Company: FLYE
Filing Date: 2025-02-19
Form Type: 10-Q
Source: 0001213900-25-015334
Chunk: 47

Company: Fly-E Group, Inc.
Filing Date: 2025-02-19
Form: 10-Q
Item: Part I, Item 1
Chunk 47
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 (DTAs) 
    $6,262,087  
    $6,036,332 
  
    Accumulated depreciation 
     (493,881) 
     (482,133)
  
    ROU asset 
     (4,873,000) 
     (5,519,000)
  
    Total deferred tax liabilities (DTLs) 
     (5,366,881) 
     (6,001,133)
  
    Total deferred tax assets, net 
    $895,206  
    $35,199 

    Deferred tax assets (liabilities) – U.S., net 
    $833,000  
    $(5,000)
  
    Deferred tax assets – Canada, net 
    $62,206  
     40,199 

As of December 31, 2024 and March 31, 2024,
the Company had approximately $6.3 million and $6.0 million, respectively, in the DTAs, which respectively included approximately
$0.7 million and $40,332 related to net operating loss carryforwards that can be used to offset taxable income in future periods,
$5.2 million and $5.8 million related to lease liability, and $0.3 million and $0.2 million related to inventory allowance.

As of December 31, 2024 and March 31, 2024,
the Company had approximately $5.4 million and $6.0 million, respectively, which included $0.5 million and $0.5 million, respectively,
in the DTLs that related to accumulated depreciation and $4.9 million and $5.5 million related to ROU assets.

Deferred
tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial
statement carrying amounts of existing assets and liabilities and their respective tax bases, and operating loss and tax credit carryforwards.
As of December 31, 2024 and March 31, 2024, the Company recorded approximately $62,206 and $40,199, respectively, in the net DTAs.
The tax losses in Canada can be carried forward for twenty years to offset future taxable profit. The tax losses of entities in Canada
will begin to expire in 2044, if not utilized.   As of December
31, 2024, management considered it more likely than