Company: KG
Filing Date: 2025-03-24
Form Type: S-4/A
Source: 0001104659-25-027242
Chunk: 303

Company: Kestrel Group Ltd
Filing Date: 2025-03-24
Form: S-4/A
Chunk 303
---
 Federal                    | ​ | ​ | ​    | $ | 15,734 | ​ | ​ | ​ | ​    | $ | — | ​ | ​ |
| State                      | ​ | ​ | ​    | ​ | 14,305 | ​ | ​ | ​ | ​    | ​ | — | ​ | ​ |
| Total current              | ​ | ​ | ​    | ​ | 30,039 | ​ | ​ | ​ | ​    | ​ | — | ​ | ​ |
| Deferred income taxes      | ​ | ​ | ​    | ​ |      ​ | ​ | ​ | ​ | ​    | ​ | ​ | ​ | ​ |
| Federal                    | ​ | ​ | ​    | ​ |      — | ​ | ​ | ​ | ​    | ​ | — | ​ | ​ |
| State                      | ​ | ​ | ​    | ​ |      — | ​ | ​ | ​ | ​    | ​ | — | ​ | ​ |
| Total deferred             | ​ | ​ | ​    | ​ |      — | ​ | ​ | ​ | ​    | ​ | — | ​ | ​ |
| Provision for income taxes | ​ | ​ | ​    | $ | 30,039 | ​ | ​ | ​ | ​    | $ | — | ​ | ​ |

A valuation allowance must be established for any portion of the deferred tax asset which is believed not to be realizable. Management reviews the need for a valuation allowance based on anticipated future earnings, reversal of future taxable differences, the available carryback and carryforward periods, and tax planning strategies that are prudent and feasible. In management’s opinion, it is more likely than not that the Company will not realize the benefit of our deferred taxes and therefore recorded a valuation allowance of $108,857 at December 31, 2024 and $170,326 at December 31, 2023.

F-12

TABLE OF CONTENTS

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at December 31, 2024 and 2023, respectively are as follows:

| ​                                                  
 Deferred tax assets                                | ​ 
 ​ | ​ 
 ​ | 2024 
 ​    | ​ |        ​ | ​ | ​ 
 ​ | ​ 
 ​ | 2023 
 ​    | ​ |        ​ | ​ | ​ 
 ​ |
|:---------------------------------------------------|:--|:--|:-----|