Company: MFON
Filing Date: 2025-04-07
Form Type: 10-K
Source: 0001641172-25-002942
Chunk: 575

Company: MOBIVITY HOLDINGS CORP.
Filing Date: 2025-04-07
Form: 10-K
Item: Item 2
Chunk 575
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 net operating loss carryforwards of approximately $71,000,000 for federal income tax
purposes, which will start to expire in 2026. The net operating loss carryforwards for state purposes are approximately $71,000,000 and
will start to expire in 2028.

The
difference between the provision for income taxes and income taxes computed using the U.S. federal income tax rate for the years ended
December 31, 2024 and 2023 was as follows:

 Schedule
of Effective Income Tax Rate Reconciliation

    2024  
    2023 
  
    Computed expected tax expense 
    $(2,134,000) 
    $(2,533,000)
  
    State taxes, net of federal benefit 
     736,000  
     2,014,000 
  
    Expiration of NOL carryforwards 
     261,000  
     44,000 
  
    Other 
     4,000  
     2,253,000 
  
    Change in valuation allowance 
     1,133,000  
     (1,778,000)
  
    Total 
    $—  
    $— 

The
Company has determined that during 2010 it experienced a “change of ownership” as defined by Section 382 of the Internal
Revenue Code. As such, utilization of net operating loss carryforwards and credits generated before the 2010 change in ownership will
be limited to approximately $207,000 per year until such carryforwards are fully utilized. The pre change net operating loss carryforward
was approximately $6,000,000. Since 2010 the Company has not conducted a study to assess whether a change of control has occurred or
whether there have been multiple changes of control since inception due to the significant complexity and cost associated with such a
study. If the Company has experienced a change of control, as defined by Section 382, at any time since 2010, utilization of the net
operating loss carryforwards tax credit carryforwards would be subject to further annual limitation under Section 382. Any limitation
may result in expiration of a portion of the net operating loss carryforwards before utilization.

The
Company files income tax returns in the U.S. federal jurisdiction, Arizona, and California. Because the Company is carrying forward federal
and state net operating losses from 2006, the Company is subject to