Company: NC
Filing Date: 2025-04-07
Form Type: ARS
Source: 0000789933-25-000013
Chunk: 175

Company: NACCO INDUSTRIES INC
Filing Date: 2025-04-07
Form: ARS
Chunk 175
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 is as follows: December 31 2024 2023 Deferred tax assets Lease liabilities $ 1,252 $ 7,083 Tax carryforwards 12,371 14,816 Inventories 6,029 4,880 Accrued liabilities 9,430 9,226 Employee benefits 3,630 3,319 Land valuation adjustment 6,489 6,378 Partnership investment - development costs 14,819 12,565 Other 7,866 9,680 Total deferred tax assets 61,886 67,947 Less: Valuation allowance 11,672 11,783 50,214 56,164 Deferred tax liabilities Lease right-of-use assets 1,209 7,429 Depreciation and depletion 23,731 23,607 Accrued pension benefits 10,633 10,047 Total deferred tax liabilities 35,573 41,083 Net deferred asset $ 14,641 $ 15,081 The following table summarizes the tax carryforwards and associated carryforward periods and related valuation allowances where we have determined that realization is uncertain: December 31, 2024 Net deferred tax asset Valuation allowance Carryforwards expire during: State net operating loss $ 15,584 $ 14,610 2025 - 2044 December 31, 2023 Net deferred tax asset Valuation allowance Carryforwards expire during: State net operating loss $ 16,526 $ 14,757 2024-2043 We have a valuation allowance for certain state and foreign deferred tax assets. Based upon the review of historical earnings and the relevant expiration of carryforwards, including utilization limitations in the various state taxing jurisdictions, we believe the valuation allowances are appropriate and do not expect to release valuation allowances within the next twelve months that would have a significant effect on our financial position or results of operations. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NACCO INDUSTRIES, INC. AND SUBSIDIARIES (Tabular Amounts in Thousands, Except Per Share, Percentage Data and Oil and Gas Disclosures) F-29

Since 2021, we have participated in a voluntary program with the IRS called Compliance Assurance Process (CAP). The objective of CAP is to contemporaneously work with the IRS to achieve federal tax compliance and resolve all or most issues prior to the filing of the tax return. In general, we operate in taxing jurisdictions that provide a statute of limitations period ranging from three to five