Company: MVNC
Filing Date: 2025-05-19
Form Type: 10-Q
Source: 0001683168-25-003814
Chunk: 66

Company: Marvion Inc.
Filing Date: 2025-05-19
Form: 10-Q
Item: Part I, Item 8
Chunk 66
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 in the jurisdictions in which they operate, as follows:

United States of America

MVNC is registered in the State
of Nevada and is subject to the tax laws of United States of America. The U.S. Tax Cuts and Jobs Act (the “Tax Reform Act”)
was signed into law. The Company’s policy is to recognize accrued interest and penalties related to unrecognized tax benefits in
its income tax provision. The Company has not accrued or paid interest or penalties which were not material to its results of operations
for the periods presented. Deferred tax asset is not provided for as the tax losses may not be able to carry forward after a change in
substantial ownership of the Company.

For the three months ended March
31, 2025 and 2024, there were no operating incomes.

     28 

BVI

Under the current BVI law, the
Company is not subject to tax on income.

Hong Kong

The Company’s subsidiaries
operating in Hong Kong are subject to the Hong Kong Profits Tax at the two-tiered profits tax rates from 8.25% to 16.5% on the estimated
assessable profits arising in Hong Kong during the current period, after deducting a tax concession for the tax year. The reconciliation
of income tax rate to the effective income tax rate for the three months ended March 31, 2025 and 2024 is as follows:

    Schedule of income tax expense 

    Three Months Ended March 31, 

    2025  
    2024 
  
    Income before income taxes 
    $151,504  
    $54,136 
  
    Statutory income tax rate 
     16.5%  
     16.5% 
  
    Income tax expense at statutory rate 
     24,998  
     8,934 
  
    Tax effect of non-taxable items 
     (16,575) 
     (80)
  
    Tax effect of non-deductible items 
     –  
     4,770 
  
    Income tax expense 
    $8,423  
    $13,624 

The following table sets forth
the significant components of the deferred tax assets of the Company as of March 31, 2025 and December 31, 2024:

    Schedule of deferred tax assets 

    As of 

    March 31, 2025  
    December