Company: PFSA
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076861
Chunk: 107

Company: Profusa, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 107
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30, 2025 and the year ended December 31, 2024, respectively, calculated as 1% of the value of
shares redeemed.

On July 3, 2024, the Treasury issued final regulations
with respect to the procedure and administration of the Excise Tax. These regulations provided that the filing and payment deadline for
any liability incurred during the period from January 1, 2023 to December 31, 2023 would be October 31, 2024. As of June 30, 2025 and
the date of this report, the excise tax was not paid and was recorded as excise tax payable. Any amount of such Excise Tax not paid in
full, could be subject to additional interest and penalties which are currently estimated at 7% or 9% interest per annum and a 0.5% underpayment
penalty per month or portion of a month up to 25% of the total liability for any amount that is unpaid.

As of June 30, 2025 and December 31, 2024, $1,952,662
and $1,880,944 in excise tax was accrued on the accompanying condensed consolidated balance sheets, respectively. On January 29, 2025,
the Company claimed disaster relief under IRC Section 7508A relating to Hurricane Beryl as announced in IRS Announcement TX-2024-08. 
Under the disaster relief claim, the time for filing of the September 30, 2024 Quarterly Federal Excise Tax Return and payment of the
2023 excise taxes on repurchases of corporate stock normally due on October 31, 2024 should be postponed to February 3, 2025. The Company
was not subject to excise tax interest and penalties until February 3, 2025.  On January 29, 2025, the Company filed their 2024
excise tax return. The Company did not repay the excise tax in full by June 30, 2025. As of June 30, 2025, the Company accrued approximately
$105,970 interest and penalties in the accompanying condensed consolidated statements of operations.

Note 2 – Significant Accounting Policies

Basis of Presentation

The accompanying unaudited condensed consolidated
financial statements are presented in U.S. dollars in conformity with accounting principles generally accepted in the United States of
America (“GAAP”) for financial information and pursuant to the rules and regulations