Company: TGNT
Filing Date: 2025-05-16
Form Type: 10-Q
Source: 0001477932-25-003912
Chunk: 38

Company: Totaligent, Inc.
Filing Date: 2025-05-16
Form: 10-Q
Item: Part I, Item 1
Chunk 38
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 (expense) at statutory rate (25%)  $41,370  $31,973 Increase in valuation allowance  (41,370)  (31,973)Net deferred income tax asset $—  $—  At March 31, 2025 and December 31, 2024, the significant components of the deferred tax assets are summarized below:    March 31,  December 31,   2025  2024        Net operating loss carry-forward   $493,210  $451,841 Valuation allowance    (493,210)  (451,841)Net deferred tax asset (liability)   $-  $-  As of March 31, 2024 and December 31, 2024, the Company had a federal net operating loss carryforward of approximately $2,126,063 and $1,807,363, respectively. The federal net operating loss carryforwards do not expire but may only be used against taxable income to 80%. No tax benefit has been reported in the consolidated financial statements. The annual offset of this carryforward loss against any future taxable profits may be limited under the provisions of Internal Revenue Code Section 381 upon any future change(s) in control of the Company.

10. Subsequent events    On April 21, 2025, the Company entered into a limitation of conversion agreement with one of its convertible note holders. In connection with the agreement, the holder may not convert any of the notes into shares of common stock to the extent the holder would beneficially own more than 4.99% of the Company’s outstanding common stock. On April 25, 2025, Totaligent, Inc. entered into a standby equity purchase agreement with Joint Effort Funding, LLC, allowing for the sale of up to $3,000,000 in common stock. A prospectus was filed for the resale of up to 100,000,000 shares that may be issued under this agreement, which became effective on May 12, 2025.

 F-17Table of Contents

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 

The following discussion of our financial condition and results of operations should be read in conjunction with the audited and unaudited consolidated financial statements and the notes to those statements included elsewhere in this Report. This discussion