v3.26.1
INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of income loss before the provision for income tax
          
   2025   2024 
Pre-tax loss          
U.S. Federal  $(66,932,000)  $(58,979,000)
Foreign   1,638,000    (2,724,000)
Total  $(65,294,000)  $(61,703,000)
Schedule of deferred tax assets
          
   2025   2024 
Deferred tax asset:          
Allowance for doubtful accounts  $726,000   $502,000 
Unrealized losses   16,479,000    14,603,000 
Obsolete inventory   -    - 
Stock compensation   4,313,000    4,192,000 
Other carryforwards   -    - 
Net operating loss carryforwards   81,673,000    55,001,000 
Lease liability   731,000    790,000 
Impairment   32,925,000    32,626,000 
Accrued expenses   834,000    1,823,000 
Interest expense   17,897,000    16,293,000 
Outside basis difference   3,822,000    3,325,000 
Intangible assets, net   -    9,000 
Other   963,000    1,563,000 
Total deferred tax asset   160,363,000    130,727,000 
           
Deferred tax liability:          
Right-of-use assets   (1,812,000)   (734,000)
Fixed assets, net   (19,260,000)   (15,514,000)
Total deferred income tax liabilities   (21,072,000)   (16,248,000)
           
Net deferred income tax assets   139,291,000    114,479,000 
Valuation allowance  $(139,291,000)  $(114,479,000)
Deferred tax asset (liability), net  $-   $- 
Schedule of reconciliation of income tax attributable to operations
          
   2025   2024 
Current          
U.S. Federal  $32,000   $51,000 
U.S. State   221,000    5,000 
Foreign   -    - 
Total current provision   253,000    56,000 
Deferred          
U.S. Federal   -    - 
U.S. State   -    - 
Foreign   -    - 
Total deferred provision   -    - 
Total provision for income taxes  $253,000   $56,000 
Schedule of federal income tax rate
          
   For the Year Ended
December 31, 2025		   Percent 
Current        
U.S. Federal statutory tax rate  $(13,712,000)   21.0%
State and local income taxes, net of federal income tax effect (1)   235,000    -0.4%
Effect of cross-border tax laws   386,000    -0.6%
Change in valuation allowance   21,400,000    -32.8%
Nontaxable / Nondeductible Items          
Section 162(m)   269,000    -0.4%
Derivative liability   870,000    -1.3%
Gain (loss) on deconsolidation of subsidiary   (9,810,000)   15.0%
Other   363,000    -0.6%
Worldwide changes in unrecognized tax benefits   -    - 
Other          
Deconsolidated adjustments   576,000    -0.9%
Deferred tax true-ups   (362,000)   0.6%
Foreign tax effects          
Other foreign jurisdictions   38,000    0.1%
Total deferred tax provision   -    - 
Total provision for income taxes  $253,000    -0.4%

 

(1)The states and local jurisdictions that contribute to the majority (greater than 50%) of the tax effect in this category include California.
Schedule of effective income tax rate reconciliation
          
   2024   2023 
Expected federal income tax benefit   21.0%   21.0%
State taxes net of federal benefit   8.2%   -1.5%
Effect of change in valuation allowance   79.6%   -19.1%
Permanent differences   2.6%   1.6%
Goodwill impairment   -    -2.2%
IRC Section 162(m) compensation limitation   -    -0.0%
Excess tax benefit - windfall/(shortfall)   -    -0.3%
Deconsolidation adjustments   -110.5%   - 
Foreign rate differential   0.1%   - 
Other   -1.1%   0.5%
Income tax benefit   -0.1%   -0.1%
Schedule of cash income taxes
     
   For the Year Ended
December 31, 2025		 
Federal  $- 
State and Local     
California   7,000 
Other   5,200 
    12,200 
Foreign   - 
Other   - 
Income taxes, net of amounts refunded  $12,200