Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 1956

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 6
Chunk 1956
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(0.94)
  
    Effective income tax rate 
     0% 
     0%

F-33

The components of deferred tax assets (liabilities) were as follows:

    December 31, 

    2024  
    2023 
  
    Net operating loss carryforwards 
    $3,085,132  
    $1,251,958 
  
    Stock compensation 
     2,550,588  
     1,351,444 
  
    Basis adjustment on acquired assets 
     (1,157,639) 
     (1,043,064)

    Right of use assets 
     (252,920) 
     (174,299)
  
    Lease liability 
     258,441  
     178,362 
  
    Goodwill 
     51,036  
     — 
  
    Allowance for credit losses 
     33,356  
     5,374 
  
    Charitable contributions 
     14,126  
     7,528 
  
    Deferred tax assets, before valuation allowance 
     4,582,120  
     1,577,303 
  
    Valuation allowances 
     (4,582,120) 
     (1,577,303)
  
    Deferred tax assets, net of valuation allowance 
    $0  
    $0 

A reconciliation of the beginning and ending amount of deferred
income tax valuation allowance were as follows:

    December 31, 

    2024  
    2023 
  
    Beginning balance of deferred income tax valuation allowance 
    $(1,577,303) 
    $(688,442)
  
    Increase in valuation allowance 
     (3,119,392) 
     (1,931,925)
  
    Decrease in valuation allowance – purchase accounting 
     114,575  
     1,043,064 
  
    Ending balance of deferred income tax valuation allowance 
    $(4,582,120) 
     (1,577,303)

As of December 31, 2024, the Company has federal
net operating loss carryforwards of approximately $12.0 million and state net operating loss carryforwards of approximately $12.9 million
which can be carried forward indefinitely. As of December 31, 2023, the Company had federal net operating loss