Company: GRPS
Filing Date: 2025-07-17
Form Type: 10-Q
Source: 0001683168-25-005208
Chunk: 14

Company: Trans American Aquaculture, Inc
Filing Date: 2025-07-17
Form: 10-Q
Item: Part I, Item 1
Chunk 14
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 time, we will present the re-organization plan for the company.

In August
2024, the Company signed an unsecured promissory note with a lender for $82,800 bearing one-time interest at the rate of 13%, and maturing
on four dates beginning in February 2025 and ending in May 2025. The proceeds of this note were issued with an original issue discount
of $13,800 and loan cost $6,000, yielding net proceeds of $63,000. Upon full maturity, the Company will have paid a total of $93,564 of
principal and interest on this note.

NOTE 7 – RELATED PARTY NOTES PAYABLE

As of March 31, 2025, shareholders have loaned
the Company approximately $1,646,636 in notes which accrue interest ranging from 12% and 18% per annual period. Maturities between April
1, 2024, and July 1, 2024. Accrued interest related to these notes totaled $562,063 and $414,624 as of March 31, 2025, and March 31, 2024,
respectively.

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NOTE 8 – INCOME TAX

Income taxes are accounted for under the asset
and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between
the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating
loss and tax credit carry forwards.

Deferred tax assets and liabilities are measured
using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be covered
or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes
the enactment date. An allowance has been recorded as of March 31, 2025 due to uncertainty of the realization of deferred tax asset in
future periods.

Current tax is the expected tax payable or receivable
on the taxable income or loss for the year, using tax rates enacted or substantively enacted by the end of the reporting period, and any
adjustment to tax payable in respect of previous years.

In accordance with FASB
Interpretation No. 48, Accounting for Uncertainty in Income Taxes, included in ASC Topic 740, Income Taxes, the Company recognizes the
effect of income tax positions only if those positions are more likely than not of being sustained.