Company: IMG
Filing Date: 2025-09-24
Form Type: 10-Q
Source: 0001493152-25-014748
Chunk: 49

Company: CIMG Inc.
Filing Date: 2025-09-24
Form: 10-Q
Item: Item 8
Chunk 49
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accordance with ASC 740 - Income Taxes, the provision for income taxes is computed using the asset and liability method. Under the asset
and liability method, deferred income tax assets and liabilities are determined based on the differences between the financial reporting
and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is provided
for the amount of deferred tax assets that, based on available evidence, are not expected to be realized.

The
Company also follows the guidance related to accounting for income tax uncertainties. In accounting for uncertainty in income taxes,
the Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would
more likely than not sustain the position following an audit. For tax positions meeting the more likely than not threshold, the amount
recognized in the financial statements is the largest benefit that has a greater than 50% likelihood of being realized upon ultimate
settlement with the relevant tax authority. No liability for unrecognized tax benefits was recorded as of March 31,2025 and March 31, 2024.

United
States

CIMG
Inc. and Wewin are incorporated in the United States and is subject to U.S. federal corporate income tax at a rate of 21%. CIMG Inc.
and Wewin had no taxable income for the periods presented; therefore, no provision for income taxes is required.

Hong
Kong

DZR
Tech are incorporated in Hong Kong. Under the two-tiered profits tax rates regime in Hong Kong, the first HK$2 million of profits of
the qualifying group entity will be taxed at 8.25%, and profits above HK$2 million will be taxed at 16.5%. DZR Tech had no taxable income
for the periods presented; therefore, no provision for income taxes is required.

People’s
Republic of China

Zhongyan
Shangyue is incorporated in P.R. China. Under Enterprise Income Tax Law, the statutory income tax rate is 25%. Zhongyan Shangyue had
no taxable income for the periods presented; therefore, no provision for income taxes is required.

SCHEDULE
OF INCOME TAX EXPENSE BENEFIT

    Six
    Months Ended March 31, 2025  
    Six
    Months Ended  March 31,2024 
  
    Current income tax expense 
     -  
     - 
  
    Deferred
    income tax expense 
     -