Company: RMSGW
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001641172-25-021609
Chunk: 119

Company: Real Messenger Corp
Filing Date: 2025-07-31
Form: 20-F
Item: Item 19
Chunk 119
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 planning and designing stage are expensed when incurred and are included in the research and development expenses. Costs incurred
in the phase subsequent to establishing technological feasibility of such software and application are capitalized.

For
the years ended March 31, 2025, 2024, and 2023, no costs were qualified for capitalization. Research and development expenses were $ 832,565 1,459,828 929,916

Share-based
compensation

The
Company accounts for share-based awards issued to employees in accordance with ASC Topic 718 Compensation - Stock Compensation.
Share-based awards granted are measured at fair value on grant date and share-based compensation expense is recognized (i) immediately
at the grant date if no vesting conditions are required, or (ii) using the straight-line method over the requisite service period. For
awards with performance conditions, the Company recognizes compensation cost if it is probable that the performance condition will be
met. Forfeitures are recognized when they occur.

Employee
benefits

All
salaried employees of the Company in Hong Kong are enrolled in a Mandatory Provident Fund Scheme (“ MPF scheme”) under the
Hong Kong Mandatory Provident Fund Schemes Ordinance, within two months of employment. The MPF scheme is a defined contribution retirement
plan administered by an independent trustee. The Company makes regular contributions of 5 191 58,639 56,741 57,233

Income
taxes

Income
taxes are determined in accordance with the provisions of ASC Topic 740, “ Income Taxes” (“ ASC 740”). Under this 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 basis. Deferred tax assets and liabilities
are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are
expected to be recovered or settled. Any 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.

ASC
740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their audited consolidated
financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially
be recognized in the audited consolidated financial statements when it is more likely than not the position will be sustained upon examination
by the tax authorities.
The Company