Company: APCXW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001683168-25-002130
Chunk: 770

Company: AppTech Payments Corp.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 9B
Chunk 770
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calculations and assumptions that are subject to examination by the Internal Revenue Service and other tax authorities. In addition, the
calculation of the Company’s tax liabilities involves dealing with uncertainties in the application of complex tax regulations.
The Company recognizes liabilities for uncertain tax positions based on a two-step process. The first step is to evaluate the tax position
for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be
sustained on audit, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit
as the largest amount that is more than 50% likely of being realized upon settlement. While the Company believes it has appropriate support
for the positions taken on its tax returns, the Company regularly assesses the potential outcomes of examinations by tax authorities in
determining the adequacy of its provision for income taxes. The Company continually assesses the likelihood and amount of potential adjustments
and adjusts the income tax provision, income taxes payable and deferred taxes in the period in which the facts that give rise to a revision
become known. As of December 31, 2024 and 2023, the Company does not believe any provisions are required in connection with uncertain
tax positions.

     34 

Research and Development

Research
and Development (R&D) expenses include internal and outsourced service costs incurred to maintain the FinZeo platform. Per ASC 730,
R&D costs are expensed as incurred. Total R&D expenses for the years ended December 31, 2024, and December 31, 2023, were approximately
$1,977 thousand and $3,498 thousand, respectively.

Per Share Information

Basic net income (loss) per common share is computed
by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the year. Diluted net income
(loss) per common share is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding
during the year, increased by the potentially dilutive common shares that were outstanding during the year. Dilutive securities include
stock options, warrants granted, convertible debt and convertible preferred stock.

The
number of common stock equivalents not included in diluted income per share for the years ended December 31, 2024 and 2023,
respectively are presented below. The weighted average number of common stock equivalents is not included in diluted income (loss)
per