Company: ILAG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001641172-25-006445
Chunk: 114

Company: Intelligent Living Application Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 3
Chunk 114
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 of the fair value of the underlying asset, or (v) the underlying asset is of such a specialized nature that it is expected
to have no alternative use to the lessor at the end of the lease term. Otherwise, the lease will be treated as an operating lease.

For leases with an initial term of 12 months or
less, the Company is permitted to and did make an accounting policy election by class of underlying assets not to recognize lease assets
and lease liabilities. During 2024 and 2023, the Company recognized lease expense for such leases on a straight-line
basis over the lease term.

(ii) Deferred Tax Assets

We consider the probability
that a portion of or all of the deductible temporary differences, carryforward of unused tax losses and carryforward of unused tax credit
can be utilized against future taxable profits in the recognition of deferred tax assets. In assessing recoverability of deferred tax
assets, we consider the scheduled reversal of deferred tax liabilities, projected future taxable profit and tax planning strategies.

We believe that our accounting
for the deferred tax assets is a “critical accounting estimate” because it requires us to evaluate and assess the probability
of future taxable profit and our business plan., which are inherently uncertain

Based upon the level of
historical taxable profit and projections for future taxable profit over the periods for which the deferred tax assets are
deductible. we believe it is probable that we will not utilize the benefits of these deferred tax assets as of December 31, 2024 and
2023. Uncertainty of estimates of future taxable profit could increase due to changes in the economic environment surrounding us,
effects by market conditions. effects of currency fluctuations or other factors.

  69  

  ITEM 6.      DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES  
 ───────────────────────────────────────────────────────────

6. A. Directors and Executive Officers

The following table sets forth information regarding
our executive officers and directors as of the date of this report.

  Directors and Executive Officers                Age      Position/Title                                               
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Bong Lau (Yu Bong Lau)                           47      Chief Executive Officer, Chairman of the Board and Director  
  Frederick Wong (Ching Wan Wong)                  57      Chief Financial Officer                                      
  Bun Lau (Yu Bun Lau)                             45      Chief Operations Officer and Director(6)                     
  Wynn Hui (Po Wang