Company: DGLY
Filing Date: 2025-01-24
Form Type: S-1
Source: 0001493152-25-003451
Chunk: 267

Company: DIGITAL ALLY, INC.
Filing Date: 2025-01-24
Form: S-1
Chunk 267
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1,622 |
| Total                                                    |     | $     |         20,596,195 |     | $            | 4,615,650 |     | $                      | 4,830,000 |     | $            | 11,150,545 |     | $     |        20,070,817 |     | $            | 3,560,395 |     | $            | 16,510,422 |

| F-71 |

Patents and trademarks pending will be amortized beginning at the time they are issued by the appropriate authorities. If issuance of the final patent or trademark is denied, then the amount deferred will be immediately charged to expense.

Amortization expense for the three months ended September 30, 2024 and 2023 was $ 371,772and $ 377,485, respectively and $ 1,106,939and $ 1,122,635for the nine months ended September 30, 2024 and 2023, respectively. Estimated amortization for intangible assets with definite lives for the next five years ending December 31 and thereafter is as follows:

SCHEDULE OF ESTIMATED AMORTIZATION FOR INTANGIBLE ASSETS

| Year ending December 31:                    
 2024 (October 1, 2024 to December 31, 2024) |     |   |   371,227 |
|:--------------------------------------------|:----|:--|----------:|
| Year I                                      |     | $ |   371,227 |
| 2025                                        |     |   | 1,418,272 |
| Year II                                     |     |   | 1,418,272 |
| 2026                                        |     |   |   913,733 |
| Year III                                    |     |   |   913,733 |
| 2027                                        |     |   |   116,387 |
| Year IV                                     |     |   |   116,387 |
| 2028 and thereafter                         |     |   |   575,830 |
| Year V                                      |     |   |   575,830 |
| Total                                       |     | $ | 3,395,449 |

Interim impairment test

We performed an interim impairment test as of the last day of the fiscal third quarter of 2024 as management determined that a triggering
event had occurred resulting from the additional decline in demand for our services, prolonged economic uncertainty