ultimate realization of the deferred tax assets is dependent upon the generation of future taxable income during the periods in which
temporary differences are deductible and net operating losses are utilized. Based on consideration of these factors, the Company recorded
a valuation allowance to reduce deferred tax assets to the amount supported by future reversals of existing taxable temporary differences
at December 31, 2024 and 2023.

    e.
    Theoretical
    tax

The
following presents the adjustment between the theoretical income tax benefit that would result from applying the U.S. federal statutory
income tax rate to loss before income taxes amount and the reported income tax benefit included in the financial statements:

SCHEDULE
OF COMPONENTS OF INCOME TAX EXPENSES BENEFITS 

    2024  
    2023 

    December
    31, 

    2024  
    2023 

    Loss
    before income taxes 
     3,995  
     6,713 
  
    Statutory
    income tax rate 
     21%  
     21%
  
    Computed
    “expected” income tax benefit 
     839  
     1,410 
  
    Foreign
    tax rate differences 
     60  
     73 
  
    Exchange
    rate differences 
     6  
     47 
  
    Nondeductible
    expenses 
     42  
     (41)
  
    Impairment
    of goodwill 
     (152) 
     (168)
  
    Change
    in valuation allowance