Company: MKDWW
Filing Date: 2025-01-23
Form Type: F-1
Source: 0001493152-25-003296
Chunk: 218

Company: MKDWELL Tech Inc.
Filing Date: 2025-01-23
Form: F-1
Chunk 218
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 (29,619 | ) |
| Tax effect of additional deduction for R&D expenses        |     |                                  |    (47,431 | ) |     |      |    (70,546 | ) |
| Non-deductible expenses                                    |     |                                  |        674 |   |     |      |    110,872 |   |
| Exchange rate effect                                       |     |                                  |     (2,265 | ) |     |      |    (17,054 | ) |
| Prior year true up                                         |     |                                  |          - |   |     |      |     56,362 |   |
| Tax effect on deferred tax allowance                       |     |                                  |    310,843 |   |     |      |    363,597 |   |
| Income tax expense                                         |     | $                                |          - |   |     | $    |          - |   |

| F-41 |

MKDWELL TECH INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(In U.S. dollars, except share and per share data)

| 17. | TAXATION    
 - Continued |

As of December 31, 2022 and 2023, the significant components of the deferred tax assets are summarized below:

SCHEDULE OF COMPONENTS OF DEFERRED TAX ASSETS

| Deferred tax assets:                            |     | 2022               
 As of December 31, 
 2022               |            |   |     | 2023 
 2023 |            |   |
|:------------------------------------------------|:----|:-------------------|-----------:|:--|:----|:-----|-----------:|:--|
| Net operating loss carried forward              |     | $                  |  2,605,009 |   |     | $    |  2,826,537 |   |
| Impairment loss                                 |     |                    |    353,769 |   |     |      |    305,219 |   |
| Impact of foreign exchange                      |     |                    |      4,813 |   |     |      |      6,425 |   |
| Lease Liability                                 |     |                    |     24,036 |   |     |      |     46,998 |   |
| Total deferred tax assets                       |     |                    |  2,987,628 |   |     |      |  3,185,179 |   |