Company: SATT
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001683168-25-002119
Chunk: 222

Company: SATIVUS TECH CORP.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1C
Chunk 222
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    RSU’s exercisable at December 31, 2024 
     531,000 

     F-26 

SATIVUS TECH CORP.

NOTES TO FINANCIAL STATEMENTS

U.S. dollars in thousands, except per share
data

    NOTE 6:-
    TAXES ON INCOME

The Company’s subsidiaries are
separately taxed under the domestic tax laws of the jurisdiction of incorporation of each entity.

    a.
    Corporate tax rates in U.S.:

On December 22, 2017, the U.S. Tax Cuts
and Jobs Act (“the TCJA”) was signed into law, permanently lowering the corporate federal income tax rate from 35% to 21%,
effective January 1, 2018. The company is subject to U.S. income tax laws. There are no significant provisions for U.S. federal, state
or other taxes for any period.

    b.
    Corporate tax rates in Israel:

The Israeli statutory corporate tax
rate and real capital gains were 23% in 2023-2024.

    c.
    Deferred income taxes:

Deferred income taxes reflect the net
tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts
used for income tax purposes. Significant components of the Company’s deferred tax assets are as follows:

    Schedule of deferred tax assets 

    December 31, 

    2024  
    2023 
  
    Deferred tax assets: 

    Carry forward tax losses 
    $2,110  
    $1,863 

    Net deferred tax asset before valuation allowance 
     2,110  
     1,863 
  
    Valuation allowance 
     (2,110) 
     (1,863)

    Net deferred tax asset 
    $–  
    $– 

In assessing the realization of deferred
tax assets, management considers whether it is more likely than not that all or some portion of the deferred tax assets will not be realized.
The ultimate realization of the deferred tax assets is dependent upon the generation of future taxable income during the periods in which
temporary differences are deductible and net operating losses are utilized. Based on consideration of these factors, the Company recorded
a full valuation allowance at December 31, 2024, and 2023.

    d.
    Net operating carry-forward losses for tax purposes:

As of December