Company: CERO
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032134
Chunk: 1021

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 10
Chunk 1021
---
 tax, net of federal benefit 
     (580,000) 
     (520,000)
  
    Permanent differences 
     (1,358,000) 
     (75,000)
  
    Tax credits generated in current year, net of utilized 
     (408,000) 
     (171,000)
  
    Other 
     51,000  
     (2,102,000)
  
    Change in valuation allowance 
     4,040,000  
     4,433,000 
  
    Total 
    $-  
    $- 

The approximate components of the net deferred
tax assets as of December 31, 2024 and 2023 were as follows:

    2024  
    2023 
  
    Net operating loss carryforwards 
    $12,227,000  
    $9,067,000 
  
    Section 174 research and development capitalization 
     2,999,000  
     2,490,000 
  
    Research credits 
     1,943,000  
     1,535,000 
  
    Fixed assets and intangible assets 
     403,000  
     401,000 
  
    Right of use asset 
     (410,000) 
     (613,000)
  
    Lease liability, net 
     251,000  
     657,000 
  
    Accruals and others 
     230,000  
     66,000 

     17,643,000  
     13,603,000 
  
    Less: valuation allowance 
     (17,643,000) 
     (13,603,000)
  
    Net deferred tax assets 
    $-  
    $- 

F-30

The Company has incurred
significant tax losses since inception. Based on the available objective evidence, management cannot conclude it is more likely than not
that the net deferred tax assets will be fully realizable. Accordingly, the Company has provided a full valuation allowance against its
net deferred tax assets. For the periods ended December 31, 2024 and 2023, the valuation allowance increased by approximately $4,040,000
and $4,433,000, respectively.

At December 31, 2024, the
Company has federal net operating loss carryforwards