Company: RPTX
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0000950170-25-030405
Chunk: 115

Company: Repare Therapeutics Inc.
Filing Date: 2025-03-03
Form: 10-K
Item: Item 1B
Chunk 115
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26

        Change in valuation allowance

        28,281

        14,514

        Tax (benefit) expense
         
        $
        1,440

        $
        (9,383
        )
       
      The Company’s applicable statutory tax rate is the Canadian combined rate applicable in the jurisdictions in which the Company operates.Income tax receivable in the amount of $11.6 million as of December 31, 2024 reflects the overpayment of tax installments by the Company’s U.S. subsidiary, which resulted from its compliance with the requirement to capitalize and amortize certain specified research and experimental expenditures subject to Section 174 of the Internal Revenue Code of 1986, as amended (“IRC”) (as per the Tax Cuts and Jobs Act of 2017), prior to the issuance of interim guidance on September 8, 2023 by the Department of Treasury and the Internal Revenue Service on IRC Section 174 that supports the deduction of certain expenses that would otherwise be treated as specified research and experimental expenditures. The current portion of the income tax receivable is approximately $10.6 million, which primarily consists of an overpayment of tax installments by the Company’s U.S. subsidiary for the 2022 fiscal year, and the long-term portion is approximately $1.0 million.

130

As of December 31, 2024, the Company had Federal and Quebec tax losses of approximately $352.2 million and $346.5 million respectively, which are available to offset future taxable income in Canada. The Company has not recognized the tax benefit of these losses. These losses expire as follows: 

        Federal

        Quebec

        (in thousands)

        2044
         
        $
        88,666

        $
        88,666

        2043

        115,862

        114,489

        2042

        34,460

        33,153

        2041

        93,833

        92,674

        2040

        —

        —

        2039

        11,394

        10,442

        2038

        7,111

        7,066

        2037

        883

        6

        Total
         
        $
        352,209

        $
        346,496

      As of December 31, 2024, the Company had