NOTE 14. UNPAID PAYROLL TAXES

As of June 30, 2025 and 2024, the Company owed the Internal Revenue Service and New York State payroll related taxes in the amounts of $60,402 and $60,402, respectively, subject to further interest and penalties. The total amount due to both taxing authorities including penalties and interest as of June 30, 2025 and 2024 was approximately $77,803 subject to further penalties and interest. This is included in accounts payable and accrued expenses on the Company’s consolidated balance sheets.

IRS Tax Lien

The Internal Revenue Service has placed a federal tax lien on all of the assets of the Company.