Company: SXTPW
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001013762-25-003343
Chunk: 1789

Company: 60 DEGREES PHARMACEUTICALS, INC.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 7A
Chunk 1789
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4 and December 31, 2023. 

At December 31, 2024, the Company had U.S. federal
and state net operating loss carryforwards of approximately $9,235,194 and $9,234,194 respectively, and U.S. federal tax credits of $437,296.
At December 31, 2023, the Company had U.S. federal and state net operating loss carryforwards of approximately $6,339,101 and $6,338,851
respectively, and U.S. federal tax credits of $0. The U.S. federal and state net operating losses carryforward indefinitely but may only
be used to offset 80% of annual taxable income due to the Tax Cuts and Jobs Act. The U.S. federal tax credits begin to expire in 2042.
The Company had $6,601,381 and $6,835,123 of foreign net operating loss carryforwards at December 31, 2024 and December 31, 2023, respectively,
which carryforward indefinitely. Utilization of the NOL carryforwards may be subject to limitation under Section 382 of the Internal
Revenue Code of 1986 due to ownership change limitations that have occurred previously or that could occur in the future. These ownership
changes may limit the amount of NOL and interest limitation carryforwards that can be utilized annually to offset future taxable income
and tax, respectively. There could be additional ownership changes in the future, which may result in additional limitations on the utilization
of the NOL and tax credit carryforwards.

The Company conducts business globally and, as
a result, it files income tax returns in U.S. federal and state jurisdictions and in Australia. In the normal course of business, the
Company may be subject to examination by taxing authorities throughout the world. The tax years that remain subject to examination by
major tax jurisdictions include the years ended December 31, 2021, 2022, 2023 and 2024. As of December 31, 2024, the Company is not under
income tax examination in any jurisdiction.

During the ordinary course of business, there
are many transactions and calculations for which the ultimate tax determination is uncertain. The Company establishes reserves for tax-related
uncertainties based on estimates of whether, and the extent to which, additional taxes will be due. These reserves are established when
the Company believes that certain positions might be challenged despite its belief