U.S. GoldMining Inc. Income Taxes Disclosure
Note 16: Income Tax
A reconciliation of the provision for income taxes computed at the combined federal and state statutory rate to the provision for income taxes as shown in the statements of operations for the years ended December 31, 2024, one month ended December 31, 2023, and year ended November 30, 2023, is as follows:
| December 31, 2024 | December 31, 2023 | November 30, 2023 | ||||||||||
| Federal income tax provision rate | 21.00 | % | 21.00 | % | 21.00 | % | ||||||
| State income tax provision rate, net of federal tax | 7.43 | % | 7.43 | % | 7.43 | % | ||||||
| 28.43 | % | 28.43 | % | 28.43 | % | |||||||
| Year ended | Month ended | Year ended | ||||||||||
| December 31 | December 31 | November 30 | ||||||||||
| 2024 | 2023 | 2023 | ||||||||||
| Net loss for the year/period before tax | $ | (8,482,114 | ) | $ | (232,997 | ) | $ | (9,351,640 | ) | |||
| Statutory federal income rate | 21.00 | % | 21.00 | % | 21.00 | % | ||||||
| Recovery of income taxes at statutory rates | $ | (1,781,244 | ) | $ | (48,929 | ) | $ | (1,963,844 | ) | |||
| State tax | (632,349 | ) | (17,312 | ) | (696,186 | ) | ||||||
| Permanent differences | 157,249 | 72,496 | 448,615 | |||||||||
| Adjustments to valuation allowance related to prior years | 58,886 | |||||||||||
| Change in valuation allowance | 2,261,311 | (6,255 | ) | 2,157,466 | ||||||||
| Tax expense for the year/period | $ | 4,967 | $ | $ | 4,937 | |||||||
U.S. GOLDMINING INC.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(Expressed in U.S. Dollars)
Deductible temporary differences and unused tax losses for which no deferred tax assets have been recognized are attributable to the following:
| December 31, 2024 | December 31, 2023 | November 30, 2023 | ||||||||||
| Non-capital loss carry-forward | $ | 3,367,952 | $ | 2,478,107 | $ | 2,453,215 | ||||||
| Resource properties | 1,825,381 | 455,887 | 446,198 | |||||||||
| Equipment | 27,955 | 25,981 | 59,110 | |||||||||
| Others | 7,707 | |||||||||||
| Deferred income tax assets | 5,221,288 | 2,959,975 | 2,966,230 | |||||||||
| Valuation allowance | (5,221,288 | ) | (2,959,975 | ) | (2,966,230 | ) | ||||||
| Deferred income tax assets | $ | $ | $ | |||||||||
Deferred tax assets have not been recognized in the financial statements, as management does not consider it more likely than not that those assets will be realized in the near future. The Company has non-capital federal losses which may be carried forward to reduce taxable income in future years. As of December 31, 2024, the Company has non-capital losses of $11,846,471 in the United States of which $897,219 will expire between 2034 and 2037 and $10,949,252 may be carried forward indefinitely. Our U.S. federal net operating loss carryforwards expire as follows:
| November 30, 2034 | $ | 46,930 | ||
| November 30, 2035 | 289,455 | |||
| November 30, 2036 | 283,286 | |||
| November 30, 2037 | 277,548 | |||
| Indefinite | 10,949,252 | |||
| $ | 11,846,471 | |||
Want the next U.S. GoldMining Inc. income taxes disclosure the moment it drops?
Set a Sentinel and we'll alert you the moment U.S. GoldMining Inc.'s next filing hits EDGAR. No credit card, your email never gets sold.
About Income Taxes Disclosures
The income tax disclosure reveals how much a company actually pays in taxes versus what the statutory rate would predict. Analysts focus on the effective tax rate (ETR) reconciliation, which breaks down every item driving the gap between the 21% federal rate and the company's reported ETR — including R&D credits, foreign rate differentials, and state taxes. Deferred tax assets (DTAs) and their valuation allowances signal management's confidence in future profitability: a rising allowance suggests the company doubts it can use accumulated tax benefits. Uncertain tax benefit (UTB) reserves quantify exposure to IRS challenges on aggressive positions.
Key signals to watch: sudden ETR drops without clear operational reasons, large increases in valuation allowances, growing UTB balances, and significant unremitted foreign earnings. Post-TCJA, pay attention to GILTI and BEAT provisions that affect multinational tax structures. Compare the cash taxes paid (from the cash flow statement) against the income tax provision to gauge earnings quality.