Annual report [Section 13 and 15(d), not S-K Item 405]

Income Taxes (Tables)

v3.25.3
Income Taxes (Tables)
12 Months Ended
Sep. 28, 2025
Income Tax Disclosure [Abstract]  
Schedule of Income Tax Provision

The income tax provision for the twelve months ended September 28, 2025 and September 29, 2024 include the following:

 

    2025     2024  
    (Thousands)  
    2025     2024  
Current income tax expense:                
Current year federal income tax   $ 1,456     $ 1,045  
Prior year tax adjustment     -       (14 )
Current income tax expense     1,456       1,031  
Deferred income tax provision (benefit):                
Federal     (252 )     (25 )
                 
Provision for income taxes, net   $ 1,204     $ 1,006  
Schedule of Effective Income Tax Rate Reconciliation

The income tax provision for Optex Systems Holdings as of September 28, 2025 and September 29, 2024 differs from those computed using the statutory federal tax rate in the respective years due to the following permanent differences:

 

    ($ in Thousands)  
    2025     %     2024     %  
                         
Tax provision at statutory federal rate   $ 1,334       21     $ 1,003       21  
Nondeductible expenses     1       -       3       -  
Other permanent adjustments     (131 )     (2 )     14       -  
Prior year federal income tax adjustment     -       -       (14 )     -  
Change in deferred tax valuation allowance     -       -       -       -  
Provision for income taxes, net   $ 1,204       19     $ 1,006       21  
Schedule of Deferred Income Tax Assets (Liabilities)

Deferred income taxes recorded in the balance sheets result from differences between financial statement and tax reporting of income and deductions. A summary of the composition of the deferred income tax assets (liabilities) follows:

 

   

As of

September 28,

2025

   

As of

September 29,

2024

 
    (Thousands)  
    Deferred Tax Asset  
   

As of

September 28,

2025

   

As of

September 29,

2024

 
             
Stock Compensation   $ 83     $ 177  
Inventory Reserve     404       232  
Unicap     60       59  
Deferred Compensation     65       56  
Property and Equipment     (213 )     (233 )
Intangible Asset Amortization     188       10  
Contract Loss Reserve     28       54  
Accrued Paid Time Off     103       92  
Net Operating Losses     1,189       1,223  
Other     65       50  
Subtotal   $ 1,972     $ 1,720  
Valuation allowance     (773 )     (773 )
Net deferred asset   $ 1,199     $ 947