Income taxes (Tables)

12 Months Ended

Dec. 31, 2022

A reconciliation of the federal statutory income tax provision to our actual provision for the years ended December 31, 2022 and 2021 is as follows:


		2022		2021
Pre-tax book income (loss)		$	(2,381,360)	$	3,760,508
Expected tax at 21%		(500,086)		789,707

Permanent differences:

	Mark to market	(3,937)		6,605
	Intangible amortization	(89,480)		(67,008)
	Paycheck protection program loan forgiveness	—		(792,333)

	Other	2,404		3,873

State taxes:
	Current	16,352		19,491
	Deferred	(162,688)		(15,672)

Other items:
	Federal research and development credits	(7,647)		9,551
	Deferred tax past year true-up's	(46,786)		(15,228)
	Change in valuation allowance	668,326		84,000
	Capitalized research and development expenses	174,674		—



	Other	(34,780)		(3,495)
Income tax provision		$	16,352	$	19,491

The components of net deferred tax assets recognized in the accompanying consolidated balance sheets at December 31, 2022 and 2021 are as follows:


	2022		2021
Net operating loss carryforwards	$	9,812,000	$	9,293,000
R&D and ITC credit carryforwards	310,000		303,000
Accrued expenses and other	317,000		338,000
Intangibles	342,000		176,000
Leases	17,000		22,000
Accounts receivable	96,000		141,000
Stock options	386,000		288,000
Inventory	366,000		265,000
Property, plant and equipment	705,000		754,000
Other	342,000		270,000
Deferred tax assets	12,693,000		11,850,000
Valuation allowance	(12,693,000)		(11,850,000)
Deferred tax assets, net	$	—	$	—