Company: MCFT
Filing Date: 2025-08-27
Form Type: 10-K
Source: 0000950170-25-111682
Chunk: 55

Company: MasterCraft Boat Holdings, Inc.
Filing Date: 2025-08-27
Form: 10-K
Item: Item 6
Chunk 55
---
 assets
          
         $
         18,914

         $
         18,584

       As of June 30, 2025, the Company has gross state net operating loss (NOL) carryforwards of $21.9 million. Of this amount, $0.3 million expire in varying years ranging from June 30, 2038 to June 30, 2039, while the remainder can be carried forward indefinitely.Unrecognized Tax BenefitsA reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding accrued amounts for interest and penalties, is as follows:

         2025

         2024

         Balance at July 1
          
         $
         6,861

         $
         6,232

         Additions based on tax positions related to the current year

         348

         852

         Additions for tax positions of prior years

         —

         27

         Reductions for tax positions of prior years

         (356
         )

         (250
         )

         Balance at June 30
          
         $
         6,853

         $
         6,861

       Of this total, $5.9 million as of June 30, 2025 and 2024, represent the amount of unrecognized tax benefits that, if recognized, would favorably affect the effective income tax rate in future periods. The total amount of interest and penalties recorded in the consolidated statements of operations for the years ended June 30, 2025, 2024, and 2023, was an expense of $0.4 million, $0.5 million, and $0.2 million, respectively. The amounts accrued for interest and penalties at June 30, 2025 and 2024 were $2.2 million and $1.7 million, respectively, and are presented in unrecognized tax positions on the accompanying consolidated balance sheets.In general, it is the practice and intention of the Company to reinvest the earnings of its non-U.S. subsidiaries in those operations. As of June 30, 2025, the Company has not made a current provision for U.S. or additional foreign withholding taxes on investments in foreign 

58

subsidiaries that are indefinitely reinvested. Generally, such amounts become subject to U.S. taxation upon the remittance of dividends and under certain other circumstances.The Company and its subsidiaries are subject to U.S. federal income tax, as well as various other state income