Company: LNAI
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001731122-25-001316
Chunk: 692

Company: Lunai Bioworks Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 6
Chunk 692
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 only be estimated. Management estimates that it is
more likely than not that the Company will not generate adequate net profits to use the deferred tax assets; and consequently, a valuation
allowance was recorded for all deferred tax assets.

A reconciliation of income tax
expense at the federal statutory rate to income tax expense at the Company’s effective rate is as follows for the years ended June
30, 2025 and 2024:

    Years ended June 30,

    2025 
    2024

    Computed tax at expected statutory rate 
    $(951,542) 
    $(24,066,011)
  
    Non-US income taxed at different rates 
     —  
     — 
  
    Non-deductible expenses / other items 
     (2,046,364) 
     — 
  
    Valuation allowance 
     2,999,380  
     24,066,011 
  
    Income Tax Expense (Benefit) 
    $1,474  
    $— 

The
components of income tax expense (benefit) from continuing operations for the years ended June 30, 2025 and 2024 consisted of the following:

    Schedule
    of components of income tax expense (benefit) from continuing operations 

    Years
    ended June 30,

    2025 
    2024
  
    Current
    Income Tax Expense 

    Federal
    income tax (benefit) 
     —  
     — 
  
    State
    income tax (benefit) 
     1,474  
     — 
  
    Foreign
    income tax (benefit) 
    $—  
    $— 
  
    Total
    Current Tax Expense (Benefit) 
    $1,474  
    $— 

    Deferred
    Income Tax Expense Federal income tax (benefit) 
     101,609,457  
     165,458,980 
  
    State
    income tax (benefit) 
     (14,302,006) 
     5,529,328 
  
    Foreign
    income tax (benefit) 
     —  
     — 

    Change in valuation allowance 
     (87,307,451) 
     (170,988,308)
  
    Total
    Deferred Tax Expense 
     —