Quarterly report pursuant to Section 13 or 15(d)

INCOME TAX PROVISION

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INCOME TAX PROVISION
9 Months Ended
Feb. 28, 2022
Income Tax Disclosure [Abstract]  
INCOME TAX PROVISION

10. INCOME TAX PROVISION

 

The income tax expense consists of the following:

 

    February 28, 2022     February 28, 2021  
Federal provision (benefit)                
Current   $ 2,294,246     $ 436,000  
Deferred     83,784       (116,393 )
State and Local provision (benefit)             -  
Current     371,961       89,000  
Deferred     15,216       (23,607 )
Total provision   $ 2,765,207     $ 385,000  

 

 

A reconciliation of the provision for income taxes using the statutory federal income tax rate to our effective income tax rate for the period ended February 28, 2022 and 2021, is as follows:

 

   

For the Nine

Months Ended
February 28, 2022

   


For the Nine

Months Ended

February 28, 2021

 
Federal statutory rate (%)     21 %     21 %
State income taxes, net of federal benefit     9 %     1 %
Change in valuation allowance     (3 )%     (2 )%
Other, net     1 %     (4 )%
Effective income tax rate (%)     28 %     16 %

 

As of February 28, 2021, the Company recorded a full valuation allowance against the deferred tax assets due to insufficient evidence to support the utilization of these benefits.