Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 234

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 19
Chunk 234
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 30,                                        
                                                                     2025                              2024                
 ───────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Deferred tax liabilities:                                                                                                
  Accelerated depreciation of fixed assets                           $                    ( 1,544      $          ( 4,557  
  Fixed assets cost adjustment arise from internal transactions                           ( 9,437                ( 10,190  
  Right-of-use assets                                                                    ( 18,926                ( 42,541  
  Net-off with deferred tax assets                                                         29,907                  57,288  
  Total deferred tax assets, net                                     $                          -      $                -  

F-39

SCAGE
FUTURE

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

(In
U. S. dollars, except for share and per share data, or otherwise noted)

  16.      TAXATION  

Changes
in valuation allowance are as follows:

                                                 For the years ended June 30,                                                                   
                                                 2025                                             2024                     2023                 
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Balance at the beginning of the period         $                                 2,413,846      $         1,731,915      $           968,543  
  Additions                                                                          973,201                  714,889                  917,786  
  Utilization                                                                       ( 30,922                 ( 25,145                 ( 47,797  
  Effect of change of preferential tax rate                                                -                        -                    3,121  
  Foreign exchange effect                                                             41,580                  ( 7,813                ( 109,738  
  Balance at the end of the period               $                                 3,397,705      $         2,413,846      $         1,731,915  

According
to PRC tax regulations, the PRC enterprise net operating loss can generally be carried forward for no longer than five years ten years 21,406,430 15,565,700

As of June 30, 2025 and 2024, the Group did not recognize any net deferred
tax assets, as the Group has provided a valuation allowance of US$ 3,397,705 2,413,846

Uncertain
Tax Position

As
of June 30, 2025 and 2024, the Group did not