Company: TCRG
Filing Date: 2025-03-21
Form Type: 10-K
Source: 0001185185-25-000206
Chunk: 568

Company: Cannaisseur Group Inc.
Filing Date: 2025-03-21
Form: 10-K
Item: Item 6
Chunk 568
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31, 2024 and 2023 due to the losses incurred
during the periods.

The
reconciliation below presents the difference between the income tax rate computed by applying the U.S. federal statutory rate and the
effective tax rate for the years ended December 31, 2024 and 2023.

    December 31, 2024  
    December 31, 2023 
  
    U. S. federal statutory tax rate 
     (21.0)% 
     (21.0)%
  
    Change in valuation allowance 
     21.0% 
     21.0%
  
    Effective tax rate 
     0.0% 
     0.0%

At
December 31, 2024 and 2023, the Company has available net operating loss carryforwards for U.S. federal corporate income tax purposes
of approximately $1,715,000 and $415,000, respectively. U.S. federal net operating losses, if not utilized earlier, expire through 2041.

F-15

11.
Segment Information

The
Company operates in one reportable segment: CBD hemp products for retail. Through its majority owned subsidiary, Atlanta CBD, the Company
offers a variety of CBD wellness products for sale directly to customers via its website. The Company has determined that it operates
in one reportable segment, because the chief operating decision maker (“CODM”) reviews financial information for our entire
consolidated operations when making decisions related to assessing operating performance.

The
accounting policies of the single segment are the same as those described in the summary of significant accounting policies. The Company’s
CODM includes the chief executive officer and chief financial officer. The CODM assesses performance for the single segment based on
gross profit, net income (loss) and significant expenses, as shown below. The measure of segment assets is reported on the balance sheet
as total consolidated assets.

The
Company’s CODM decides how to allocate resources based on gross profit, net income (loss) and significant expenses, comparing budgeted
amounts to actual expenses. Gross profit is used to determine the most profitable products, and which products the company will make
available for sale to customers. Significant expenses and net loss are used to determine resource allocation for maintaining operations
and fostering progress.

    Year Ended 

    December 31, 

    2024  
    2023 

    Revenue, net of discounts 
    $