1770 Tchoupitoulas Inc

PART X, LINE 2:

“Under provisions of section 501(c)(3) of the internal revenue code and the applicable income tax regulations of the state of louisiana, rndc is exempt from income taxes, except for net income from unrelated business income. There was no material unrelated business net income during the years ended june 30, 2024 and 2023. Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Rndc recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. Accounting principles generally accepted in the united states of america provide accounting and disclosure guidance about positions taken by an entity in its tax returns that might be uncertain. Rndc believes that it has appropriate support for any tax positions taken, and management has determined that there are no uncertain tax positions that are material to the financial statements. Penalties and interest assessed by income taxing authorities, if any, would be included in income tax expense.”