Quarterly report pursuant to Section 13 or 15(d)

INCOME TAXES

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INCOME TAXES
 6 Months Ended
Apr. 30, 2024
Income Tax Disclosure [Abstract]  
INCOME TAXES

NOTE 14 – INCOME TAXES

 

The Company’s tax rate may vary depending on the composition of its revenue in the reporting period (percentage of consolidated revenue attributable to the Company and its US-owned subsidiaries and percentage attributable to its foreign-owned subsidiaries). The Company’s effective tax rate for the three months ended April 30, 2024, and 2023, was 13.8% and 1.9% respectively and for the six months ended April 30, 2024, and 2023 this was 15.6% and (0.7)%, respectively. In the Current Quarter the Company nor its US-owned subsidiaries did not generate any taxable income. This resulted in the decrease of the Company’s statutory income tax rate of 25.0% to an effective rate of 13.8%. In addition, in the Current Quarter we recorded Deferred Tax Expense of $34,904 as a result of the vesting of restricted stock awards. We have been recording the UK tax rate at 0.0% as we believe our R&D tax credits will offset any tax liability which may be incurred. In the Current Quarter we made a provision of 22.0% for our Danish Subsidiary and $130,500 for Global Intangible Low-Taxed Income (“GILTI”). For the six month period ended April 30, 2024 we provisioned $173,000 for GILTI.