Company: CCCP
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001477932-25-001313
Chunk: 195

Company: Crona Corp.
Filing Date: 2025-02-27
Form: 10-K
Item: Item 7
Chunk 195
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 –  INCOME TAXES The Company adheres to the provisions of uncertain tax positions as addressed in ASC 740 “Income Taxes” (“ASC 740”). As of December 31, 2024, the Company had net operating loss carry forwards of $307,822 that may be available to reduce future years’ taxable income in varying amounts through 2041. Future tax benefits which may arise as a result of these losses have not been recognized in these financial statements, as their realization is determined not likely to occur and accordingly, the Company has recorded a valuation allowance for the deferred tax asset relating to these tax loss carry-forwards. The valuation allowance at December 31, 2024 was $64,643. The net change in valuation allowance for the year ended December 31, 2024 was $16,253. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred income tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. Based on consideration of these items, management has determined that enough uncertainty exists relative to the realization of the deferred income tax asset balances to warrant the application of a full valuation allowance as of December 31, 2024. All tax years since inception remain open for examination by taxing authorities. The provision for Federal income tax consists of the following:    December 31, 2024  December 31, 2023 Gross deferred tax asset  64,643   48,390 Valuation allowance  (64,643)  (48,390)Net deferred tax asset  -   -  The actual tax benefit at the expected rate of 21% differs from the expected tax benefit for the years ended December 31, 2024 and 2023 as follows:   For the year ended December 31, 2024  For the year ended December 31, 2023 Income tax expense (benefit) at statutory rate  (16,253)  (40,701)Change in valuation allowance  16,253   40,701 Income tax expense  -   -  The related deferred tax benefit on the