Replies to post #65099 on CV Sciences Inc (CVSI)

[Smooth_Legend]

I also think they really wanted to include this gain into earnings.

[SpaceLady]

Was thinking the same, "Income Tax Provision" is if there is a profit.
But I am still curious about the last minute re-schedule; could be they hoped to get it done in time, and did not??

[ap17]

Good point!! makes sense to me.

[GE_Jim]

No, I don’t think so, just the right amount I would think.
"This could be overly optimistic"

[SpaceLady]

on "Income Tax Provision" I did a bit more study today and found this comment in AccountingScolar.com
The reason that companies use provision for the income tax expense is that when the company has loss for tax purposes, the income statement entry for income taxes may be a credit rather than debit.
I don't want to sound negative, but I was expecting a loss this year because of the Monas attrition. After the postponement, I reviewed the FY19 10Qs, as well as some of the PR and could not really account for $10M profit in Q4 to offset YTD losses. I believe that CVSI is reviewing tax credits they can apply in the future.

[Fangster]

Not necessarily. Tax provisions are required in reporting current and deferred income tax expense / benefits whether profitable or otherwise.