Company: GRPS
Filing Date: 2025-07-17
Form Type: 10-Q
Source: 0001683168-25-005208
Chunk: 15

Company: Trans American Aquaculture, Inc
Filing Date: 2025-07-17
Form: 10-Q
Item: Part I, Item 1
Chunk 15
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 Recognized income tax positions are
measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected
in the period in which the change in judgment occurs. There were no uncertain tax positions that required recognition by the Company.
As of the date of these consolidated financial statements, the Company’s federal and various state tax returns will generally remain
open for the last three years.

The Company’s
provision for income taxes attributable to income before income taxes for the periods ended March 31, 2025 and March 31, 2024, consisted
of the following:

    Schedule of provision for income taxes 

    March 31,  
    March 31, 

    2025  
    2024 
  
    Deferred tax assets related to: 

    NOL Carryover 
    $589,868  
    $403,605 
  
    Deferred tax liability related to: 

    Property and equipment 
     (18,050) 
     (8,715)
  
    Deferred tax assets, gross 
     571,818  
     394,890 
  
    Less: allowance 
     (394,890) 
     (394,890)

    Net deferred tax asset (liability) 
    $176,928  
    $– 

    Current expense 

    Federal 
    $–  
    $– 
  
    State 
     –  
     – 

    $–  
    $– 

    Deferred income tax expense (benefit) 
    $–  
    $26,937 

     13 

NOTE
9 – EQUITY FINANCING AND SECURITIES PURCHASE AGREEMENT

Equity Financing Agreement

On January 20, 2023,
the Company entered into an Equity Financing Agreement (“the EFA”) and Registration Rights Agreement (the “Registration
Rights Agreement”) with GHS Investments, LLC, pursuant to which GHS agreed to purchase up to $10,000,000 in shares of the Company
common stock, from time to time over the course of 24 months after effectiveness of a registration statement on Form S-1 of the underlying
shares of the Company’s common stock.

The EFA grants the
Company the right, to direct GHS to purchase shares of the Company’s common stock on any business day (a “Put”),
provided that