Company: VYND
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001079973-25-001679
Chunk: 4

Company: Vynleads, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 4
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 a portion of deferred tax assets will not be realized.

We account for uncertain tax positions using a
“more-likely-than-not” threshold for recognizing and resolving uncertain tax positions. The evaluation of uncertain tax positions
is based on factors including, but not limited to, changes in tax law, the measurement of tax positions taken or expected to be taken
in tax returns, the effective settlement of matters subject to audit, new audit activity and changes in facts or circumstances related
to a tax position. We evaluate this tax position on a quarterly basis. We also accrue for potential interest and penalties, if applicable,
related to unrecognized tax benefits in income tax expense.

Stock-Based Compensation

We account for stock based instruments issued
to employees and non-employees for services in accordance with ASC Topic 718.

St ock-based
compensation is me asur ed at the grant date b as ed
on the estimated fair val ue of t he
award and is recognized as an expense over the requisite s er vice
period. Accordingly, the Black-Sch oles opti on
pricing m odel is utilized to d erive an estimated
fair val ue.

The Black-Scholes pricing model requires the consideration
of the following six variables for purposes of estimating fair value:

  the stock option exercise price;                                                                                   
  the expected term of the option;                                                                                   
  the grant date price of our common stock, which is issuable upon exercise of the option;                           
  the expected volatility of our common stock;                                                                       
  the expected dividends on our common stock (we do not anticipate paying dividends in the foreseeable future); and  
  the risk-free interest rate for the expected option term.                                                          

Expected Dividends. We have never declared
or paid any cash dividends on any of our capital stock and do not expect to do so in the foreseeable future. Accordingly, we use an expected
dividend yield of zero to calculate the grant-date fair value of a stock option.

Expected Volatility. The expected volatility
is a measure of the amount by which our stock price is expected to fluctuate during the expected term of options granted. We determine
the expected volatility solely based upon the historical volatility of our common stock over a period commensurate with the option’s
expected term. We do not believe that the future volatility of our common stock over an option’s expected term is likely to differ
significantly from the past.

Risk-Free Interest Rate. The risk-free
interest rate is the implied yield available on U