Company: BFRG
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001493152-25-010367
Chunk: 52

Company: BullFrog AI Holdings, Inc.
Filing Date: 2025-03-14
Form: 10-K
Item: Item 8
Chunk 52
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 other net deferred tax assets
since, in the opinion of management, based upon the earnings history of the Company, it is more likely than not that the future tax benefits
of the Company’s net deferred tax assets will not be realized. All or portion of the remaining valuation allowance may be reduced
in future years based on an assessment of earnings sufficient to fully utilize these potential tax benefits.

The
Company has incurred net operating losses since inception and it did not have unrecognized tax benefits as of December 31, 2024 and 2023,
and does not anticipate this to change significantly over the next 12 months. The Company will recognize interest and penalties accrued
on any unrecognized tax benefits as a component of income tax expense.

The
Company files income tax returns in the U.S. and certain state jurisdictions. The Company is not currently under examination in these
jurisdictions for any tax year. The Company’s tax years beginning with 2021 are open tax years. Because of net operating losses
and research credit carryovers, substantially all the Company’s tax years remain open to examination.

     F-16 

Reconciliations
between the statutory federal income tax rate and the effective income tax rate of income tax expense for the years ended December 31,
2024 and 2023 are as follows:

 Effective Income Tax Rate of Income Tax Expense

    December 31,  
    December 31, 

    2024  
    2023 
  
    U.S. Federal statutory tax rate 
     21.0% 
     21.0%
  
    Stock-based compensation 
     (1.6) 
     (1.1)
  
    Other 
     (1.1) 
     (3.3)
  
    Change in valuation allowance 
     (18.3) 
     (16.6)

     -% 
     -%

 10. Material Agreements

JHU-APL
Technology License

In
February 2018, the Company entered into an exclusive, world-wide, royalty-bearing license from JHU-APL. The license covers three (3)
issued patents, one (1) new provisional patent application, non-patent rights to proprietary libraries of algorithms and other trade
secrets, as well as modifications and improvements. In October 2021, the Company executed an amendment to the original license for improvements
and new advanced analytics capabilities. In consideration of the rights granted to