Company: PED
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001654954-25-003703
Chunk: 386

Company: PEDEVCO CORP
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 386
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 (As Restated) Current:      Federal  -   - State  -   - Total current expense/(benefit)  -   -          Deferred:        Federal  (12,831)  - State  (80)  - Total deferred tax expense/(benefit)  (12,751)  -          Income tax expense (benefit)   (12,751)  - 

 108Table of Contents

The income tax expense (benefit) reported in our consolidated statement of operations is different from the federal income tax expense (benefit) computed using the federal statutory rate. The following table reconciles the U.S. federal statutory income tax rate in effect for the years ended December 31, 2024, and December 31, 2023 (in thousands):   2024  2023      (As Restated) Statutory expense/(benefit)  1,058   357 State tax, net  3,233   291 Permanent differences  86   49 Other adjustments  9,254   346 Change in valuation allowance  (26,381)  (1,043)Income tax expense (benefit)   (12,751)  -  In 2024, the Company recorded a $12.8 million tax benefit primarily due to the release of the full valuation allowance recorded against deferred taxes in 2023.  Deferred income taxes are provided to reflect temporary differences in the tax basis of assets and liabilities and their reported amounts in the financial statements. The tax-effected temporary differences and net operating loss (“NOL”) carryforwards that comprise our deferred income as of December 31, 2024, and 2023 taxes are as follows (in thousands):   2024  2023      (As Restated) Deferred tax asset:      Net operating losses  19,470   31,168 Asset retirement obligations  1,566   610 Stock compensation  556   1,356 Right of use liability  56   82 Other  1   7 Deferred tax asset  21,649   33,223 Valuation allowance  -   (26,381)Deferred tax asset after valuation