Company: YSXT
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001410578-25-001545
Chunk: 243

Company: YSX Tech Co., Ltd
Filing Date: 2025-07-31
Form: 20-F
Item: Item 19
Chunk 243
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Table of Contents

Deferred tax assets

The Company’s deferred tax assets are comprised of the following:

                                           As of March 31,                           
                                           2025                                      
 ─────────────────────────────────────────────────────────────────────────────────────
  Deferred tax assets:                                                               
  Net operating loss carry-forwards        $                     31,579      —       
  Allowance for estimated credit loss                           108,798      76,821  
  Total                                                         140,377      76,821  
  Valuation allowance                                                 —      —       
  Total deferred tax assets                $                    140,377      76,821  

The Company periodically evaluates the likelihood of the realization of deferred tax assets, and reduces the carrying amount of the deferred tax assets by a valuation allowance to the extent it believes a portion will not be realized. Management considers new evidence, both positive and negative, that could affect the Company’s future realization of deferred tax assets including its recent cumulative earnings experience, expectation of future income, the carry forward periods available for tax reporting purposes and other relevant factors. Based on the Company’s current profitability, management believes that the Company will continue to generate sufficient taxable income in the future and therefore the Company can utilize its remaining deferred tax assets to offset future taxable income. Novaluation allowance was reserved for the years ended March 31, 2025, 2024 and 2023.

(b) Taxes payable

Taxes payable consist of the following:

                               As of March 31,                                          
                               2025                                2024                 
 ────────────────────────────────────────────────────────────────────────────────────────
  Income tax payable           $                    3,260,835      $         2,565,551  
  Value added tax payable                               9,441                    8,956  
  Other taxes payable                                   4,605                    5,469  
  Total taxes payable          $                    3,274,881      $         2,579,976  

Uncertain tax positions

The Company evaluates each uncertain tax position (including the potential application of interest and penalties) based on the technical merits, and measures the unrecognized benefits associated with the tax positions. As of March 31, 2025 and 2024, the Company didnot have any significant unrecognized uncertain tax positions. The Company didnot incur any interest or penalties tax for the years ended March 31, 2025, 2024 and 2023. The Company doesnot anticipate any significant increases