Company: FORL
Filing Date: 2025-08-27
Form Type: 10-Q
Source: 0001213900-25-080962
Chunk: 28

Company: Four Leaf Acquisition Corp
Filing Date: 2025-08-27
Form: 10-Q
Item: Part I, Item 1
Chunk 28
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 relation to these redemptions under the guidance
in ASC 450, Contingencies, and determined that a contingent liability should be calculated and recorded. During the three and
six months ended June 30, 2025, the Company accrued $198,569 of excise tax liability related to the June 27, 2025 redemptions.
During the three and six months ended June 30, 2024, the Company accrued $301,944 of excise tax liability related to the June 18,
2024 redemptions. The excise tax liability totaled $500,512 and $301,944 as of June 30, 2025, and December 31, 2024,
respectively.

Franchise
and Income Tax Withdrawals

During
the year ended December 31, 2024, the Company withdrew $1,031,029 of interest and dividend income earned in the Trust Account for payment
of the Company’s franchise and income tax liabilities. As of June 30, 2025 and December 31, 2024, $117,610 and $99,006, respectively,
of the funds were inadvertently used for the payments of general operating expenses. The Company is expected to replenish these amounts
via a Working Capital Loan from its Sponsor or another similar type of financing.

During
August of 2025, the Company withdrew an additional $271,346 of interest and dividend income earned in the Trust Account for payment of
the Company’s franchise and income tax liabilities.

NOTE
2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 

Basis
of Presentation 

The
accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted
in the United States of America (“U.S. GAAP”) for interim financial information and in accordance with the instructions to
Form 10-Q and Article 8 of Regulation S-X of the SEC. Certain information or footnote disclosures normally included in financial statements
prepared in accordance with U.S. GAAP have been condensed or omitted, pursuant to the rules and regulations of the SEC for interim financial
reporting. Accordingly, they do not include all of the information and footnotes necessary for a complete presentation of financial position,
results of operations, or cash flows. In the opinion of management, the accompanying unaudited condensed financial statements include
all adjustments, consisting of a normal recurring nature, which are necessary for a fair presentation of the financial position, operating