NetSol (NTWK) 10-K 22 Sep 23 2023 FY Annual report Financial data

Cover

Cover - USD ($)	12 Months Ended
	Jun. 30, 2023	Sep. 15, 2023	Dec. 31, 2022
Cover [Abstract]
Document Type	10-K
Amendment Flag	false
Document Annual Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2023
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--06-30
Entity File Number	0-22773
Entity Registrant Name	NETSOL TECHNOLOGIES, INC.
Entity Central Index Key	0001039280
Entity Tax Identification Number	95-4627685
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	16000 Ventura Blvd.
Entity Address, Address Line Two	Suite 770
Entity Address, City or Town	Encino
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	91436
City Area Code	(818)
Local Phone Number	222-9195
Title of 12(b) Security	Common Stock, $0.01 par value per share
Trading Symbol	NTWK
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Public Float			$ 28,197,710
Entity Common Stock, Shares Outstanding		11,345,856
Documents Incorporated by Reference	None
Document Financial Statement Error Correction [Flag]	false
ICFR Auditor Attestation Flag	false
Auditor Name	BF Borgers CPA PC
Auditor Firm ID	5041
Auditor Location	Lakewood, CO

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Current assets:
Cash and cash equivalents	$ 15,533,254	$ 23,963,797
Accounts receivable, net of allowance of $420,354 and $166,231	11,714,422	8,669,202
Revenues in excess of billings, net of allowance of $1,380,141 and $136,976	12,377,677	14,571,776
Other current assets	1,978,514	2,223,361
Total current assets	41,603,867	49,428,136
Revenues in excess of billings, net - long term		853,601
Property and equipment, net	6,161,186	9,382,624
Right of use assets - operating leases	1,151,575	969,163
Long term investment	25,396	1,059,368
Other assets	6,931	25,546
Intangible assets, net	127,931	1,587,670
Goodwill	9,302,524	9,302,524
Total assets	58,379,410	72,608,632
Current liabilities:
Accounts payable and accrued expenses	6,552,181	6,813,541
Current portion of loans and obligations under finance leases	5,779,510	8,567,145
Current portion of operating lease obligations	505,237	548,678
Unearned revenue	7,932,306	4,901,562
Total current liabilities	20,769,234	20,830,926
Loans and obligations under finance leases; less current maturities	176,229	476,223
Operating lease obligations; less current maturities	652,194	447,260
Total liabilities	21,597,657	21,754,409
Stockholders’ equity:
Preferred stock, $.01 par value; 500,000 shares authorized;
Common stock, $.01 par value; 14,500,000 shares authorized; 12,284,887 shares issued and 11,345,856 outstanding as of June 30, 2023 12,196,570 shares issued and 11,257,539 outstanding as of June 30, 2022	122,850	121,966
Additional paid-in-capital	128,476,048	128,218,247
Treasury stock (at cost, 939,031 shares as of June 30, 2023 and June 30, 2022)	(3,920,856)	(3,920,856)
Accumulated deficit	(44,896,186)	(39,652,438)
Other comprehensive loss	(45,975,156)	(39,363,085)
Total NetSol stockholders’ equity	33,806,700	45,403,834
Non-controlling interest	2,975,053	5,450,389
Total stockholders’ equity	36,781,753	50,854,223
Total liabilities and stockholders’ equity	$ 58,379,410	$ 72,608,632

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 420,354	$ 166,231
Revenues in excess of billings, allowance	$ 1,380,141	$ 136,976
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	500,000	500,000
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	14,500,000	14,500,000
Common stock, shares issued	12,284,887	12,196,570
Common stock, shares outstanding	11,345,856	11,257,539
Treasury stock, shares	939,031	939,031

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Net Revenues:
Total net revenues	$ 52,393,215	$ 57,247,979
Cost of revenues	35,477,652	33,510,805
Gross profit	16,915,563	23,737,174
Operating expenses:
Selling, general and administrative	24,093,908	23,473,343
Research and development cost	1,601,613	1,342,154
Total operating expenses	25,695,521	24,815,497
Loss from operations	(8,779,958)	(1,078,323)
Other income and (expenses)
Interest expense	(765,030)	(369,801)
Interest income	1,217,850	1,655,883
Gain on foreign currency exchange transactions	6,748,038	4,327,590
Share of net loss from equity investment	(1,033,243)	(2,021,480)
Other income (expense)	(605,570)	(424,128)
Total other income (expenses)	5,562,045	3,168,064
Net income (loss) before income taxes	(3,217,913)	2,089,741
Income tax provision	(926,560)	(988,938)
Net income (loss)	(4,144,473)	1,100,803
Non-controlling interest	(1,099,275)	(1,951,959)
Net income (loss) attributable to NetSol	$ (5,243,748)	$ (851,156)
Net income (loss) per share:
Basic	$ (0.46)	$ (0.08)
Diluted	$ (0.46)	$ (0.08)
Weighted average number of shares outstanding
Basic	11,279,966	11,250,219
Diluted	11,279,966	11,250,219
License [Member]
Net Revenues:
Total net revenues	$ 2,269,564	$ 4,539,260
Subscription and Support [Member]
Net Revenues:
Total net revenues	25,980,661	28,284,759
Service [Member]
Net Revenues:
Total net revenues	$ 24,142,990	$ 24,423,960

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Net income (loss)	$ (5,243,748)	$ (851,156)
Other comprehensive income (loss):
Translation adjustment	(10,184,324)	(11,175,077)
Translation adjustment attributable to non-controlling interest	3,572,253	3,680,473
Net translation adjustment	(6,612,071)	(7,494,604)
Comprehensive income (loss) attributable to NetSol	$ (11,855,819)	$ (8,345,760)

Consolidated Statement of Stock

Consolidated Statement of Stockholders' Equity - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock, Common [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Noncontrolling Interest [Member]	Total
Beginning balance, value at Jun. 30, 2021	$ 121,816	$ 129,018,826	$ (3,820,750)	$ (38,801,282)	$ (31,868,481)	$ 7,215,473	$ 61,865,602
Beginning balance, shares at Jun. 30, 2021	12,181,585
Subsidiary common stock issued for:
-Services		167				(167)
Common stock issued for:
Services	$ 150	72,434					72,584
Services, shares	14,985
Purchase of treasury shares			(100,106)				(100,106)
Purchase of subsidiary treasury shares		(950,352)					(950,352)
Adjustment in APIC for change in subsidiary shares to non-controlling interest		36,403				(36,403)
Fair value of subsidiary options issued		40,769					40,769
Foreign currency translation adjustment					(7,494,604)	(3,680,473)	(11,175,077)
Net income (loss) for the year				(851,156)		1,951,959	1,100,803
Ending balance, value at Jun. 30, 2022	$ 121,966	128,218,247	(3,920,856)	(39,652,438)	(39,363,085)	5,450,389	50,854,223
Ending balance, shares at Jun. 30, 2022	12,196,570
Common stock issued for:
Services	$ 884	225,616					226,500
Services, shares	88,317
Adjustment in APIC for change in subsidiary shares to non-controlling interest		120,565				(120,565)
Fair value of subsidiary options issued		90,951					90,951
Foreign currency translation adjustment					(6,612,071)	(3,572,253)	(10,184,324)
Net income (loss) for the year				(5,243,748)		1,099,275	(4,144,473)
Acquisition of non-controlling interest in subsidiary		(179,331)				118,207	(61,124)
Ending balance, value at Jun. 30, 2023	$ 122,850	$ 128,476,048	$ (3,920,856)	$ (44,896,186)	$ (45,975,156)	$ 2,975,053	$ 36,781,753
Ending balance, shares at Jun. 30, 2023	12,284,887

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash flows from operating activities:
Net income (loss)	$ (4,144,473)	$ 1,100,803
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	3,244,538	3,812,273
Provision for bad debts	1,702,744	23,388
Goodwill impairment		214,044
Impairment and share of net loss from investment under equity method	2,113,430	2,021,480
Loss on sale of assets	19,721	205,288
Stock based compensation	317,451	104,347
Changes in operating assets and liabilities:
Accounts receivable	(6,860,983)	(5,669,262)
Revenues in excess of billing	1,514,305	(1,273,693)
Other current assets	(131,108)	469,194
Accounts payable and accrued expenses	709,758	1,121,308
Unearned revenue	3,524,188	931,452
Net cash provided by operating activities	2,009,571	3,060,622
Cash flows from investing activities:
Purchases of property and equipment	(1,639,438)	(2,609,205)
Sales of property and equipment	240,207	349,058
Net cash used in investing activities	(1,399,231)	(2,260,147)
Cash flows from financing activities:
Purchase of treasury stock		(100,106)
Purchase of subsidiary treasury stock	(61,124)	(950,352)
Proceeds from bank loans	270,292	941,841
Payments on finance lease obligations and loans - net	(928,160)	(1,270,104)
Net cash used in financing activities	(718,992)	(1,378,721)
Effect of exchange rate changes	(8,321,891)	(9,163,111)
Net decrease in cash and cash equivalents	(8,430,543)	(9,741,357)
Cash and cash equivalents at beginning of the period	23,963,797	33,705,154
Cash and cash equivalents at end of period	15,533,254	23,963,797
Cash paid during the period for:
Interest	679,925	433,083
Taxes	982,731	1,234,793
NON-CASH INVESTING AND FINANCING ACTIVITIES:
Assets acquired under finance lease		49,189
Shares issued to vendor for services received	$ 67,500	$ 19,525

ORGANIZATION AND DESCRIPTION OF

ORGANIZATION AND DESCRIPTION OF BUSINESS	12 Months Ended
	Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION AND DESCRIPTION OF BUSINESS	NOTE 1 - ORGANIZATION AND DESCRIPTION OF BUSINESS NetSol Technologies, Inc., was incorporated under the laws of the State of Nevada on March 18, 1997. (NetSol Technologies, Inc. and subsidiaries collectively referred to as the “Company”) The Company designs, develops, markets, and exports proprietary software products to customers in the automobile financing and leasing, banking, and financial services industries worldwide. The Company also provides system integration, consulting, and IT products and services in exchange for fees from customers.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company as follows: Wholly owned Subsidiaries NetSol Technologies Americas, Inc. (“NTA”) NetSol Connect (Private), Ltd. (“Connect”) NetSol Technologies Australia Pty Ltd. (“Australia”) NetSol Technologies Europe Limited (“NTE”) NTPK (Thailand) Co. Limited (“NTPK Thailand”) NetSol Technologies (Beijing) Co. Ltd. (“NetSol Beijing”) Tianjin NuoJinZhiCheng Co., Ltd (“Tianjin”) Ascent Europe Ltd. (“AEL”) Virtual Lease Services Holdings Limited (“VLSH”) Virtual Lease Services Limited (“VLS”) Virtual Lease Services (Ireland) Limited (“VLSIL”) Majority-owned Subsidiaries NetSol Technologies, Ltd. (“NetSol PK”) NetSol Innovation (Private) Limited (“NetSol Innovation”) NETSOL Ascent Middle East Computer Equipment Trading LLC (“Namecet”) NetSol Technologies Thailand Limited (“NetSol Thai”) OTOZ, Inc. (“OTOZ”) OTOZ (Thailand) Limited (“OTOZ Thai”) The Company consolidates any variable interest entities of which it is the primary beneficiary. Equity investments through which the Company exercises significant influence over but does not control the investee and is not the primary beneficiary of the investee’s activities are accounted for using the equity method. Investments through which the Company is not able to exercise significant influence over the investee and which do not have readily determinable fair values are accounted for under the cost method. All material inter-company accounts have been eliminated in the consolidation. Basis of Presentation The accompanying consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The areas requiring significant estimates are provision for doubtful accounts, provision for taxation, useful life of depreciable assets, useful life of intangible assets, contingencies, and estimated contract costs. The estimates and underlying assumptions are reviewed on an ongoing basis. Actual results could differ from those estimates. Cash and Cash Equivalents Cash and cash equivalents include all highly liquid debt instruments with original maturities of three months or less which are not securing any corporate obligations. Concentration of Credit Risk Cash includes cash on hand and demand deposits in accounts maintained within the United States as well as in foreign countries. Certain financial instruments, which subject the Company to concentration of credit risk, consist of cash and restricted cash. The Company maintains balances at financial institutions which, from time to time, may exceed Federal Deposit Insurance Corporation insured limits for the banks located in the United States. Balances at financial institutions within certain foreign countries are not covered by insurance, except balances maintained in China are insured for RMB 500,000 68,871 85,000 107,595 13,523,997 22,758,963 The Company’s operations are carried out globally. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic and legal environments of each country and by the general state of the country’s economy. The Company’s operations in each foreign country are subject to specific considerations and significant risks not typically associated with companies in economically developed nations. These include risks associated with, among others, the political, economic and legal environments and foreign currency exchange. The Company’s results may be adversely affected by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things. Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are recorded at the invoiced amount and are non-interest bearing. The Company maintains an allowance for doubtful accounts for estimated losses inherent in its accounts receivable portfolio. In establishing the required allowance, management regularly reviews the composition of accounts receivable and analyzes customer credit worthiness, customer concentrations, current economic trends and changes in customer payment patterns. Reserves are recorded primarily on a specific identification basis. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. Notes Receivable Notes Receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of purchase premiums and discounts, deferred loan fees and costs, and an allowance for loan losses. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Revenues in Excess of Billings Revenues in excess of billings represent the total of the project to be billed to the customer for revenues recognized per US GAAP. As the customers are billed under the terms of their contract, the corresponding amount is transferred from this account to “Accounts Receivable.” The Company recognizes the potential risk associated with recognizing revenues in excess of billings, including the risk of non-payment by the customer. Therefore, management continually assesses the collectability of such amounts and makes appropriate provisions or adjustments if collectability becomes doubtful. Investments The Company uses the equity investment without readily determinable fair value method to account for investments in businesses that are not publicly traded and for which the Company does not control or have the ability to exercise significant influence over operating and financial policies. In accordance with this method, these investments are recorded at lower of cost or fair value, as appropriate, and are classified as long-term. Investments held by the Company in businesses that are not publicly traded and for which the Company has the ability to exercise significant influence over operating and financial management are accounted for under the equity method. In accordance with the equity method, these investments are originally recorded at cost and are adjusted for the Company’s proportionate share of earnings, losses and distributions. These investments are classified as long-term. The Company assesses and records impairment losses when events and circumstances indicate the investments might be impaired. Gains and losses are recognized when realized and recorded in other income (expense) in the accompanying Consolidated Statements of Operations. Property and Equipment Property and equipment are stated at cost. Expenditures for maintenance and repairs are charged to earnings as incurred; additions, renewals and betterments are capitalized. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Depreciation is computed using various methods over the estimated useful lives of the assets, ranging from three to twenty years. Following is the summary of estimated useful lives of the assets: SUMMARY OF ESTIMATED USEFUL LIVES OF ASSETS Category Estimated Useful Life Computer equipment and software 3 5 Office furniture and equipment 5 10 Building 20 Autos 5 Assets under capital leases 3 10 Improvements 5 10 The Company capitalizes costs of materials, consultants, and payroll and payroll-related costs for employees incurred in developing internal-use computer software. These costs are included with “Computer equipment and software.” Impairment of Long-Lived Assets The Company tests long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable through the estimated undiscounted cash flows expected to result from the use and eventual disposition of the assets. Whenever any such impairment exists, an impairment loss will be recognized for the amount by which the carrying value exceeds the fair value. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Intangible Assets Intangible assets consist of capitalized software cost. Intangible assets with finite lives are amortized over the estimated useful life and are evaluated for impairment at least on an annual basis and whenever events or changes in circumstances indicate that the carrying value may not be recoverable. The Company assesses recoverability by determining whether the carrying value of such assets will be recovered through the discounted expected future cash flows. If the future discounted cash flows are less than the carrying amount of these assets, the Company recognizes an impairment loss based on the excess of the carrying amount over the fair value of the assets. Software Development Costs Costs incurred to internally develop computer software products or to enhance an existing product are recorded as research and development costs and expensed when incurred until technological feasibility for the respective product is established. Thereafter, all software development costs are capitalized and reported at the lower of unamortized cost or net realizable value. Capitalization ceases when the product or enhancement is available for general release to customers. The Company makes on-going evaluations of the recoverability of its capitalized software projects by comparing the amount capitalized for each product to the estimated present value of expected future net income from the product. If such evaluations indicate that the unamortized software development costs exceed the present value of expected future net income, the Company writes off the amount which the unamortized software development costs exceed such present value. Capitalized and purchased computer software development costs are being amortized ratably based on the projected revenue associated with the related software or on a straight-line basis. Research and Development Costs Research and development expenses are comprised of salaries, benefits and overhead expenses of employees involved in software product enhancement and development, cost of outside contractors engaged to perform quality assurance, software product enhancement and development (if any). Development costs are expensed as incurred. Goodwill Goodwill represents the excess of the aggregate purchase price over the fair value of the net assets acquired in a purchase business combination. Goodwill is reviewed for impairment on an annual basis, or more frequently if events or changes in circumstances indicate that the carrying amount of goodwill may be impaired. In conducting its annual impairment test, the Company first reviews qualitative factors to determine whether it is more likely than not that the fair value of the reporting unit is less than its carrying amount. If factors indicate that the fair value of the reporting unit is less than its carrying amount, the Company performs a quantitative assessment and the fair value of the reporting unit is determined by analyzing the expected present value of future cash flows. If the carrying value of the reporting unit continues to exceed its fair value, the fair value of the reporting unit’s goodwill is calculated and an impairment loss equal to the excess is recorded. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Fair Value of Financial Instruments The Company applies the provisions of ASC 820-10, “Fair Value Measurements and Disclosures.” The three levels of valuation hierarchy are defined as follows: Level 1: Valuations consist of unadjusted quoted prices in active markets for identical assets and liabilities and has the highest priority. Level 2: Valuations rely on quoted prices in markets that are not active or observable inputs over the full term of the asset or liability. Level 3: Valuations are based on prices or third party or internal valuation models that require inputs that are significant to the fair value measurement and are less observable and thus have the lowest priority. The Company did not have any financial assets that were measured at fair value on a recurring basis at June 30, 2023. The Company’s financial assets that were measured at fair value on a recurring basis as of June 30, 2022, are as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS Level 1 Level 2 Level 3 Total Assets Revenues in excess of billings - long term $ - $ - $ 853,601 $ 853,601 Total $ - $ - $ 853,601 $ 853,601 The reconciliation for the years ended June 30, 2023 and 2022 is as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION Revenues in excess Fair value Total Balance at June 30, 2021 $ 1,024,382 $ (66,779 ) $ 957,603 Amortization during the period - 38,005 38,005 Transfers to short term (129,352 ) - (129,352 ) Effect of Translation Adjustment (13,090 ) 435 (12,655 ) Balance at June 30, 2022 $ 881,940 $ (28,339 ) $ 853,601 Amortization during the period - 28,029 28,029 Transfers to short term (890,794 ) - (890,794 ) Effect of Translation Adjustment 8,854 310 9,164 Balance at June 30, 2023 $ - $ - $ - The Company used the discounted cash flow method with an interest rate of 4.35 Management analyzes all financial instruments with features of both liabilities and equity under ASC 480, “Distinguishing Liabilities From Equity” “Derivatives and Hedging.” NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Unearned Revenue Unearned revenue represents billings in excess of revenue earned on contracts and are recognized on a pro-rata basis over the life of the contract. Cost of Revenues Cost of revenues includes salaries and benefits for technical employees, consultant costs, amortization of capitalized computer software development costs, depreciation of computer and equipment, travel costs, and indirect costs such as rent and insurance. Advertising Costs The Company expenses the cost of advertising as incurred. Advertising costs for the years ended June 30, 2023 and 2022 were $ 64,556 119,592 Share-Based Compensation The Company records stock compensation in accordance with ASC 718, Compensation – Stock Compensation Income Taxes 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 carry forwards. 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. A valuation allowance is provided for deferred tax assets if it is more likely than not these items will either expire before the Company is able to realize their benefits, or that future deductibility is uncertain. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Applicable interest and penalties associated with unrecognized tax benefits are classified as additional income taxes in the statements of operations. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Foreign Currency Translation The Company transacts business in various foreign currencies. The accounts of NetSol UK, NTE, AEL, VLSH and VLS use the British Pound; VLSIL uses the Euro; NetSol PK, Connect, and NetSol Innovation use Pakistan Rupees; NTPK Thailand, NetSol Thai and OTOZ Thai use Thai Baht; NetSol Australia uses the Australian dollar; Namecet uses AED; and NetSol Beijing and Tianjin use the Chinese Yuan as the functional currencies. NetSol Technologies, Inc., and its subsidiaries, NTA and OTOZ, use the U.S. dollar as the functional currency. Consequently, revenues and expenses of operations outside the United States are translated into U.S. Dollars using average exchange rates while assets and liabilities of operations outside the United States are translated into U.S. Dollars using exchange rates at the balance sheet date. The effects of foreign currency translation adjustments are recorded to other comprehensive income. Statement of Cash Flows The Company’s cash flows from operations are calculated based upon the local currencies. As a result, amounts related to assets and liabilities reported on the statement of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheet. Segment Reporting The Company defines operating segments as components about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performances. The Company allocates its resources and assesses the performance of its sales activities based on the geographic locations of its subsidiaries. (See Note 20 “Segment Information and Geographic Areas”) Recent Accounting Standards Adopted by the Company: In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (ASC 740): Simplifying the Accounting for Income Taxes In August 2020, the FASB issued ASU No. 2020-06, “Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity” (“ASU 2020-06”). ASU 2020-06 reduces the number of accounting models for convertible debt instruments and convertible preferred stock and results in fewer instruments with embedded conversion features being separately recognized from the host contract as compared with current standards. Those instruments that do not have a separately recognized embedded conversion feature will no longer recognize a debt issuance discount related to such a conversion feature and would recognize less interest expense on a periodic basis. Additionally, the ASU amends the calculation of the share dilution impact related to a conversion feature and eliminates the treasury method as an option. For instruments that do not have a component mandatorily settled in cash, the change will likely result in a higher amount of share dilution in the calculation of earnings per share. This ASU is effective for fiscal years (and interim periods within those fiscal years) beginning after December 15, 2021, and was adopted by the Company July 1, 2022. The adoption of the new standard did not have a material impact on the Company’s consolidated financial statements. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of Effects of Reference Rate Reform on Financial Reporting In August 2020, the FASB issued ASU 2020-06, “ Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity”, Accounting Standards Recently Issued but Not Yet Adopted by the Company: In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires contract assets and contract liabilities acquired in a business combination to be recognized in accordance with Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers, as if the acquirer had originated the contracts. ASU 2021-08 is effective for annual periods beginning after December 15, 2022, and interim periods within those years, with early adoption permitted. The Company does not expect the standard to have a material effect on its consolidated financial statements. All other newly issued accounting pronouncements not yet effective have been deemed either immaterial or not applicable.

REVENUE RECOGNITION

REVENUE RECOGNITION	12 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
REVENUE RECOGNITION	NOTE 3 – REVENUE RECOGNITION The Company determines revenue recognition through the following steps: ● Identification of the contract, or contracts, with a customer; ● Identification of the performance obligations in the contract; ● Determination of the transaction price; ● Allocation of the transaction price to the performance obligations in the contract; and ● Recognition of revenue when, or as, the Company satisfies a performance obligation. The Company records the amount of revenue and related costs by considering whether the entity is a principal (gross presentation) or an agent (net presentation) by evaluating the nature of its promise to the customer. Revenue is presented net of sales, value-added and other taxes collected from customers and remitted to government authorities. The Company has two primary revenue streams: core revenue and non-core revenue. Core Revenue The Company generates its core revenue from the following sources: (1) software licenses, (2) services, which include implementation and consulting services, and (3) subscription and support, which includes post contract support, of its enterprise software solutions for the lease and finance industry. The Company offers its software using the same underlying technology via two models: a traditional on-premises licensing model and a subscription model. The on-premises model involves the sale or license of software on a perpetual basis to customers who take possession of the software and install and maintain the software on their own hardware. Under the subscription delivery model, the Company provides access to its software on a hosted basis as a service and customers generally do not have the contractual right to take possession of the software. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Non-Core Revenue The Company generates its non-core revenue by providing business process outsourcing (“BPO”), other IT services and internet services. Performance Obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account under Topic 606. The transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied by transferring the promised good or service to the customer. The Company identifies and tracks the performance obligations at contract inception so that the Company can monitor and account for the performance obligations over the life of the contract. The Company’s contracts which contain multiple performance obligations generally consist of the initial purchase of subscription or licenses and a professional services engagement. License purchases generally have multiple performance obligations as customers purchase post contract support and services in addition to the licenses. The Company’s single performance obligation arrangements are typically post contract support renewals, subscription renewals and services engagements. For contracts with multiple performance obligations where the contracted price differs from the standalone selling price (“SSP”) for any distinct good or service, the Company may be required to allocate the contract’s transaction price to each performance obligation using its best estimate for the SSP. Software Licenses Transfer of control for software is considered to have occurred upon delivery of the product to the customer. The Company’s typical payment terms tend to vary by region, but its standard payment terms are within 30 days of invoice. Subscription Subscription revenue is recognized ratably over the initial subscription period committed to by the customer commencing when the product is made available to the customer. The initial subscription period is typically 12 to 60 months. The Company generally invoices its customers in advance in quarterly or annual installments and typical payment terms provide that customers make payment within 30 days of invoice. Post Contract Support Revenue from support services and product updates, referred to as subscription and support revenue, is recognized ratably over the term of the maintenance period, which in most instances is one year. Software license updates provide customers with rights to unspecified software product updates and patches released during the term of the support period on a when-and-if available basis. The Company’s customers purchase both product support and license updates when they acquire new software licenses. In addition, a majority of customers renew their support services contracts annually and typical payment terms provide that customers make payment within 30 days of invoice. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Professional Services Revenue from professional services is typically comprised of implementation, development, data migration, training or other consulting services. Consulting services are generally sold on a time-and-materials or fixed fee basis and can include services ranging from software installation to data conversion and building non-complex interfaces to allow the software to operate in integrated environments. The Company recognizes revenue for time-and-materials arrangements as the services are performed. In fixed fee arrangements, revenue is recognized as services are performed as measured by costs incurred to date, compared to total estimated costs to complete the services project. Management applies judgment when estimating project status and the costs necessary to complete the services projects. A number of internal and external factors can affect these estimates, including labor rates, utilization and efficiency variances and specification and testing requirement changes. Services are generally invoiced upon milestones in the contract or upon consumption of the hourly resources and payments are typically due 30 days after invoice. BPO and Internet Services Revenue from BPO services is recognized based on the stage of completion which is measured by reference to labor hours incurred to date as a percentage of total estimated labor hours for each contract. Internet services are invoiced either monthly, quarterly or half yearly in advance to the customers and revenue is recognized ratably overtime on a monthly basis. Disaggregated Revenue The Company disaggregates revenue from contracts with customers by category — core and non-core, as it believes it best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. The Company’s disaggregated revenue by category is as follows: SCHEDULE OF DISAGGREGATED REVENUE BY CATEGORY 2023 2022 For the Years Ended June 30, 2023 2022 Core: License $ 2,269,564 $ 4,539,260 Subscription and support 25,980,661 28,284,759 Services 19,676,414 19,519,508 Total core revenue, net 47,926,639 52,343,527 Non-Core: Services 4,466,576 4,904,452 Total non-core revenue, net 4,466,576 4,904,452 Total net revenue $ 52,393,215 $ 57,247,979 Significant Judgments More judgments and estimates are required under Topic 606 than were required under Topic 605. Due to the complexity of certain contracts, the actual revenue recognition treatment required under Topic 606 for the Company’s arrangements may be dependent on contract-specific terms and may vary in some instances. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Judgment is required to determine the SSP for each distinct performance obligation. The Company rarely licenses or sells products on a stand-alone basis, so the Company is required to estimate the range of SSPs for each performance obligation. In instances where SSP is not directly observable because the Company does not sell the license, product or service separately, the Company determines the SSP using information that may include market conditions and other observable inputs. In making these judgments, the Company analyzes various factors, including its pricing methodology and consistency, size of the arrangement, length of term, customer demographics and overall market and economic conditions. Based on these results, the estimated SSP is set for each distinct product or service delivered to customers. The most significant inputs involved in the Company’s revenue recognition policies are: The (1) stand-alone selling prices of the Company’s software license, and the (2) the method of recognizing revenue for installation/customization, and other services. The stand-alone selling price of the licenses was measured primarily through an analysis of pricing that management evaluated when quoting prices to customers. Although the Company has no history of selling its software separately from post contract support and other services, the Company does have historical experience with amending contracts with customers to provide additional modules of its software or providing those modules at an optional price. This information guides the Company in assessing the stand-alone selling price of the Company’s software, since the Company can observe instances where a customer had a particular component of the Company’s software that was essentially priced separate from other goods and services that the Company delivered to that customer. The Company recognizes revenue from implementation and customization services using the percentage of estimated “man-days” that the work requires. The Company believes the level of effort to complete the services is best measured by the amount of time (measured as an employee working for one day on implementation/customization work) that is required to complete the implementation or customization work. The Company reviews its estimate of man-days required to complete implementation and customization services each reporting period. Revenue is recognized over time for the Company’s subscription, post contract support and fixed fee professional services that are separate performance obligations. For the Company’s professional services, revenue is recognized over time, generally using costs incurred or hours expended to measure progress. Judgment is required in estimating project status and the costs necessary to complete projects. A number of internal and external factors can affect these estimates, including labor rates, utilization, specification variances and testing requirement changes. If a group of agreements are entered at or near the same time and so closely related that they are, in effect, part of a single arrangement, such agreements are deemed to be combined as one arrangement for revenue recognition purposes. The Company exercises significant judgment to evaluate the relevant facts and circumstances in determining whether agreements should be accounted for separately or as a single arrangement. The Company’s judgments about whether a group of contracts comprise a single arrangement can affect the allocation of consideration to the distinct performance obligations, which could have an effect on results of operations for the periods involved. If a contract includes variable consideration, the Company exercises judgment in estimating the amount of consideration to which the entity will be entitled in exchange for transferring the promised goods or services to a customer. When estimating variable consideration, the Company will consider all relevant facts and circumstances. Variable consideration will be estimated and included in the contract price only when it is probable that a significant reversal in the amount of revenue recognized will not occur. Contract Balances The timing of revenue recognition may differ from the timing of invoicing to customers and these timing differences result in receivables, contract assets (revenues in excess of billings), or contract liabilities (unearned revenue) on the Company’s Consolidated Balance Sheets. The Company records revenues in excess of billings when the Company has transferred goods or services but does not yet have the right to consideration. The Company records unearned revenue when the Company has received or has the right to receive consideration but has not yet transferred goods or services to the customer. The revenues in excess of billings are transferred to receivables when the rights to consideration become unconditional, usually upon completion of a milestone. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 The Company’s revenues in excess of billings and unearned revenue are as follows: SCHEDULE OF REVENUES IN EXCESS OF BILLINGS AND DEFERRED REVENUE As of As of June 30, 2023 June 30, 2022 Revenues in excess of billings $ 12,377,677 $ 15,425,377 Unearned revenue $ 7,932,306 $ 4,901,562 The Company’s unearned revenue reconciliation is as follows: SCHEDULE OF UNEARNED REVENUE RECONCILIATION Unearned Revenue Balance at June 30, 2021 $ 4,556,626 Invoiced 18,800,227 Revenue Recognized (17,881,803 ) Adjustments (573,488 ) Balance at June 30, 2022 4,901,562 Invoiced 23,549,941 Revenue Recognized (19,762,568 ) Adjustments (756,629 ) Balance at June 30, 2023 $ 7,932,306 At June 30, 2023, the Company recorded a provision of $ 1,275,000 During the year ended June 30, 2023, the Company recognized revenue of $ 3,453,962 , which was included in the unearned revenue balance at the beginning of the period. All other activity in unearned revenue is due to the timing of invoicing in relation to the timing of revenue recognition. Revenue allocated to remaining performance obligations represents the transaction price allocated to the performance obligations that are unsatisfied, or partially unsatisfied, which includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods. Contracted but unsatisfied performance obligations were approximately $ 34,300,000 18,700,000 Unearned Revenue The Company typically invoices its customers for subscription and support fees in advance on a quarterly or annual basis, with payment due at the start of the subscription or support term. Unpaid invoice amounts for non-cancelable license and services starting in future periods are included in accounts receivable and unearned revenue. Practical Expedients and Exemptions There are several practical expedients and exemptions allowed under Topic 606 that impact timing of revenue recognition and the Company’s disclosures. The Company has applied the following practical expedients: ● The Company does not evaluate a contract for a significant financing component if payment is expected within one year or less from the transfer of the promised items to the customer. ● The Company generally expenses sales commissions and sales agent fees when incurred when the amortization period would have been one year or less or the commissions are based on cashed received. These costs are recorded within sales and marketing expense in the Consolidated Statement of Operations. ● The Company does not disclose the value of unsatisfied performance obligations for contracts for which the Company recognizes revenue at the amount to which it has the right to invoice for services performed (applies to time-and-material engagements). NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Costs to Obtain a Contract The Company does not have a material amount of costs to obtain a contract capitalized at any balance sheet date. In general, the Company incurs few direct incremental costs of obtaining new customer contracts. The Company rarely incurs incremental costs to review or otherwise enter into contractual arrangements with customers. In addition, the Company’s sales personnel receive fees that are referred to as commissions, but that are based on more than simply signing up new customers. The Company’s sales personnel are required to perform additional duties beyond new customer contract inception dates, including fulfillment duties and collections efforts.

RE-CLASSIFICATION OF OTHER COMP

RE-CLASSIFICATION OF OTHER COMPREHENSIVE INCOME (LOSS)	12 Months Ended
	Jun. 30, 2023
Equity [Abstract]
RE-CLASSIFICATION OF OTHER COMPREHENSIVE INCOME (LOSS)	NOTE 4 – RE-CLASSIFICATION OF OTHER COMPREHENSIVE INCOME (LOSS) The Company re-classified certain foreign currency translation adjustments of foreign entities in other comprehensive income (loss) to income (loss) for the period ended June 30, 2023. SCHEDULE OF RECLASSIFICATION OF FOREIGN CURRENCY TRANSLATION ADJUSTMENTS Details about Accumulated For the Year ended June 30, 2023 Amount Reclassified from Accumulated Other Income (Loss) Affected Line Item in the Statement Consolidated Statement of Operations Where Net Loss is Presented Foreign currency translation gain (loss) on liquidation of NTPK Thailand $ (323,764 ) Gain on foreign currency exchange transactions Foreign currency translation gain (loss) on investment in WRLD3D   (650,242 ) Other income (expense) Total reclassification for the period $ (974,006 ) NTPK Thailand had been a dormant company in Thailand since 2016 when it was replaced by NetSol Technologies Thailand Limited. During the year ended June 30, 2023, the dissolution of NTPK Thailand was finalized by Thailand’s authorities.

EARNINGS PER SHARE

EARNINGS PER SHARE	12 Months Ended
	Jun. 30, 2023
Net income (loss) per share:
EARNINGS PER SHARE	NOTE 5 – EARNINGS PER SHARE Basic earnings per share are computed based on the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. During the years ended June 30, 2023 and 2022, there were no

MAJOR CUSTOMERS

MAJOR CUSTOMERS	12 Months Ended
	Jun. 30, 2023
Risks and Uncertainties [Abstract]
MAJOR CUSTOMERS	NOTE 6 – MAJOR CUSTOMERS During the year ended June 30, 2023, revenues from Daimler Financial Services (“DFS”) were $ 14,982,394 28.6% 18,090,059 31.6 Accounts receivable from DFS at June 30, 2023 and 2022 were $ 4,368,881 2,005,463 1,961,750 365,863 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022

OTHER CURRENT ASSETS

OTHER CURRENT ASSETS	12 Months Ended
	Jun. 30, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
OTHER CURRENT ASSETS	NOTE 7 - OTHER CURRENT ASSETS Other current assets consisted of the following: SCHEDULE OF OTHER CURRENT ASSETS As of As of June 30, 2023 June 30, 2022 Prepaid Expenses $ 1,299,334 $ 1,389,370 Advance Income Tax 144,428 202,783 Employee Advances 68,488 87,627 Security Deposits 177,148 236,909 Other Receivables 92,716 21,581 Other Assets 196,400 285,091 Net Balance $ 1,978,514 $ 2,223,361

REVENUES IN EXCESS OF BILLINGS

REVENUES IN EXCESS OF BILLINGS – LONG TERM	12 Months Ended
	Jun. 30, 2023
Contractors [Abstract]
REVENUES IN EXCESS OF BILLINGS – LONG TERM	NOTE 8 – REVENUES IN EXCESS OF BILLINGS – LONG TERM Revenues in excess of billings, net consisted of the following: SCHEDULE OF REVENUE IN EXCESS OF BILLING As of As of June 30, 2023 June 30, 2022 Revenues in excess of billings - long term $ - $ 881,940 Present value discount - (28,339 ) Net Balance $ - $ 853,601 Pursuant to revenue recognition for contract accounting, the Company had recorded revenues in excess of billings long-term for amounts billable after one year. During the years ended June 30, 2023 and 2022, the Company accreted $ 28,029 38,005 4.35 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	12 Months Ended
	Jun. 30, 2023
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	NOTE 9 - PROPERTY AND EQUIPMENT Property and equipment consisted of the following: SCHEDULE OF PROPERTY AND EQUIPMENT As of As of June 30, 2023 June 30, 2022 Office Furniture and Equipment $ 2,678,664 $ 3,021,586 Computer Equipment 8,317,131 11,388,856 Assets Under Capital Leases 46,554 305,081 Building 3,497,913 4,818,650 Land 885,474 1,237,965 Autos 1,941,063 2,503,990 Improvements 205,289 175,560 Subtotal 17,572,088 23,451,688 Accumulated Depreciation (11,410,902 ) (14,069,064 ) Property and Equipment, Net $ 6,161,186 $ 9,382,624 For the years ended June 30, 2023 and 2022, depreciation expense totaled $ 2,072,897 2,179,509 1,332,405 1,316,329 Following is a summary of fixed assets held under capital leases as of June 30, 2023 and 2022: SUMMARY OF FIXED ASSETS HELD UNDER CAPITAL LEASES As of As of June 30, 2023 June 30, 2022 Vehicles $ 46,554 $ 305,081 Total 46,554 305,081 Less: Accumulated Depreciation - Net (17,366 ) (145,658 ) Fixed assets held under capital leases, Total $ 29,188 $ 159,423 Finance lease term and discount rate were as follows: SCHEDULE OF FINANCE LEASE TERM As of As of June 30, 2023 June 30, 2022 Weighted average remaining lease term - Finance leases 1.21 2.39 Weighted average discount rate - Finance leases 16.4% 12.5% NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022

LEASES

LEASES	12 Months Ended
	Jun. 30, 2023
Leases
LEASES	NOTE 10 - LEASES The Company leases certain office space, office equipment and autos with remaining lease terms of one year 10 one year 10 The Company treats a contract as a lease when the contract conveys the right to use a physically distinct asset for a period of time in exchange for consideration, or the Company directs the use of the asset and obtains substantially all the economic benefits of the asset. These leases are recorded as right-of-use (“ROU”) assets and lease obligation liabilities for leases with terms greater than 12 months. ROU assets represent the Company’s right to use an underlying asset for the entirety of the lease term. Lease liabilities represent the Company’s obligation to make payments over the life of the lease. A ROU asset and a lease liability are recognized at commencement of the lease based on the present value of the lease payments over the life of the lease. Initial direct costs are included as part of the ROU asset upon commencement of the lease. Since the interest rate implicit in a lease is generally not readily determinable for the operating leases, the Company uses an incremental borrowing rate to determine the present value of the lease payments. The incremental borrowing rate represents the rate of interest the Company would have to pay to borrow on a collateralized basis over a similar lease term to obtain an asset of similar value. For finance leases, the Company used the incremental borrowing rate implicit in the lease. The Company reviews the impairment of ROU assets consistent with the approach applied for the Company’s other long-lived assets. The Company reviews the recoverability of long-lived assets when events or changes in circumstances occur that indicate that the carrying value of the asset may not be recoverable. The assessment of possible impairment is based on the Company’s ability to recover the carrying value of the asset from the expected undiscounted future pre-tax cash flows of the related operations. The Company elected the practical expedient to exclude short-term leases (leases with original terms of 12 months or less) from ROU asset and lease liability accounts. Lease expense is recognized on a straight-line basis over the lease term, while variable lease payments are expensed as incurred. Variable payments change due to facts or circumstances occurring after the commencement date, other than the passage of time, and do not result in a re-measurement of lease liabilities. The Company’s variable lease payments include payments for finance leases that are adjusted based on a change in the Karachi Inter Bank Offer Rate. The Company’s lease agreements do not contain any significant residual value guarantees or restrictive covenants. Supplemental balance sheet information related to leases was as follows: SCHEDULE OF BALANCE SHEET INFORMATION RELATED TO LEASE As of As of June 30, 2023 June 30, 2022 Assets Operating lease assets, net $ 1,151,575 $ 969,163 Liabilities Current Operating $ 505,237 $ 548,678 Operating, Current $ 505,237 $ 548,678 Non-current Operating 652,194 447,260 Operating, Non Current $ 505,237 $ 548,678 Total Lease Liabilities $ 1,157,431 $ 995,938 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 The components of lease cost were as follows: SCHEDULE OF COMPONENTS OF LEASE COST 2023 2022 For the Years Ended June 30, 2023 2022 Amortization of finance lease assets $ 10,904 $ 72,340 Interest on finance lease obligation 4,966 22,010 Operating lease cost 446,627 652,911 Short term lease cost 184,526 258,227 Sub lease income (31,998 ) (35,356 ) Total lease cost $ 615,025 $ 970,132 Lease term and discount rate were as follows: SCHEDULE OF LEASE TERM AND DISCOUNT RATE As of As of June 30, 2023 June 30, 2022 Weighted average remaining lease term - Operating leases 3.09 3.34 Weighted average discount rate - Operating leases 4.0 % 4.2 % Supplemental disclosures of cash flow information related to leases were as follows: SCHEDULE OF SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION RELATED TO LEASES 2023 2022 For the Years Ended June 30 2023 2022 Operating cash flows related to operating leases $ 457,592 $ 893,196 Operating cash flows related to finance leases $ 5,075 $ 3,577 Financing cash flows related finance leases $ 32,536 $ 55,476 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Maturities of operating lease liabilities were as follows as of June 30, 2023: SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES Amount Within year 1 $ 543,355 Within year 2 432,322 Within year 3 178,422 Within year 4 63,477 Within year 5 460 Thereafter 460 Total Lease Payments 1,218,496 Less: Imputed interest (61,065 ) Present Value of lease liabilities 1,157,431 Less: Current portion (505,237 ) Non-Current portion $ 652,194 The Company is a lessor for certain office space leased by the Company and sub-leased to others under non-cancelable leases. These lease agreements provide for a fixed base rent and terminate by January 2027. All leases are considered operating leases. There are no rights to purchase the premises and no residual value guarantees. For the years ended June 30, 2023 and 2022, the Company received lease income of $ 31,998 35,356 The Company signed an agreement for office space in Austin, Texas in April 2023 with effective date of August 2023. The lease agreement is a three year agreement with monthly payments ranging from $ 10,790 11,448

LONG-TERM INVESTMENT

LONG-TERM INVESTMENT	12 Months Ended
	Jun. 30, 2023
Investments, All Other Investments [Abstract]
LONG-TERM INVESTMENT	NOTE 11 – LONG-TERM INVESTMENT Drivemate-Related Party The Company and Drivemate Co., Ltd. (“Drivemate”) entered into a subscription agreement on April 25, 2019, (“Drivemate Agreement”) whereby the Company purchased an equity interest of 30 5,469 1,800,000 500,000 1,300,000 500,000 1,300,000 Pursuant to the agreement, the number of shares to be issued is adjusted as necessary to result in an equity ownership equal to 30% of the issued and outstanding shares at the final payment date. As of June 30, 2023 and 2022, the Company owns 8,178 shares equal to 30% of Drivemate. Per the Drivemate Agreement, the Company appointed two directors to the Drivemate board. The Company determined that it met the significant influence criteria since two of the four directors are appointed by the Company and the Company owns 30% of Drivemate; therefore, the Company accounts for the investment using the equity method of accounting During the years ended June 30, 2023 and 2022, the Company performed services of $ nil 12,528 Under the equity method of accounting, the Company recorded its share of net income of $ 7,510 49,664 1,041,482 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 The following table reflects the above investments at June 30, 2023 and 2022. SCHEDULE OF LONG TERM INVESTMENT Investment in Drivemate Gross investment at June 30, 2021 $ 1,800,000 Cumulative net loss on investment (89,614 ) Share of net income for the year - Impairment (651,018 ) Net investment at June 30, 2022 1,059,368 Beginning balance, net investment 1,059,368 Share of net income for the year 7,510 Impairment (1,041,482 ) Net investment at June 30, 2023 $ 25,396 Ending balance, net investment $ 25,396

INTANGIBLE ASSETS

INTANGIBLE ASSETS	12 Months Ended
	Jun. 30, 2023
Intangible Assets
INTANGIBLE ASSETS	NOTE 12 - INTANGIBLE ASSETS Intangible assets consisted of the following: SCHEDULE OF INTANGIBLE ASSETS As of As of June 30, 2023 June 30, 2022 Product Licenses - Cost $ 47,244,997 $ 47,244,997 Effect of Translation Adjustment (24,756,959 ) (19,914,206 ) Accumulated Amortization (22,360,107 ) (25,743,121 ) Net Balance $ 127,931 $ 1,587,670 Product Licenses Product licenses include internally-developed software cost. Product licenses are amortized on a straight-line basis over their respective lives, and the unamortized amount of $ 127,931 1,171,641 1,632,764

GOODWILL

GOODWILL	12 Months Ended
	Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL	NOTE 13 – GOODWILL Goodwill represents the excess of the aggregate purchase price over the fair value of the net assets acquired in prior period business combinations. Goodwill was comprised of the following amounts: SCHEDULE OF GOODWILL ACQUIRED As of As of Entity (Segment) June 30, 2023 June 30, 2022 NetSol PK (Asia - Pacific) $ 1,166,610 $ 1,166,610 NTE (Europe) 3,471,814 3,471,814 NTA (North America) 4,664,100 4,664,100 Total $ 9,302,524 $ 9,302,524 The Company tests for goodwill impairment at each reporting unit and recorded an impairment of $ 214,044

ACCOUNTS PAYABLE AND ACCRUED EX

ACCOUNTS PAYABLE AND ACCRUED EXPENSES	12 Months Ended
	Jun. 30, 2023
Payables and Accruals [Abstract]
ACCOUNTS PAYABLE AND ACCRUED EXPENSES	NOTE 14 - ACCOUNTS PAYABLE AND ACCRUED EXPENSES Accounts payable and accrued expenses consisted of the following: SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES As of As of June 30, 2023 June 30, 2022 Accounts Payable $ 1,114,915 $ 1,175,527 Accrued Liabilities 3,695,091 3,507,415 Accrued Payroll 982,884 1,397,605 Accrued Payroll Taxes 170,063 153,416 Taxes Payable 195,491 328,755 Other Payable 393,737 250,823 Total $ 6,552,181 $ 6,813,541 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022

DEBTS

DEBTS	12 Months Ended
	Jun. 30, 2023
Debt Disclosure [Abstract]
DEBTS	NOTE 15 – DEBTS Notes payable and capital leases consisted of the following: SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES As of June 30, 2023 Current Long-Term Name Total Maturities Maturities D&O Insurance (1) $ 89,823 $ 89,823 $ - Bank Overdraft Facility (2) - - - Term Finance Facility (3) - - - Loan Payable Bank - Export Refinance (4) 1,741,493 1,741,493 - Loan Payable Bank - Running Finance (5) - - - Loan Payable Bank - Export Refinance II (6) 1,323,535 1,323,535 - Loan Payable Bank - Export Refinance III (7) 2,438,089 2,438,089 - Sale and Leaseback Financing (8) 321,113 148,264 172,849 Term Finance Facility (9) 13,356 13,356 - Insurance Financing (10) - - - 5,927,409 5,754,560 172,849 Subsidiary Finance Leases (11) 28,330 24,950 3,380 $ 5,955,739 $ 5,779,510 $ 176,229 As of June 30, 2022 Current Long-Term Name Total Maturities Maturities D&O Insurance (1) $ 89,552 $ 89,552 $ - Bank Overdraft Facility (2) - - - Term Finance Facility (3) 423,101 423,101 - Loan Payable Bank - Export Refinance (4) 2,434,749 2,434,749 - Loan Payable Bank - Running Finance (5) - - - Loan Payable Bank - Export Refinance II (6) 1,850,409 1,850,409 - Loan Payable Bank - Export Refinance III (7) 3,408,648 3,408,648 - Sale and Leaseback Financing (8) 619,108 189,226 429,882 Term Finance Facility (9) 31,204 18,339 12,865 Insurance Financing (10) 118,026 118,026 - 8,974,797 8,532,050 442,747 Subsidiary Finance Leases (11) 68,571 35,095 33,476 $ 9,043,368 $ 8,567,145 $ 476,223 (1) The Company finances Directors’ and Officers’ (“D&O”) liability insurance and Errors and Omissions (“E&O”) liability insurance, for which the D&O and E&O balances are renewed on an annual basis and, as such, are recorded in current maturities. The interest rate on these financings range from 5.0 7.9 5.0 7.0 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 (2) The Company’s subsidiary, NTE, has an overdraft facility with HSBC Bank plc whereby the bank would cover any overdrafts up to £ 300,000 379,747 9.5 5.5 nil This overdraft facility requires that the aggregate amount of invoiced trade debtors (net of provisions for bad and doubtful debts and excluding intra-group debtors) of NTE, not exceeding 90 days old, will not be less than an amount equal to 200 (3) The Company’s subsidiary, NetSol PK, has a term finance facility from Askari Bank Limited, approved by the Government of Pakistan to protect the employment situation during the COVID-19 Pandemic. This is a term loan payable in three years. The availed facility amount is Rs. nil nil 86,887,974 423,101 3 (4) The Company’s subsidiary, NetSol PK, has an export refinance facility with Askari Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every six months. The total facility amount is Rs. 500,000,000 1,741,493 500,000,000 2,434,749 17.0 3.0 (5) The Company’s subsidiary, NetSol PK, has a running finance facility with Askari Bank Limited, secured by NetSol PK’s assets. The total facility amount is Rs. 53,600,000 186,688 53,600,000 261,005 Nil 24.9 14.0 These facilities require NetSol PK to maintain a long-term debt equity ratio of 60:40 and the current ratio of 1:1. As of June 30, 2023, NetSol PK was in compliance with this covenant (6) The Company’s subsidiary, NetSol PK, has an export refinance facility with Samba Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every six months. The total facility amount is Rs. 380,000,000 1,323,535 380,000,000 1,850,409 18.0 3.0 During the loan tenure, the facilities from Samba Bank Limited require NetSol PK to maintain at a minimum a current ratio of 1:1, an interest coverage ratio of 4 times, a leverage ratio of 2 times, and a debt service coverage ratio of 4 times. As of June 30, 2023, NetSol PK was in compliance with these covenants (7) The Company’s subsidiary, NetSol PK, has an export refinance facility with Habib Metro Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every nine months. The total facility amount is Rs. 900,000,000 3,134,687 900,000,000 4,382,548 700,000,000 2,438,089 700,000,000 3,408,648 18.0 3.0 (8) The Company’s subsidiary, NetSol PK, availed sale and leaseback financing from First Habib Modaraba secured by the transfer of the vehicles’ title. As of June 30, 2023, NetSol PK used Rs. 92,194,774 321,113 172,849 148,264 127,140,038 619,108 429,882 189,226 9.0 16.0 (9) In March 2020, the Company’s subsidiary, VLS, entered into a loan agreement with Investec Bank PLC. The loan amount was £ 69,549 88,037 1,349 1,708 13,356 6.14 (10) The Company’s subsidiary, VLS, finances Directors’ and Officers’ (“D&O”) liability insurance, and $ nil 96,781 9.7 12.7 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 (11) The Company leases various fixed assets under capital lease arrangements expiring in various years through 2024. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. The assets are secured by the assets themselves. Depreciation of assets under capital leases is included in depreciation expense for the years ended June 30, 2023 and 2022. Following is the aggregate minimum future lease payments under capital leases as of June 30, 2023: SCHEDULE OF AGGREGATE MINIMUM FUTURE LEASE PAYMENTS UNDER CAPITAL LEASES Amount Minimum Lease Payments Within year 1 $ 27,363 Within year 2 3,546 Total Minimum Lease Payments 30,909 Interest Expense relating to future periods (2,579 ) Present Value of minimum lease payments 28,330 Less: Current portion (24,950 ) Current portion of loans and obligations under finance leases Non-Current portion $ 3,380 Loans and obligations under finance leases; less current maturities Following is the aggregate future long term debt payments, which consists of “Sale and Leasback Financing (8)” and “Term Finance Facility (9)”, as of June 30, 2023: SCHEDULE OF AGGREGATE FUTURE LONG TERM DEBT PAYMENTS Amount Loan Payments Within year 1 $ 161,620 Within year 2 158,258 Within year 3 14,591 Total Loan Payments 334,469 Less: Current portion (161,620 ) Non-Current portion $ 172,849 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022

INCOME TAXES

INCOME TAXES	12 Months Ended
	Jun. 30, 2023
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 16 – INCOME TAXES The Company is incorporated in the State of Nevada and registered to do business in the State of California. The following is a breakdown of income before the provision for income taxes: Consolidated pre-tax income (loss) consists of the following: SCHEDULE OF CONSOLIDATED PRE-TAX INCOME (LOSS) 2023 2022 Years Ended June 30, 2023 2022 US operations $ (394,914 ) $ (1,140,443 ) Foreign operations (2,822,999 ) 3,230,184 Net income before income taxes $ (3,217,913 ) $ 2,089,741 The components of the provision for income taxes are as follows: SCHEDULE OF COMPONENTS OF PROVISION FOR INCOME TAXES 2023 2022 Years Ended June 30, 2023 2022 Current: Federal $ - $ - State and Local 13,972 2,800 Foreign 912,588 986,138 Deferred: Federal - - State and Local - - Foreign - - Provision for income taxes $ 926,560 $ 988,938 A reconciliation of taxes computed at the statutory federal income tax rate to income tax expense (benefit) is as follows: Reconciliation of effective income tax rate SCHEDULE OF RECONCILIATION OF TAXES AT STATUTORY FEDERAL INCOME TAX RATE INCOME TAX EXPENSE BENEFITS Years Ended June 30, 2023 2022 Income tax (benefit) provision at statutory rate $ (675,762 ) 21.0 % $ 438,846 21.0 % State income (benefit) taxes, net of federal tax benefit (224,610 ) 7.0 % 145,864 7.0 % Foreign earnings taxed at different rates 1,702,463 -52.9 % 82,333 3.9 % Change in valuation allowance for deferred tax assets 111,473 -3.5 % 318,421 15.2 % Other 12,996 -0.4 % 3,474 0.2 % Provision for income taxes $ 926,560 -28.8 % $ 988,938 47.3 % NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Deferred income tax assets and liabilities as of June 30, 2022 and 2021 consist of tax effects of temporary differences related to the following: Components of deferred tax asset SCHEDULE OF DEFERRED INCOME TAX ASSETS AND LIABILITIES 2023 2022 Years Ended June 30, 2023 2022 Net operating loss carry forwards $ 8,281,162 $ 7,885,333 Other 184,916 80,311 Net deferred tax assets 8,466,078 7,965,644 Valuation allowance for deferred tax assets (8,466,078 ) (7,965,644 ) Net deferred tax assets $ - $ - The Company has established a full valuation allowance as management believes it is more likely than not that these assets will not be realized in the future. The valuation allowance increased by $ 500,434 At June 30, 2023, federal and state net operating loss carry forwards in the United States of America were $ 29,963,170 8,561,437 expire in 2028 6,022,156 As of June 30, 2023, the Company does not have any unrecognized tax benefits related to various federal and state income tax matters. The Company will recognize accrued interest and penalties related to unrecognized tax benefits in income tax expense. The Company is subject to U.S. federal income tax, as well as various state and foreign jurisdictions. The Company is currently open to audit under the statute of limitations by the federal and state jurisdictions for the years ending June 30, 2020 through 2022. The Company does not anticipate any material amount of unrecognized tax benefits within the next 12 months. The cumulative amount of undistributed earnings of foreign subsidiaries that the Company intends to permanently invest and upon which no deferred US income taxes have been provided is $ 21,484,398 Income from the export of computer software and its related services developed in Pakistan is exempt from tax through June 30, 2025. The aggregate effect of the tax holiday for June 30, 2023 and 2022 is $ 1,359,169 1,260,502 0.12 0.11 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022

STOCKHOLDERS_ EQUITY

STOCKHOLDERS’ EQUITY	12 Months Ended
	Jun. 30, 2023
Equity [Abstract]
STOCKHOLDERS’ EQUITY	NOTE 17 - STOCKHOLDERS’ EQUITY During the years ended June 30, 2023 and 2022, the Company issued 58,317 1,985 159,000 12,009 During the year ended June 30, 2022, the Company issued 8,000 41,050 During the years ended June 30, 2023 and 2022, the Company issued 30,000 5,000 67,500 19,525 During the year ended June 30, 2022, the Company purchased 22,510 100,106 4.45

INCENTIVE AND NON-STATUTORY STO

INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN	12 Months Ended
	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN	NOTE 18 - INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN The Company maintains several Incentive and Non-Statutory Stock Option Plans (“Plans”) for its employees and consultants. Options granted under these Plans to an employee of the Company become exercisable over a period of no longer than ten ( 10 20 1 Two types of options may be granted under these Plans: (1) Incentive Stock Options (also known as Qualified Stock Options) which may only be issued to employees of the Company and whereby the exercise price of the option is not less than the fair market value of the common stock on the date it was reserved for issuance under the Plan; and (2) Non-statutory Stock Options which may be issued to either employees or consultants of the Company and whereby the exercise price of the option may be less than the fair market value of the common stock on the date it was reserved for issuance under the plan. Grants of options may be made to employees and consultants without regard to any performance measures. All options issued pursuant to the Plan are nontransferable and subject to forfeiture. The Plans provide for the grant of equity-based awards, including options, stock appreciation rights, restricted stock awards or performance share awards or any other right or interest relating to shares or cash, to eligible participants. The Plans contemplate the issuance of common stock upon exercise of options or other awards granted to eligible persons under the Plans. Shares issued under the Plans may be both authorized and unissued shares or previously issued shares acquired by the Company. Upon termination or expiration of an unexercised option, stock appreciation right or other stock-based award under the Plans, in whole or in part, the number of shares of common stock subject to such award again becomes available for grant under the Plans. Any shares of restricted stock forfeited as described below will become available for grant. The maximum number of shares that may be granted to any one participant in any calendar year may not exceed 50,000 Options granted under the Plans are not generally transferable and must be exercised within 10 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Incentive stock options granted to any participant who owns 10 110 Under the Plans, a participant may also be awarded a “performance award,” which means that the participant may receive cash, stock or other awards contingent upon achieving performance goals established by the Board of Directors. The Board of Directors may also make “deferred share” awards, which entitle the participant to receive the Company’s stock in the future for services performed between the date of the award and the date the participant may receive the stock. The vesting of deferred share awards may be based on performance criteria and/or continued service with the Company. A participant who is granted a “stock appreciation right” under the Plan has the right to receive all or a percentage of the fair market value of a share of stock on the date of exercise of the stock appreciation right minus the grant price of the stock appreciation right determined by the Board of Directors (but in no event less than the fair market value of the stock on the date of grant). Finally, the Board of Directors may make “restricted stock” awards under the Plans, which are subject to such terms and conditions as the Board of Directors determines and as are set forth in the award agreement related to the restricted stock. As of June 30, 2023, the remaining shares to be granted are 141 57,124 306,422 Stock Grants The following table summarizes stock grants awarded as compensation: SUMMARY OF UNVESTED STOCK GRANTS AWARDED AS COMPENSATION # Number of shares Weighted Average Grant Date Fair Value ($) Unvested, June 30, 2021 6,985 $ 5.75 Granted 3,000 $ 4.20 Vested (9,985 ) $ 5.31 Unvested, June 30, 2022 - $ - Granted 58,317 $ 2.73 Vested (58,317 ) $ 2.73 Unvested, June 30, 2023 - $ - For the years ended June 30, 2023 and 2022, the Company recorded compensation expense of $ 159,000 44,053 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022

RETIREMENT PLANS

RETIREMENT PLANS	12 Months Ended
	Jun. 30, 2023
Retirement Benefits [Abstract]
RETIREMENT PLANS	NOTE 19 – RETIREMENT PLANS The Company and its subsidiaries have varying defined contribution plans based on country specific laws. Employer contributions vary by subsidiary from 0 8 1,298,115 1,374,376

SEGMENT INFORMATION AND GEOGRAP

SEGMENT INFORMATION AND GEOGRAPHIC AREAS	12 Months Ended
	Jun. 30, 2023
Segment Reporting [Abstract]
SEGMENT INFORMATION AND GEOGRAPHIC AREAS	NOTE 20 – SEGMENT INFORMATION AND GEOGRAPHIC AREAS The Company has identified three The following table presents a summary of identifiable assets as of June 30, 2023 and 2022: SUMMARY OF IDENTIFIABLE ASSETS As of As of June 30, 2023 June 30, 2022 Identifiable assets: Corporate headquarters $ 878,899 $ 844,178 North America 7,344,122 6,442,219 Europe 8,716,656 8,727,530 Asia - Pacific 41,439,733 56,594,705 Consolidated $ 58,379,410 $ 72,608,632 Identifiable assets $ 58,379,410 $ 72,608,632 The following table presents a summary of investments under the equity method as of June 30, 2023 and 2022: SUMMARY OF INVESTMENT UNDER EQUITY METHOD As of As of June 30, 2023 June 30, 2022 Investment in associates under equity method: Asia - Pacific $ 25,396 $ 1,059,368 Consolidated $ 25,396 $ 1,059,368 The following table presents a summary of revenue streams by segment for the years ended June 30, 2023 and 2022: SUMMARY OF REVENUE STREAMS 2023 2022 License fees Subscription and support Services Total License fees Subscription and support Services Total North America $ 28,000 $ 4,398,429 $ 1,690,853 $ 6,117,282 $ 27,500 $ 3,744,605 $ 515,903 $ 4,288,008 Europe 136,151 2,682,407 7,939,886 10,758,444 291,652 2,213,427 7,923,124 10,428,203 Asia-Pacific 2,105,413 18,899,825 14,512,251 35,517,489 4,220,108 22,326,727 15,984,933 42,531,768 Total $ 2,269,564 $ 25,980,661 $ 24,142,990 $ 52,393,215 $ 4,539,260 $ 28,284,759 $ 24,423,960 $ 57,247,979 Revenue $ 2,269,564 $ 25,980,661 $ 24,142,990 $ 52,393,215 $ 4,539,260 $ 28,284,759 $ 24,423,960 $ 57,247,979 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 The following table presents a summary of operating information for the years ended June 30: SUMMARY OF OPERATING INFORMATION For the Years Ended June 30, 2023 2022 Revenues from unaffiliated customers: North America $ 6,117,282 $ 4,288,008 Europe 10,758,444 10,428,203 Asia - Pacific 35,517,489 42,531,768 Revenue from unaffiliated 52,393,215 57,247,979 Revenue from affiliated customers Asia - Pacific - - Revenue from affiliated - - Consolidated $ 52,393,215 $ 57,247,979 Revenue $ 52,393,215 $ 57,247,979 Intercompany revenue Europe $ 394,962 $ 453,242 Asia - Pacific 9,075,861 9,612,755 Eliminated $ 9,470,823 $ 10,065,997 Revenue $ 9,470,823 $ 10,065,997 Net income (loss) after taxes and before non-controlling interest: Corporate headquarters $ (501,560 ) $ (1,027,044 ) North America 92,674 (116,199 ) Europe (949,214 ) (1,407,252 ) Asia - Pacific (2,786,373 ) 3,651,298 Consolidated $ (4,144,473 ) $ 1,100,803 Net income (loss) after taxes and before non-controlling interest $ (4,144,473 ) $ 1,100,803 Depreciation and amortization: North America $ 2,523 $ 1,995 Europe 303,907 396,519 Asia - Pacific 2,938,108 3,413,759 Consolidated $ 3,244,538 $ 3,812,273 Depreciation and amortization $ 3,244,538 $ 3,812,273 Interest expense: Corporate headquarters $ 23,639 $ 32,915 North America - - Europe 8,955 10,335 Asia - Pacific 732,436 326,551 Consolidated $ 765,030 $ 369,801 Interest expense $ 765,030 $ 369,801 Income tax expense: Corporate headquarters $ 12,372 $ (43,354 ) North America 1,600 46,154 Europe 46,747 15,862 Asia - Pacific 865,841 970,276 Consolidated $ 926,560 $ 988,938 Income tax expense $ 926,560 $ 988,938 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 The following table presents a summary of capital expenditures for the years ended June 30: SUMMARY OF CAPITAL EXPENDITURES 2023 2022 For the Years Ended June 30, 2023 2022 Capital expenditures: North America $ 4,881 $ - Europe 33,185 151,378 Asia - Pacific 1,601,372 2,457,827 Consolidated $ 1,639,438 $ 2,609,205 Capital expenditures $ 1,639,438 $ 2,609,205 Geographic Information Disclosed in the table below is geographic information for each country that comprised greater than five percent of total revenues for the years ended June 30, 2023 and 2022. SCHEDULE OF GEOGRAPHIC INFORMATION June 30, 2023 June 30, 2022 Revenue Long-lived Assets Revenue Long-lived Assets China $ 15,120,449 $ 631,713 $ 20,533,170 $ 256,468 Thailand 2,260,699 207,280 2,781,867 1,240,082 USA 5,057,470 4,805,841 3,161,365 4,852,458 UK 10,758,444 4,276,754 10,428,203 4,986,192 Pakistan & India 2,087,018 6,845,753 3,751,603 11,836,992 Australia & New Zealand 7,018,095 8,202 6,545,872 8,304 Mexico 1,059,812 - 1,126,643 - Indonesia 2,903,163 - 2,957,354 - South Africa 752,603 - 2,057,608 - South Korea 1,954,982 - 894,160 - Other Countries 3,420,480 - 3,010,134 - Total $ 52,393,215 $ 16,775,543 $ 57,247,979 $ 23,180,496 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 Disclosed in the table below is the geographic information of total revenues by country for the years ended June 30, 2023 and 2022. SCHEDULE OF RECONCILIATION OF REVENUE Revenues 2023 Total China Thailand USA UK Pakistan & India Australia & New Zealand Mexico Indonesia South Africa South Korea Other Countries North America: $ 6,117,282 $ - $ - $ 5,057,470 $ - $ - $ - $ 1,059,812 $ - $ - $ - $ - Europe: 10,758,444 - - - 10,758,444 - - - - - - - Asia-Pacific: 35,517,489 15,120,449 2,260,699 - - 2,087,018 7,018,095 - 2,903,163 752,603 1,954,982 3,420,480 Total $ 52,393,215 $ 15,120,449 $ 2,260,699 $ 5,057,470 $ 10,758,444 $ 2,087,018 $ 7,018,095 $ 1,059,812 $ 2,903,163 $ 752,603 $ 1,954,982 $ 3,420,480 Revenues 2022 Total China Thailand USA UK Pakistan & India Australia & New Zealand Mexico Indonesia South Africa South Korea Other Countries North America: $ 4,288,008 $ - $ - $ 3,161,365 $ - $ - $ - $ 1,126,643 $ - $ - $ - $ - Europe: 10,428,203 - - - 10,428,203 - - - - - - - Asia-Pacific: 42,531,768 20,533,170 2,781,867 - - 3,751,603 6,545,872 - 2,957,354 2,057,608 894,160 3,010,134 Total $ 57,247,979 $ 20,533,170 $ 2,781,867 $ 3,161,365 $ 10,428,203 $ 3,751,603 $ 6,545,872 $ 1,126,643 $ 2,957,354 $ 2,057,608 $ 894,160 $ 3,010,134

NON-CONTROLLING INTEREST IN SUB

NON-CONTROLLING INTEREST IN SUBSIDIARY	12 Months Ended
	Jun. 30, 2023
Noncontrolling Interest [Abstract]
NON-CONTROLLING INTEREST IN SUBSIDIARY	NOTE 21 – NON-CONTROLLING INTEREST IN SUBSIDIARY The Company had non-controlling interests in several of its subsidiaries. The balance of non-controlling interest was as follows: SCHEDULE OF BALANCE OF NON-CONTROLLING INTEREST SUBSIDIARY Non-Controlling Interest % Non-Controlling Interest at June 30, 2023 NetSol PK 32.38 % $ 3,314,659 NetSol-Innovation 32.38 % (223,504 ) NAMECET 32.38 % (5,384 ) NetSol Thai 0.006 % (194 ) OTOZ Thai 5.60 % (23,572 ) OTOZ 5.59 % (86,952 ) Total $ 2,975,053 SUBSIDIARY Non-Controlling Interest % Non-Controlling Interest at June 30, 2022 NetSol PK 32.38 % $ 5,479,905 NetSol-Innovation 32.38 % 49,146 NetSol Thai 0.006 % (196 ) OTOZ Thai 5.60 % (30,768 ) OTOZ 5.59 % (47,698 ) Total $ 5,450,389 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 OTOZ In September 2022, the Company’s subsidiary, Otoz, issued 191,011 5.59 10.94 10.95 In June 2023, the Company’s subsidiary, Otoz, repurchased the 191,011 10.94 5.59 5.60 NetSol PK During the year ended June 30, 2022, NetSol PK purchased 2,000,000 950,352 33.88 32.38 The following schedule discloses the effect to the Company’s equity due to the changes in the Company’s ownership interest in NetSol PK and OTOZ. SCHEDULE OF CHANGE IN OWNERSHIP INTEREST 2023 2022 For the Years Ended June 30, 2023 2022 Net income (loss) attributable to NetSol $ (5,243,748 ) $ (851,156 ) Transfer (to) from non-controlling interest Increase in paid-in capital for issuance of 191,011 120,565 - Decrease in paid-in capital for purchase of 191,011 (118,207 ) - Increase in paid-in capital for purchase of 2,000,000 - 36,403 Net transfer (to) from non-controlling interest 2,358 36,403 Change from net income (loss) attributable to NetSol and transfer (to) from non-controlling interest $ (5,241,390 ) $ (814,753 )

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company as follows: Wholly owned Subsidiaries NetSol Technologies Americas, Inc. (“NTA”) NetSol Connect (Private), Ltd. (“Connect”) NetSol Technologies Australia Pty Ltd. (“Australia”) NetSol Technologies Europe Limited (“NTE”) NTPK (Thailand) Co. Limited (“NTPK Thailand”) NetSol Technologies (Beijing) Co. Ltd. (“NetSol Beijing”) Tianjin NuoJinZhiCheng Co., Ltd (“Tianjin”) Ascent Europe Ltd. (“AEL”) Virtual Lease Services Holdings Limited (“VLSH”) Virtual Lease Services Limited (“VLS”) Virtual Lease Services (Ireland) Limited (“VLSIL”) Majority-owned Subsidiaries NetSol Technologies, Ltd. (“NetSol PK”) NetSol Innovation (Private) Limited (“NetSol Innovation”) NETSOL Ascent Middle East Computer Equipment Trading LLC (“Namecet”) NetSol Technologies Thailand Limited (“NetSol Thai”) OTOZ, Inc. (“OTOZ”) OTOZ (Thailand) Limited (“OTOZ Thai”) The Company consolidates any variable interest entities of which it is the primary beneficiary. Equity investments through which the Company exercises significant influence over but does not control the investee and is not the primary beneficiary of the investee’s activities are accounted for using the equity method. Investments through which the Company is not able to exercise significant influence over the investee and which do not have readily determinable fair values are accounted for under the cost method. All material inter-company accounts have been eliminated in the consolidation.
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The areas requiring significant estimates are provision for doubtful accounts, provision for taxation, useful life of depreciable assets, useful life of intangible assets, contingencies, and estimated contract costs. The estimates and underlying assumptions are reviewed on an ongoing basis. Actual results could differ from those estimates.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include all highly liquid debt instruments with original maturities of three months or less which are not securing any corporate obligations.
Concentration of Credit Risk	Concentration of Credit Risk Cash includes cash on hand and demand deposits in accounts maintained within the United States as well as in foreign countries. Certain financial instruments, which subject the Company to concentration of credit risk, consist of cash and restricted cash. The Company maintains balances at financial institutions which, from time to time, may exceed Federal Deposit Insurance Corporation insured limits for the banks located in the United States. Balances at financial institutions within certain foreign countries are not covered by insurance, except balances maintained in China are insured for RMB 500,000 68,871 85,000 107,595 13,523,997 22,758,963 The Company’s operations are carried out globally. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic and legal environments of each country and by the general state of the country’s economy. The Company’s operations in each foreign country are subject to specific considerations and significant risks not typically associated with companies in economically developed nations. These include risks associated with, among others, the political, economic and legal environments and foreign currency exchange. The Company’s results may be adversely affected by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things.
Accounts Receivable and Allowance for Doubtful Accounts	Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are recorded at the invoiced amount and are non-interest bearing. The Company maintains an allowance for doubtful accounts for estimated losses inherent in its accounts receivable portfolio. In establishing the required allowance, management regularly reviews the composition of accounts receivable and analyzes customer credit worthiness, customer concentrations, current economic trends and changes in customer payment patterns. Reserves are recorded primarily on a specific identification basis. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote.
Notes Receivable	Notes Receivable Notes Receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of purchase premiums and discounts, deferred loan fees and costs, and an allowance for loan losses. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022
Revenues in Excess of Billings	Revenues in Excess of Billings Revenues in excess of billings represent the total of the project to be billed to the customer for revenues recognized per US GAAP. As the customers are billed under the terms of their contract, the corresponding amount is transferred from this account to “Accounts Receivable.” The Company recognizes the potential risk associated with recognizing revenues in excess of billings, including the risk of non-payment by the customer. Therefore, management continually assesses the collectability of such amounts and makes appropriate provisions or adjustments if collectability becomes doubtful.
Investments	Investments The Company uses the equity investment without readily determinable fair value method to account for investments in businesses that are not publicly traded and for which the Company does not control or have the ability to exercise significant influence over operating and financial policies. In accordance with this method, these investments are recorded at lower of cost or fair value, as appropriate, and are classified as long-term. Investments held by the Company in businesses that are not publicly traded and for which the Company has the ability to exercise significant influence over operating and financial management are accounted for under the equity method. In accordance with the equity method, these investments are originally recorded at cost and are adjusted for the Company’s proportionate share of earnings, losses and distributions. These investments are classified as long-term. The Company assesses and records impairment losses when events and circumstances indicate the investments might be impaired. Gains and losses are recognized when realized and recorded in other income (expense) in the accompanying Consolidated Statements of Operations.
Property and Equipment	Property and Equipment Property and equipment are stated at cost. Expenditures for maintenance and repairs are charged to earnings as incurred; additions, renewals and betterments are capitalized. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Depreciation is computed using various methods over the estimated useful lives of the assets, ranging from three to twenty years. Following is the summary of estimated useful lives of the assets: SUMMARY OF ESTIMATED USEFUL LIVES OF ASSETS Category Estimated Useful Life Computer equipment and software 3 5 Office furniture and equipment 5 10 Building 20 Autos 5 Assets under capital leases 3 10 Improvements 5 10 The Company capitalizes costs of materials, consultants, and payroll and payroll-related costs for employees incurred in developing internal-use computer software. These costs are included with “Computer equipment and software.”
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets The Company tests long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable through the estimated undiscounted cash flows expected to result from the use and eventual disposition of the assets. Whenever any such impairment exists, an impairment loss will be recognized for the amount by which the carrying value exceeds the fair value. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022
Intangible Assets	Intangible Assets Intangible assets consist of capitalized software cost. Intangible assets with finite lives are amortized over the estimated useful life and are evaluated for impairment at least on an annual basis and whenever events or changes in circumstances indicate that the carrying value may not be recoverable. The Company assesses recoverability by determining whether the carrying value of such assets will be recovered through the discounted expected future cash flows. If the future discounted cash flows are less than the carrying amount of these assets, the Company recognizes an impairment loss based on the excess of the carrying amount over the fair value of the assets.
Software Development Costs	Software Development Costs Costs incurred to internally develop computer software products or to enhance an existing product are recorded as research and development costs and expensed when incurred until technological feasibility for the respective product is established. Thereafter, all software development costs are capitalized and reported at the lower of unamortized cost or net realizable value. Capitalization ceases when the product or enhancement is available for general release to customers. The Company makes on-going evaluations of the recoverability of its capitalized software projects by comparing the amount capitalized for each product to the estimated present value of expected future net income from the product. If such evaluations indicate that the unamortized software development costs exceed the present value of expected future net income, the Company writes off the amount which the unamortized software development costs exceed such present value. Capitalized and purchased computer software development costs are being amortized ratably based on the projected revenue associated with the related software or on a straight-line basis.
Research and Development Costs	Research and Development Costs Research and development expenses are comprised of salaries, benefits and overhead expenses of employees involved in software product enhancement and development, cost of outside contractors engaged to perform quality assurance, software product enhancement and development (if any). Development costs are expensed as incurred.
Goodwill	Goodwill Goodwill represents the excess of the aggregate purchase price over the fair value of the net assets acquired in a purchase business combination. Goodwill is reviewed for impairment on an annual basis, or more frequently if events or changes in circumstances indicate that the carrying amount of goodwill may be impaired. In conducting its annual impairment test, the Company first reviews qualitative factors to determine whether it is more likely than not that the fair value of the reporting unit is less than its carrying amount. If factors indicate that the fair value of the reporting unit is less than its carrying amount, the Company performs a quantitative assessment and the fair value of the reporting unit is determined by analyzing the expected present value of future cash flows. If the carrying value of the reporting unit continues to exceed its fair value, the fair value of the reporting unit’s goodwill is calculated and an impairment loss equal to the excess is recorded. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company applies the provisions of ASC 820-10, “Fair Value Measurements and Disclosures.” The three levels of valuation hierarchy are defined as follows: Level 1: Valuations consist of unadjusted quoted prices in active markets for identical assets and liabilities and has the highest priority. Level 2: Valuations rely on quoted prices in markets that are not active or observable inputs over the full term of the asset or liability. Level 3: Valuations are based on prices or third party or internal valuation models that require inputs that are significant to the fair value measurement and are less observable and thus have the lowest priority. The Company did not have any financial assets that were measured at fair value on a recurring basis at June 30, 2023. The Company’s financial assets that were measured at fair value on a recurring basis as of June 30, 2022, are as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS Level 1 Level 2 Level 3 Total Assets Revenues in excess of billings - long term $ - $ - $ 853,601 $ 853,601 Total $ - $ - $ 853,601 $ 853,601 The reconciliation for the years ended June 30, 2023 and 2022 is as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION Revenues in excess Fair value Total Balance at June 30, 2021 $ 1,024,382 $ (66,779 ) $ 957,603 Amortization during the period - 38,005 38,005 Transfers to short term (129,352 ) - (129,352 ) Effect of Translation Adjustment (13,090 ) 435 (12,655 ) Balance at June 30, 2022 $ 881,940 $ (28,339 ) $ 853,601 Amortization during the period - 28,029 28,029 Transfers to short term (890,794 ) - (890,794 ) Effect of Translation Adjustment 8,854 310 9,164 Balance at June 30, 2023 $ - $ - $ - The Company used the discounted cash flow method with an interest rate of 4.35 Management analyzes all financial instruments with features of both liabilities and equity under ASC 480, “Distinguishing Liabilities From Equity” “Derivatives and Hedging.” NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022
Unearned Revenue	Unearned Revenue Unearned revenue represents billings in excess of revenue earned on contracts and are recognized on a pro-rata basis over the life of the contract.
Cost of Revenues	Cost of Revenues Cost of revenues includes salaries and benefits for technical employees, consultant costs, amortization of capitalized computer software development costs, depreciation of computer and equipment, travel costs, and indirect costs such as rent and insurance.
Advertising Costs	Advertising Costs The Company expenses the cost of advertising as incurred. Advertising costs for the years ended June 30, 2023 and 2022 were $ 64,556 119,592
Share-Based Compensation	Share-Based Compensation The Company records stock compensation in accordance with ASC 718, Compensation – Stock Compensation
Income Taxes	Income Taxes 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 carry forwards. 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. A valuation allowance is provided for deferred tax assets if it is more likely than not these items will either expire before the Company is able to realize their benefits, or that future deductibility is uncertain. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Applicable interest and penalties associated with unrecognized tax benefits are classified as additional income taxes in the statements of operations. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022
Foreign Currency Translation	Foreign Currency Translation The Company transacts business in various foreign currencies. The accounts of NetSol UK, NTE, AEL, VLSH and VLS use the British Pound; VLSIL uses the Euro; NetSol PK, Connect, and NetSol Innovation use Pakistan Rupees; NTPK Thailand, NetSol Thai and OTOZ Thai use Thai Baht; NetSol Australia uses the Australian dollar; Namecet uses AED; and NetSol Beijing and Tianjin use the Chinese Yuan as the functional currencies. NetSol Technologies, Inc., and its subsidiaries, NTA and OTOZ, use the U.S. dollar as the functional currency. Consequently, revenues and expenses of operations outside the United States are translated into U.S. Dollars using average exchange rates while assets and liabilities of operations outside the United States are translated into U.S. Dollars using exchange rates at the balance sheet date. The effects of foreign currency translation adjustments are recorded to other comprehensive income.
Statement of Cash Flows	Statement of Cash Flows The Company’s cash flows from operations are calculated based upon the local currencies. As a result, amounts related to assets and liabilities reported on the statement of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheet.
Segment Reporting	Segment Reporting The Company defines operating segments as components about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performances. The Company allocates its resources and assesses the performance of its sales activities based on the geographic locations of its subsidiaries. (See Note 20 “Segment Information and Geographic Areas”)
Recent Accounting Standards Adopted by the Company:	Recent Accounting Standards Adopted by the Company: In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (ASC 740): Simplifying the Accounting for Income Taxes In August 2020, the FASB issued ASU No. 2020-06, “Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity” (“ASU 2020-06”). ASU 2020-06 reduces the number of accounting models for convertible debt instruments and convertible preferred stock and results in fewer instruments with embedded conversion features being separately recognized from the host contract as compared with current standards. Those instruments that do not have a separately recognized embedded conversion feature will no longer recognize a debt issuance discount related to such a conversion feature and would recognize less interest expense on a periodic basis. Additionally, the ASU amends the calculation of the share dilution impact related to a conversion feature and eliminates the treasury method as an option. For instruments that do not have a component mandatorily settled in cash, the change will likely result in a higher amount of share dilution in the calculation of earnings per share. This ASU is effective for fiscal years (and interim periods within those fiscal years) beginning after December 15, 2021, and was adopted by the Company July 1, 2022. The adoption of the new standard did not have a material impact on the Company’s consolidated financial statements. NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of Effects of Reference Rate Reform on Financial Reporting In August 2020, the FASB issued ASU 2020-06, “ Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity”,
Accounting Standards Recently Issued but Not Yet Adopted by the Company:	Accounting Standards Recently Issued but Not Yet Adopted by the Company: In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires contract assets and contract liabilities acquired in a business combination to be recognized in accordance with Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers, as if the acquirer had originated the contracts. ASU 2021-08 is effective for annual periods beginning after December 15, 2022, and interim periods within those years, with early adoption permitted. The Company does not expect the standard to have a material effect on its consolidated financial statements. All other newly issued accounting pronouncements not yet effective have been deemed either immaterial or not applicable.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
SUMMARY OF ESTIMATED USEFUL LIVES OF ASSETS	SUMMARY OF ESTIMATED USEFUL LIVES OF ASSETS Category Estimated Useful Life Computer equipment and software 3 5 Office furniture and equipment 5 10 Building 20 Autos 5 Assets under capital leases 3 10 Improvements 5 10
SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS	The Company’s financial assets that were measured at fair value on a recurring basis as of June 30, 2022, are as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS Level 1 Level 2 Level 3 Total Assets Revenues in excess of billings - long term $ - $ - $ 853,601 $ 853,601 Total $ - $ - $ 853,601 $ 853,601
SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION	The reconciliation for the years ended June 30, 2023 and 2022 is as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION Revenues in excess Fair value Total Balance at June 30, 2021 $ 1,024,382 $ (66,779 ) $ 957,603 Amortization during the period - 38,005 38,005 Transfers to short term (129,352 ) - (129,352 ) Effect of Translation Adjustment (13,090 ) 435 (12,655 ) Balance at June 30, 2022 $ 881,940 $ (28,339 ) $ 853,601 Amortization during the period - 28,029 28,029 Transfers to short term (890,794 ) - (890,794 ) Effect of Translation Adjustment 8,854 310 9,164 Balance at June 30, 2023 $ - $ - $ -

REVENUE RECOGNITION (Tables)

REVENUE RECOGNITION (Tables)	12 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
SCHEDULE OF DISAGGREGATED REVENUE BY CATEGORY	The Company’s disaggregated revenue by category is as follows: SCHEDULE OF DISAGGREGATED REVENUE BY CATEGORY 2023 2022 For the Years Ended June 30, 2023 2022 Core: License $ 2,269,564 $ 4,539,260 Subscription and support 25,980,661 28,284,759 Services 19,676,414 19,519,508 Total core revenue, net 47,926,639 52,343,527 Non-Core: Services 4,466,576 4,904,452 Total non-core revenue, net 4,466,576 4,904,452 Total net revenue $ 52,393,215 $ 57,247,979
SCHEDULE OF REVENUES IN EXCESS OF BILLINGS AND DEFERRED REVENUE	The Company’s revenues in excess of billings and unearned revenue are as follows: SCHEDULE OF REVENUES IN EXCESS OF BILLINGS AND DEFERRED REVENUE As of As of June 30, 2023 June 30, 2022 Revenues in excess of billings $ 12,377,677 $ 15,425,377 Unearned revenue $ 7,932,306 $ 4,901,562
SCHEDULE OF UNEARNED REVENUE RECONCILIATION	The Company’s unearned revenue reconciliation is as follows: SCHEDULE OF UNEARNED REVENUE RECONCILIATION Unearned Revenue Balance at June 30, 2021 $ 4,556,626 Invoiced 18,800,227 Revenue Recognized (17,881,803 ) Adjustments (573,488 ) Balance at June 30, 2022 4,901,562 Invoiced 23,549,941 Revenue Recognized (19,762,568 ) Adjustments (756,629 ) Balance at June 30, 2023 $ 7,932,306

RE-CLASSIFICATION OF OTHER CO_2

RE-CLASSIFICATION OF OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	12 Months Ended
	Jun. 30, 2023
Equity [Abstract]
SCHEDULE OF RECLASSIFICATION OF FOREIGN CURRENCY TRANSLATION ADJUSTMENTS	The Company re-classified certain foreign currency translation adjustments of foreign entities in other comprehensive income (loss) to income (loss) for the period ended June 30, 2023. SCHEDULE OF RECLASSIFICATION OF FOREIGN CURRENCY TRANSLATION ADJUSTMENTS Details about Accumulated For the Year ended June 30, 2023 Amount Reclassified from Accumulated Other Income (Loss) Affected Line Item in the Statement Consolidated Statement of Operations Where Net Loss is Presented Foreign currency translation gain (loss) on liquidation of NTPK Thailand $ (323,764 ) Gain on foreign currency exchange transactions Foreign currency translation gain (loss) on investment in WRLD3D   (650,242 ) Other income (expense) Total reclassification for the period $ (974,006 )

OTHER CURRENT ASSETS (Tables)

OTHER CURRENT ASSETS (Tables)	12 Months Ended
	Jun. 30, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
SCHEDULE OF OTHER CURRENT ASSETS	Other current assets consisted of the following: SCHEDULE OF OTHER CURRENT ASSETS As of As of June 30, 2023 June 30, 2022 Prepaid Expenses $ 1,299,334 $ 1,389,370 Advance Income Tax 144,428 202,783 Employee Advances 68,488 87,627 Security Deposits 177,148 236,909 Other Receivables 92,716 21,581 Other Assets 196,400 285,091 Net Balance $ 1,978,514 $ 2,223,361

REVENUES IN EXCESS OF BILLING_2

REVENUES IN EXCESS OF BILLINGS – LONG TERM (Tables)	12 Months Ended
	Jun. 30, 2023
Contractors [Abstract]
SCHEDULE OF REVENUE IN EXCESS OF BILLING	Revenues in excess of billings, net consisted of the following: SCHEDULE OF REVENUE IN EXCESS OF BILLING As of As of June 30, 2023 June 30, 2022 Revenues in excess of billings - long term $ - $ 881,940 Present value discount - (28,339 ) Net Balance $ - $ 853,601

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Jun. 30, 2023
Property, Plant and Equipment [Abstract]
SCHEDULE OF PROPERTY AND EQUIPMENT	Property and equipment consisted of the following: SCHEDULE OF PROPERTY AND EQUIPMENT As of As of June 30, 2023 June 30, 2022 Office Furniture and Equipment $ 2,678,664 $ 3,021,586 Computer Equipment 8,317,131 11,388,856 Assets Under Capital Leases 46,554 305,081 Building 3,497,913 4,818,650 Land 885,474 1,237,965 Autos 1,941,063 2,503,990 Improvements 205,289 175,560 Subtotal 17,572,088 23,451,688 Accumulated Depreciation (11,410,902 ) (14,069,064 ) Property and Equipment, Net $ 6,161,186 $ 9,382,624
SUMMARY OF FIXED ASSETS HELD UNDER CAPITAL LEASES	Following is a summary of fixed assets held under capital leases as of June 30, 2023 and 2022: SUMMARY OF FIXED ASSETS HELD UNDER CAPITAL LEASES As of As of June 30, 2023 June 30, 2022 Vehicles $ 46,554 $ 305,081 Total 46,554 305,081 Less: Accumulated Depreciation - Net (17,366 ) (145,658 ) Fixed assets held under capital leases, Total $ 29,188 $ 159,423
SCHEDULE OF FINANCE LEASE TERM	Finance lease term and discount rate were as follows: SCHEDULE OF FINANCE LEASE TERM As of As of June 30, 2023 June 30, 2022 Weighted average remaining lease term - Finance leases 1.21 2.39 Weighted average discount rate - Finance leases 16.4% 12.5%

LEASES (Tables)

LEASES (Tables)	12 Months Ended
	Jun. 30, 2023
Leases
SCHEDULE OF BALANCE SHEET INFORMATION RELATED TO LEASE	Supplemental balance sheet information related to leases was as follows: SCHEDULE OF BALANCE SHEET INFORMATION RELATED TO LEASE As of As of June 30, 2023 June 30, 2022 Assets Operating lease assets, net $ 1,151,575 $ 969,163 Liabilities Current Operating $ 505,237 $ 548,678 Operating, Current $ 505,237 $ 548,678 Non-current Operating 652,194 447,260 Operating, Non Current $ 505,237 $ 548,678 Total Lease Liabilities $ 1,157,431 $ 995,938
SCHEDULE OF COMPONENTS OF LEASE COST	The components of lease cost were as follows: SCHEDULE OF COMPONENTS OF LEASE COST 2023 2022 For the Years Ended June 30, 2023 2022 Amortization of finance lease assets $ 10,904 $ 72,340 Interest on finance lease obligation 4,966 22,010 Operating lease cost 446,627 652,911 Short term lease cost 184,526 258,227 Sub lease income (31,998 ) (35,356 ) Total lease cost $ 615,025 $ 970,132
SCHEDULE OF LEASE TERM AND DISCOUNT RATE	Lease term and discount rate were as follows: SCHEDULE OF LEASE TERM AND DISCOUNT RATE As of As of June 30, 2023 June 30, 2022 Weighted average remaining lease term - Operating leases 3.09 3.34 Weighted average discount rate - Operating leases 4.0 % 4.2 %
SCHEDULE OF SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION RELATED TO LEASES	Supplemental disclosures of cash flow information related to leases were as follows: SCHEDULE OF SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION RELATED TO LEASES 2023 2022 For the Years Ended June 30 2023 2022 Operating cash flows related to operating leases $ 457,592 $ 893,196 Operating cash flows related to finance leases $ 5,075 $ 3,577 Financing cash flows related finance leases $ 32,536 $ 55,476
SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES	Maturities of operating lease liabilities were as follows as of June 30, 2023: SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES Amount Within year 1 $ 543,355 Within year 2 432,322 Within year 3 178,422 Within year 4 63,477 Within year 5 460 Thereafter 460 Total Lease Payments 1,218,496 Less: Imputed interest (61,065 ) Present Value of lease liabilities 1,157,431 Less: Current portion (505,237 ) Non-Current portion $ 652,194

LONG-TERM INVESTMENT (Tables)

LONG-TERM INVESTMENT (Tables)	12 Months Ended
	Jun. 30, 2023
Investments, All Other Investments [Abstract]
SCHEDULE OF LONG TERM INVESTMENT	The following table reflects the above investments at June 30, 2023 and 2022. SCHEDULE OF LONG TERM INVESTMENT Investment in Drivemate Gross investment at June 30, 2021 $ 1,800,000 Cumulative net loss on investment (89,614 ) Share of net income for the year - Impairment (651,018 ) Net investment at June 30, 2022 1,059,368 Beginning balance, net investment 1,059,368 Share of net income for the year 7,510 Impairment (1,041,482 ) Net investment at June 30, 2023 $ 25,396 Ending balance, net investment $ 25,396

INTANGIBLE ASSETS (Tables)

INTANGIBLE ASSETS (Tables)	12 Months Ended
	Jun. 30, 2023
Intangible Assets
SCHEDULE OF INTANGIBLE ASSETS	Intangible assets consisted of the following: SCHEDULE OF INTANGIBLE ASSETS As of As of June 30, 2023 June 30, 2022 Product Licenses - Cost $ 47,244,997 $ 47,244,997 Effect of Translation Adjustment (24,756,959 ) (19,914,206 ) Accumulated Amortization (22,360,107 ) (25,743,121 ) Net Balance $ 127,931 $ 1,587,670

GOODWILL (Tables)

GOODWILL (Tables)	12 Months Ended
	Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
SCHEDULE OF GOODWILL ACQUIRED	Goodwill represents the excess of the aggregate purchase price over the fair value of the net assets acquired in prior period business combinations. Goodwill was comprised of the following amounts: SCHEDULE OF GOODWILL ACQUIRED As of As of Entity (Segment) June 30, 2023 June 30, 2022 NetSol PK (Asia - Pacific) $ 1,166,610 $ 1,166,610 NTE (Europe) 3,471,814 3,471,814 NTA (North America) 4,664,100 4,664,100 Total $ 9,302,524 $ 9,302,524

ACCOUNTS PAYABLE AND ACCRUED _2

ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Tables)	12 Months Ended
	Jun. 30, 2023
Payables and Accruals [Abstract]
SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES	Accounts payable and accrued expenses consisted of the following: SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES As of As of June 30, 2023 June 30, 2022 Accounts Payable $ 1,114,915 $ 1,175,527 Accrued Liabilities 3,695,091 3,507,415 Accrued Payroll 982,884 1,397,605 Accrued Payroll Taxes 170,063 153,416 Taxes Payable 195,491 328,755 Other Payable 393,737 250,823 Total $ 6,552,181 $ 6,813,541

DEBTS (Tables)

DEBTS (Tables)	12 Months Ended
	Jun. 30, 2023
Debt Disclosure [Abstract]
SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES	Notes payable and capital leases consisted of the following: SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES As of June 30, 2023 Current Long-Term Name Total Maturities Maturities D&O Insurance (1) $ 89,823 $ 89,823 $ - Bank Overdraft Facility (2) - - - Term Finance Facility (3) - - - Loan Payable Bank - Export Refinance (4) 1,741,493 1,741,493 - Loan Payable Bank - Running Finance (5) - - - Loan Payable Bank - Export Refinance II (6) 1,323,535 1,323,535 - Loan Payable Bank - Export Refinance III (7) 2,438,089 2,438,089 - Sale and Leaseback Financing (8) 321,113 148,264 172,849 Term Finance Facility (9) 13,356 13,356 - Insurance Financing (10) - - - 5,927,409 5,754,560 172,849 Subsidiary Finance Leases (11) 28,330 24,950 3,380 $ 5,955,739 $ 5,779,510 $ 176,229 As of June 30, 2022 Current Long-Term Name Total Maturities Maturities D&O Insurance (1) $ 89,552 $ 89,552 $ - Bank Overdraft Facility (2) - - - Term Finance Facility (3) 423,101 423,101 - Loan Payable Bank - Export Refinance (4) 2,434,749 2,434,749 - Loan Payable Bank - Running Finance (5) - - - Loan Payable Bank - Export Refinance II (6) 1,850,409 1,850,409 - Loan Payable Bank - Export Refinance III (7) 3,408,648 3,408,648 - Sale and Leaseback Financing (8) 619,108 189,226 429,882 Term Finance Facility (9) 31,204 18,339 12,865 Insurance Financing (10) 118,026 118,026 - 8,974,797 8,532,050 442,747 Subsidiary Finance Leases (11) 68,571 35,095 33,476 $ 9,043,368 $ 8,567,145 $ 476,223 (1) The Company finances Directors’ and Officers’ (“D&O”) liability insurance and Errors and Omissions (“E&O”) liability insurance, for which the D&O and E&O balances are renewed on an annual basis and, as such, are recorded in current maturities. The interest rate on these financings range from 5.0 7.9 5.0 7.0 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 (2) The Company’s subsidiary, NTE, has an overdraft facility with HSBC Bank plc whereby the bank would cover any overdrafts up to £ 300,000 379,747 9.5 5.5 nil This overdraft facility requires that the aggregate amount of invoiced trade debtors (net of provisions for bad and doubtful debts and excluding intra-group debtors) of NTE, not exceeding 90 days old, will not be less than an amount equal to 200 (3) The Company’s subsidiary, NetSol PK, has a term finance facility from Askari Bank Limited, approved by the Government of Pakistan to protect the employment situation during the COVID-19 Pandemic. This is a term loan payable in three years. The availed facility amount is Rs. nil nil 86,887,974 423,101 3 (4) The Company’s subsidiary, NetSol PK, has an export refinance facility with Askari Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every six months. The total facility amount is Rs. 500,000,000 1,741,493 500,000,000 2,434,749 17.0 3.0 (5) The Company’s subsidiary, NetSol PK, has a running finance facility with Askari Bank Limited, secured by NetSol PK’s assets. The total facility amount is Rs. 53,600,000 186,688 53,600,000 261,005 Nil 24.9 14.0 These facilities require NetSol PK to maintain a long-term debt equity ratio of 60:40 and the current ratio of 1:1. As of June 30, 2023, NetSol PK was in compliance with this covenant (6) The Company’s subsidiary, NetSol PK, has an export refinance facility with Samba Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every six months. The total facility amount is Rs. 380,000,000 1,323,535 380,000,000 1,850,409 18.0 3.0 During the loan tenure, the facilities from Samba Bank Limited require NetSol PK to maintain at a minimum a current ratio of 1:1, an interest coverage ratio of 4 times, a leverage ratio of 2 times, and a debt service coverage ratio of 4 times. As of June 30, 2023, NetSol PK was in compliance with these covenants (7) The Company’s subsidiary, NetSol PK, has an export refinance facility with Habib Metro Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every nine months. The total facility amount is Rs. 900,000,000 3,134,687 900,000,000 4,382,548 700,000,000 2,438,089 700,000,000 3,408,648 18.0 3.0 (8) The Company’s subsidiary, NetSol PK, availed sale and leaseback financing from First Habib Modaraba secured by the transfer of the vehicles’ title. As of June 30, 2023, NetSol PK used Rs. 92,194,774 321,113 172,849 148,264 127,140,038 619,108 429,882 189,226 9.0 16.0 (9) In March 2020, the Company’s subsidiary, VLS, entered into a loan agreement with Investec Bank PLC. The loan amount was £ 69,549 88,037 1,349 1,708 13,356 6.14 (10) The Company’s subsidiary, VLS, finances Directors’ and Officers’ (“D&O”) liability insurance, and $ nil 96,781 9.7 12.7 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022 (11) The Company leases various fixed assets under capital lease arrangements expiring in various years through 2024. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. The assets are secured by the assets themselves. Depreciation of assets under capital leases is included in depreciation expense for the years ended June 30, 2023 and 2022.
SCHEDULE OF AGGREGATE MINIMUM FUTURE LEASE PAYMENTS UNDER CAPITAL LEASES	Following is the aggregate minimum future lease payments under capital leases as of June 30, 2023: SCHEDULE OF AGGREGATE MINIMUM FUTURE LEASE PAYMENTS UNDER CAPITAL LEASES Amount Minimum Lease Payments Within year 1 $ 27,363 Within year 2 3,546 Total Minimum Lease Payments 30,909 Interest Expense relating to future periods (2,579 ) Present Value of minimum lease payments 28,330 Less: Current portion (24,950 ) Current portion of loans and obligations under finance leases Non-Current portion $ 3,380 Loans and obligations under finance leases; less current maturities
SCHEDULE OF AGGREGATE FUTURE LONG TERM DEBT PAYMENTS	Following is the aggregate future long term debt payments, which consists of “Sale and Leasback Financing (8)” and “Term Finance Facility (9)”, as of June 30, 2023: SCHEDULE OF AGGREGATE FUTURE LONG TERM DEBT PAYMENTS Amount Loan Payments Within year 1 $ 161,620 Within year 2 158,258 Within year 3 14,591 Total Loan Payments 334,469 Less: Current portion (161,620 ) Non-Current portion $ 172,849 NETSOL TECHNOLOGIES, INC. Notes to Consolidated Financial Statements June 30, 2023 and 2022

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Jun. 30, 2023
Income Tax Disclosure [Abstract]
SCHEDULE OF CONSOLIDATED PRE-TAX INCOME (LOSS)	Consolidated pre-tax income (loss) consists of the following: SCHEDULE OF CONSOLIDATED PRE-TAX INCOME (LOSS) 2023 2022 Years Ended June 30, 2023 2022 US operations $ (394,914 ) $ (1,140,443 ) Foreign operations (2,822,999 ) 3,230,184 Net income before income taxes $ (3,217,913 ) $ 2,089,741
SCHEDULE OF COMPONENTS OF PROVISION FOR INCOME TAXES	The components of the provision for income taxes are as follows: SCHEDULE OF COMPONENTS OF PROVISION FOR INCOME TAXES 2023 2022 Years Ended June 30, 2023 2022 Current: Federal $ - $ - State and Local 13,972 2,800 Foreign 912,588 986,138 Deferred: Federal - - State and Local - - Foreign - - Provision for income taxes $ 926,560 $ 988,938
SCHEDULE OF RECONCILIATION OF TAXES AT STATUTORY FEDERAL INCOME TAX RATE INCOME TAX EXPENSE BENEFITS	A reconciliation of taxes computed at the statutory federal income tax rate to income tax expense (benefit) is as follows: Reconciliation of effective income tax rate SCHEDULE OF RECONCILIATION OF TAXES AT STATUTORY FEDERAL INCOME TAX RATE INCOME TAX EXPENSE BENEFITS Years Ended June 30, 2023 2022 Income tax (benefit) provision at statutory rate $ (675,762 ) 21.0 % $ 438,846 21.0 % State income (benefit) taxes, net of federal tax benefit (224,610 ) 7.0 % 145,864 7.0 % Foreign earnings taxed at different rates 1,702,463 -52.9 % 82,333 3.9 % Change in valuation allowance for deferred tax assets 111,473 -3.5 % 318,421 15.2 % Other 12,996 -0.4 % 3,474 0.2 % Provision for income taxes $ 926,560 -28.8 % $ 988,938 47.3 %
SCHEDULE OF DEFERRED INCOME TAX ASSETS AND LIABILITIES	Deferred income tax assets and liabilities as of June 30, 2022 and 2021 consist of tax effects of temporary differences related to the following: Components of deferred tax asset SCHEDULE OF DEFERRED INCOME TAX ASSETS AND LIABILITIES 2023 2022 Years Ended June 30, 2023 2022 Net operating loss carry forwards $ 8,281,162 $ 7,885,333 Other 184,916 80,311 Net deferred tax assets 8,466,078 7,965,644 Valuation allowance for deferred tax assets (8,466,078 ) (7,965,644 ) Net deferred tax assets $ - $ -

INCENTIVE AND NON-STATUTORY S_2

INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN (Tables)	12 Months Ended
	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
SUMMARY OF UNVESTED STOCK GRANTS AWARDED AS COMPENSATION	The following table summarizes stock grants awarded as compensation: SUMMARY OF UNVESTED STOCK GRANTS AWARDED AS COMPENSATION # Number of shares Weighted Average Grant Date Fair Value ($) Unvested, June 30, 2021 6,985 $ 5.75 Granted 3,000 $ 4.20 Vested (9,985 ) $ 5.31 Unvested, June 30, 2022 - $ - Granted 58,317 $ 2.73 Vested (58,317 ) $ 2.73 Unvested, June 30, 2023 - $ -

SEGMENT INFORMATION AND GEOGR_2

SEGMENT INFORMATION AND GEOGRAPHIC AREAS (Tables)	12 Months Ended
	Jun. 30, 2023
Segment Reporting [Abstract]
SUMMARY OF IDENTIFIABLE ASSETS	The following table presents a summary of identifiable assets as of June 30, 2023 and 2022: SUMMARY OF IDENTIFIABLE ASSETS As of As of June 30, 2023 June 30, 2022 Identifiable assets: Corporate headquarters $ 878,899 $ 844,178 North America 7,344,122 6,442,219 Europe 8,716,656 8,727,530 Asia - Pacific 41,439,733 56,594,705 Consolidated $ 58,379,410 $ 72,608,632 Identifiable assets $ 58,379,410 $ 72,608,632
SUMMARY OF INVESTMENT UNDER EQUITY METHOD	The following table presents a summary of investments under the equity method as of June 30, 2023 and 2022: SUMMARY OF INVESTMENT UNDER EQUITY METHOD As of As of June 30, 2023 June 30, 2022 Investment in associates under equity method: Asia - Pacific $ 25,396 $ 1,059,368 Consolidated $ 25,396 $ 1,059,368
SUMMARY OF REVENUE STREAMS	The following table presents a summary of revenue streams by segment for the years ended June 30, 2023 and 2022: SUMMARY OF REVENUE STREAMS 2023 2022 License fees Subscription and support Services Total License fees Subscription and support Services Total North America $ 28,000 $ 4,398,429 $ 1,690,853 $ 6,117,282 $ 27,500 $ 3,744,605 $ 515,903 $ 4,288,008 Europe 136,151 2,682,407 7,939,886 10,758,444 291,652 2,213,427 7,923,124 10,428,203 Asia-Pacific 2,105,413 18,899,825 14,512,251 35,517,489 4,220,108 22,326,727 15,984,933 42,531,768 Total $ 2,269,564 $ 25,980,661 $ 24,142,990 $ 52,393,215 $ 4,539,260 $ 28,284,759 $ 24,423,960 $ 57,247,979 Revenue $ 2,269,564 $ 25,980,661 $ 24,142,990 $ 52,393,215 $ 4,539,260 $ 28,284,759 $ 24,423,960 $ 57,247,979
SUMMARY OF OPERATING INFORMATION	The following table presents a summary of operating information for the years ended June 30: SUMMARY OF OPERATING INFORMATION For the Years Ended June 30, 2023 2022 Revenues from unaffiliated customers: North America $ 6,117,282 $ 4,288,008 Europe 10,758,444 10,428,203 Asia - Pacific 35,517,489 42,531,768 Revenue from unaffiliated 52,393,215 57,247,979 Revenue from affiliated customers Asia - Pacific - - Revenue from affiliated - - Consolidated $ 52,393,215 $ 57,247,979 Revenue $ 52,393,215 $ 57,247,979 Intercompany revenue Europe $ 394,962 $ 453,242 Asia - Pacific 9,075,861 9,612,755 Eliminated $ 9,470,823 $ 10,065,997 Revenue $ 9,470,823 $ 10,065,997 Net income (loss) after taxes and before non-controlling interest: Corporate headquarters $ (501,560 ) $ (1,027,044 ) North America 92,674 (116,199 ) Europe (949,214 ) (1,407,252 ) Asia - Pacific (2,786,373 ) 3,651,298 Consolidated $ (4,144,473 ) $ 1,100,803 Net income (loss) after taxes and before non-controlling interest $ (4,144,473 ) $ 1,100,803 Depreciation and amortization: North America $ 2,523 $ 1,995 Europe 303,907 396,519 Asia - Pacific 2,938,108 3,413,759 Consolidated $ 3,244,538 $ 3,812,273 Depreciation and amortization $ 3,244,538 $ 3,812,273 Interest expense: Corporate headquarters $ 23,639 $ 32,915 North America - - Europe 8,955 10,335 Asia - Pacific 732,436 326,551 Consolidated $ 765,030 $ 369,801 Interest expense $ 765,030 $ 369,801 Income tax expense: Corporate headquarters $ 12,372 $ (43,354 ) North America 1,600 46,154 Europe 46,747 15,862 Asia - Pacific 865,841 970,276 Consolidated $ 926,560 $ 988,938 Income tax expense $ 926,560 $ 988,938
SUMMARY OF CAPITAL EXPENDITURES	The following table presents a summary of capital expenditures for the years ended June 30: SUMMARY OF CAPITAL EXPENDITURES 2023 2022 For the Years Ended June 30, 2023 2022 Capital expenditures: North America $ 4,881 $ - Europe 33,185 151,378 Asia - Pacific 1,601,372 2,457,827 Consolidated $ 1,639,438 $ 2,609,205 Capital expenditures $ 1,639,438 $ 2,609,205
SCHEDULE OF GEOGRAPHIC INFORMATION	Disclosed in the table below is geographic information for each country that comprised greater than five percent of total revenues for the years ended June 30, 2023 and 2022. SCHEDULE OF GEOGRAPHIC INFORMATION June 30, 2023 June 30, 2022 Revenue Long-lived Assets Revenue Long-lived Assets China $ 15,120,449 $ 631,713 $ 20,533,170 $ 256,468 Thailand 2,260,699 207,280 2,781,867 1,240,082 USA 5,057,470 4,805,841 3,161,365 4,852,458 UK 10,758,444 4,276,754 10,428,203 4,986,192 Pakistan & India 2,087,018 6,845,753 3,751,603 11,836,992 Australia & New Zealand 7,018,095 8,202 6,545,872 8,304 Mexico 1,059,812 - 1,126,643 - Indonesia 2,903,163 - 2,957,354 - South Africa 752,603 - 2,057,608 - South Korea 1,954,982 - 894,160 - Other Countries 3,420,480 - 3,010,134 - Total $ 52,393,215 $ 16,775,543 $ 57,247,979 $ 23,180,496
SCHEDULE OF RECONCILIATION OF REVENUE	Disclosed in the table below is the geographic information of total revenues by country for the years ended June 30, 2023 and 2022. SCHEDULE OF RECONCILIATION OF REVENUE Revenues 2023 Total China Thailand USA UK Pakistan & India Australia & New Zealand Mexico Indonesia South Africa South Korea Other Countries North America: $ 6,117,282 $ - $ - $ 5,057,470 $ - $ - $ - $ 1,059,812 $ - $ - $ - $ - Europe: 10,758,444 - - - 10,758,444 - - - - - - - Asia-Pacific: 35,517,489 15,120,449 2,260,699 - - 2,087,018 7,018,095 - 2,903,163 752,603 1,954,982 3,420,480 Total $ 52,393,215 $ 15,120,449 $ 2,260,699 $ 5,057,470 $ 10,758,444 $ 2,087,018 $ 7,018,095 $ 1,059,812 $ 2,903,163 $ 752,603 $ 1,954,982 $ 3,420,480 Revenues 2022 Total China Thailand USA UK Pakistan & India Australia & New Zealand Mexico Indonesia South Africa South Korea Other Countries North America: $ 4,288,008 $ - $ - $ 3,161,365 $ - $ - $ - $ 1,126,643 $ - $ - $ - $ - Europe: 10,428,203 - - - 10,428,203 - - - - - - - Asia-Pacific: 42,531,768 20,533,170 2,781,867 - - 3,751,603 6,545,872 - 2,957,354 2,057,608 894,160 3,010,134 Total $ 57,247,979 $ 20,533,170 $ 2,781,867 $ 3,161,365 $ 10,428,203 $ 3,751,603 $ 6,545,872 $ 1,126,643 $ 2,957,354 $ 2,057,608 $ 894,160 $ 3,010,134

NON-CONTROLLING INTEREST IN S_2

NON-CONTROLLING INTEREST IN SUBSIDIARY (Tables)	12 Months Ended
	Jun. 30, 2023
Noncontrolling Interest [Abstract]
SCHEDULE OF BALANCE OF NON-CONTROLLING INTEREST	The Company had non-controlling interests in several of its subsidiaries. The balance of non-controlling interest was as follows: SCHEDULE OF BALANCE OF NON-CONTROLLING INTEREST SUBSIDIARY Non-Controlling Interest % Non-Controlling Interest at June 30, 2023 NetSol PK 32.38 % $ 3,314,659 NetSol-Innovation 32.38 % (223,504 ) NAMECET 32.38 % (5,384 ) NetSol Thai 0.006 % (194 ) OTOZ Thai 5.60 % (23,572 ) OTOZ 5.59 % (86,952 ) Total $ 2,975,053 SUBSIDIARY Non-Controlling Interest % Non-Controlling Interest at June 30, 2022 NetSol PK 32.38 % $ 5,479,905 NetSol-Innovation 32.38 % 49,146 NetSol Thai 0.006 % (196 ) OTOZ Thai 5.60 % (30,768 ) OTOZ 5.59 % (47,698 ) Total $ 5,450,389
SCHEDULE OF CHANGE IN OWNERSHIP INTEREST	The following schedule discloses the effect to the Company’s equity due to the changes in the Company’s ownership interest in NetSol PK and OTOZ. SCHEDULE OF CHANGE IN OWNERSHIP INTEREST 2023 2022 For the Years Ended June 30, 2023 2022 Net income (loss) attributable to NetSol $ (5,243,748 ) $ (851,156 ) Transfer (to) from non-controlling interest Increase in paid-in capital for issuance of 191,011 120,565 - Decrease in paid-in capital for purchase of 191,011 (118,207 ) - Increase in paid-in capital for purchase of 2,000,000 - 36,403 Net transfer (to) from non-controlling interest 2,358 36,403 Change from net income (loss) attributable to NetSol and transfer (to) from non-controlling interest $ (5,241,390 ) $ (814,753 )

SUMMARY OF ESTIMATED USEFUL LIV

SUMMARY OF ESTIMATED USEFUL LIVES OF ASSETS (Details)	Jun. 30, 2023
Computer Equipment and Software [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	3 years
Computer Equipment and Software [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	5 years
Office Furniture and Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	5 years
Office Furniture and Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	10 years
Building [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	20 years
Automobiles [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	5 years
Leaseholds and Leasehold Improvements [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	3 years
Leaseholds and Leasehold Improvements [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	10 years
Improvements [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	5 years
Improvements [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life of assets	10 years

SCHEDULE OF FAIR VALUE OF FINAN

SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Platform Operator, Crypto-Asset [Line Items]
Revenues in excess of billings - long term		$ 853,601
Total		853,601
Fair Value, Inputs, Level 1 [Member]
Platform Operator, Crypto-Asset [Line Items]
Revenues in excess of billings - long term
Total
Fair Value, Inputs, Level 2 [Member]
Platform Operator, Crypto-Asset [Line Items]
Revenues in excess of billings - long term
Total
Fair Value, Inputs, Level 3 [Member]
Platform Operator, Crypto-Asset [Line Items]
Revenues in excess of billings - long term		853,601
Total		$ 853,601

SCHEDULE OF FAIR VALUE OF FIN_2

SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance	$ 853,601	$ 957,603
Amortization during the period	28,029	38,005
Transfers to short term	(890,794)	(129,352)
Effect of Translation Adjustment	9,164	(12,655)
Ending balance		853,601
Revenues in Excess of Billings - Long Term [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance	881,940	1,024,382
Amortization during the period
Transfers to short term	(890,794)	(129,352)
Effect of Translation Adjustment	8,854	(13,090)
Ending balance		881,940
Fair Value Discount [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance	(28,339)	(66,779)
Amortization during the period	28,029	38,005
Transfers to short term
Effect of Translation Adjustment	310	435
Ending balance		$ (28,339)

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	12 Months Ended
	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2023 CNY (¥)	Jun. 30, 2023 GBP (£)
Uninsured deposits related to cash deposits	$ 13,523,997	$ 22,758,963
Advertising costs	64,556	$ 119,592
Valuation Technique, Discounted Cash Flow [Member]
Interest rates		4.35%
CHINA
Uninsured deposits related to cash deposits	68,871		¥ 500,000
UNITED KINGDOM
Uninsured deposits related to cash deposits	$ 107,595			£ 85,000

SCHEDULE OF DISAGGREGATED REVEN

SCHEDULE OF DISAGGREGATED REVENUE BY CATEGORY (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Disaggregation of Revenue [Line Items]
Total net revenue	$ 52,393,215	$ 57,247,979
License [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	2,269,564	4,539,260
Subscription and Support [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	25,980,661	28,284,759
Service [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	24,142,990	24,423,960
Core Revenue [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	47,926,639	52,343,527
Core Revenue [Member] | License [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	2,269,564	4,539,260
Core Revenue [Member] | Subscription and Support [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	25,980,661	28,284,759
Core Revenue [Member] | Service [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	19,676,414	19,519,508
Non Core Revenue [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	4,466,576	4,904,452
Non Core Revenue [Member] | Service [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	$ 4,466,576	$ 4,904,452

SCHEDULE OF REVENUES IN EXCESS

SCHEDULE OF REVENUES IN EXCESS OF BILLINGS AND DEFERRED REVENUE (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Revenue from Contract with Customer [Abstract]
Revenues in excess of billings	$ 12,377,677	$ 15,425,377
Unearned revenue	$ 7,932,306	$ 4,901,562

SCHEDULE OF UNEARNED REVENUE RE

SCHEDULE OF UNEARNED REVENUE RECONCILIATION (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Revenue from Contract with Customer [Abstract]
Beginning balance	$ 4,901,562	$ 4,556,626
Invoiced	23,549,941	18,800,227
Revenue Recognized	(19,762,568)	(17,881,803)
Adjustments	(756,629)	(573,488)
Ending balance	$ 7,932,306	$ 4,901,562

REVENUE RECOGNITION (Details Na

REVENUE RECOGNITION (Details Narrative)	12 Months Ended
	Jun. 30, 2023 USD ($)
Disaggregation of Revenue [Line Items]
Contract with Customer, Liability, Revenue Recognized	$ 3,453,962
Unsatisfied performance obligation	34,300,000
Contracted but unsatisfied performance obligations, next twelve months	18,700,000
Asia Pacific [Member]
Disaggregation of Revenue [Line Items]
Provision against revenues in excess of billings	$ 1,275,000

SCHEDULE OF RECLASSIFICATION OF

SCHEDULE OF RECLASSIFICATION OF FOREIGN CURRENCY TRANSLATION ADJUSTMENTS (Details)	Jun. 30, 2023 USD ($)
Accumulated other comprehensive income (loss)	$ (974,006)
NTPK Thailand [Member]
Accumulated other comprehensive income (loss)	(323,764)
WRLD3D [Member]
Accumulated other comprehensive income (loss)	$ (650,242)

EARNINGS PER SHARE (Details Nar

EARNINGS PER SHARE (Details Narrative) - shares	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Net income (loss) per share:
Earnings per share outstanding dilutive	0	0

MAJOR CUSTOMERS (Details Narrat

MAJOR CUSTOMERS (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Concentration Risk [Line Items]
Revenue	$ 52,393,215	$ 57,247,979
Revenues in excess of billings	12,377,677	14,571,776
Daimler Financial Services [Member]
Concentration Risk [Line Items]
Revenues in excess of billings	$ 1,961,750	$ 365,863
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Daimler Financial Services [Member]
Concentration Risk [Line Items]
Concentration risk, percentage	28.60%	31.60%
Accounts Receivable [Member] | Daimler Financial Services [Member]
Concentration Risk [Line Items]
Accounts receivable, gross	$ 4,368,881	$ 2,005,463
Daimler Financial Services [Member]
Concentration Risk [Line Items]
Revenue	$ 14,982,394	$ 18,090,059

SCHEDULE OF OTHER CURRENT ASSET

SCHEDULE OF OTHER CURRENT ASSETS (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid Expenses	$ 1,299,334	$ 1,389,370
Advance Income Tax	144,428	202,783
Employee Advances	68,488	87,627
Security Deposits	177,148	236,909
Other Receivables	92,716	21,581
Other Assets	196,400	285,091
Net Balance	$ 1,978,514	$ 2,223,361

SCHEDULE OF REVENUE IN EXCESS O

SCHEDULE OF REVENUE IN EXCESS OF BILLING (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Contractors [Abstract]
Revenues in excess of billings - long term		$ 881,940
Present value discount		(28,339)
Net Balance		$ 853,601

REVENUES IN EXCESS OF BILLING_3

REVENUES IN EXCESS OF BILLINGS – LONG TERM (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Contractors [Abstract]
Interest income	$ 28,029	$ 38,005
Interest rate discount	4.35%	4.35%

SCHEDULE OF PROPERTY AND EQUIPM

SCHEDULE OF PROPERTY AND EQUIPMENT (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Line Items]
Subtotal	$ 17,572,088	$ 23,451,688
Accumulated Depreciation	(11,410,902)	(14,069,064)
Property and Equipment, Net	6,161,186	9,382,624
Office Furniture and Equipment [Member]
Property, Plant and Equipment [Line Items]
Subtotal	2,678,664	3,021,586
Computer Equipment [Member]
Property, Plant and Equipment [Line Items]
Subtotal	8,317,131	11,388,856
Assets Held under Capital Leases [Member]
Property, Plant and Equipment [Line Items]
Subtotal	46,554	305,081
Building [Member]
Property, Plant and Equipment [Line Items]
Subtotal	3,497,913	4,818,650
Land [Member]
Property, Plant and Equipment [Line Items]
Subtotal	885,474	1,237,965
Automobiles [Member]
Property, Plant and Equipment [Line Items]
Subtotal	1,941,063	2,503,990
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Subtotal	$ 205,289	$ 175,560

SUMMARY OF FIXED ASSETS HELD UN

SUMMARY OF FIXED ASSETS HELD UNDER CAPITAL LEASES (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Line Items]
Total	$ 46,554	$ 305,081
Less: Accumulated Depreciation - Net	(17,366)	(145,658)
Fixed assets held under capital leases, Total	29,188	159,423
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Total	$ 46,554	$ 305,081

SCHEDULE OF FINANCE LEASE TERM

SCHEDULE OF FINANCE LEASE TERM (Details)	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Weighted average remaining lease term - Finance leases	1 year 2 months 15 days	2 years 4 months 20 days
Weighted average discount rate - Finance leases	16.40%	12.50%

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Depreciation	$ 2,072,897	$ 2,179,509
Depreciation reflected in cost of revenues	$ 1,332,405	$ 1,316,329

SCHEDULE OF BALANCE SHEET INFOR

SCHEDULE OF BALANCE SHEET INFORMATION RELATED TO LEASE (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Leases
Operating lease assets, net	$ 1,151,575	$ 969,163
Operating, Non Current	505,237	548,678
Operating	652,194	447,260
Total Lease Liabilities	$ 1,157,431	$ 995,938

SCHEDULE OF COMPONENTS OF LEASE

SCHEDULE OF COMPONENTS OF LEASE COST (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Leases
Amortization of finance lease assets	$ 10,904	$ 72,340
Interest on finance lease obligation	4,966	22,010
Operating lease cost	446,627	652,911
Short term lease cost	184,526	258,227
Sub lease income	(31,998)	(35,356)
Total lease cost	$ 615,025	$ 970,132

SCHEDULE OF LEASE TERM AND DISC

SCHEDULE OF LEASE TERM AND DISCOUNT RATE (Details)	Jun. 30, 2023	Jun. 30, 2022
Leases
Weighted average remaining lease term - Operating leases	3 years 1 month 2 days	3 years 4 months 2 days
Weighted average discount rate - Operating leases	4%	4.20%

SCHEDULE OF SUPPLEMENTAL DISCLO

SCHEDULE OF SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION RELATED TO LEASES (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Leases
Operating cash flows related to operating leases	$ 457,592	$ 893,196
Operating cash flows related to finance leases	5,075	3,577
Financing cash flows related finance leases	$ 32,536	$ 55,476

SCHEDULE OF MATURITIES OF OPERA

SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Leases
Within year 1	$ 543,355
Within year 2	432,322
Within year 3	178,422
Within year 4	63,477
Within year 5	460
Thereafter	460
Total Lease Payments	1,218,496
Less: Imputed interest	(61,065)
Present Value of lease liabilities	1,157,431	$ 995,938
Less: Current portion	(505,237)	(548,678)
Non-Current portion	$ 652,194	$ 447,260

LEASES (Details Narrative)

LEASES (Details Narrative) - USD ($)	1 Months Ended	12 Months Ended
	Apr. 30, 2023	Jun. 30, 2023	Jun. 30, 2022
Lease Agreement [Member]
Operating lease income		$ 31,998	$ 35,356
Minimum [Member]
Finance lease term		1 year
Operating lease term		1 year
Minimum [Member] | Three Year Lease Agreement [Member]
Lease payment	$ 10,790
Maximum [Member]
Finance lease term		10 years
Operating lease term		10 years
Maximum [Member] | Three Year Lease Agreement [Member]
Lease payment	$ 11,448

SCHEDULE OF LONG TERM INVESTMEN

SCHEDULE OF LONG TERM INVESTMENT (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Share of net income for the year	$ (2,113,430)	$ (2,021,480)
Drivemate Co Ltd [Member]
Beginning balance, net investment	1,059,368	1,800,000
Cumulative net loss on investment		(89,614)
Share of net income for the year	7,510
Impairment	(1,041,482)	(651,018)
Ending balance, net investment	$ 25,396	$ 1,059,368

LONG-TERM INVESTMENT (Details N

LONG-TERM INVESTMENT (Details Narrative) - USD ($)		12 Months Ended
	Apr. 25, 2019	Jun. 30, 2023	Jun. 30, 2022
Share of net income loss from equity investment		$ (2,113,430)	$ (2,021,480)
Drivemate Co Ltd [Member] | Service [Member] | Drivemate Agreement [Member]
Number of shares purchased, value	$ 1,300,000
Drivemate Co Ltd [Member]
Share of net income loss from equity investment		7,510
Equity investment impairment		$ (1,041,482)	(651,018)
Drivemate Agreement [Member] | Drivemate Co Ltd [Member]
Number of shares purchased	5,469
Number of shares purchased, value	$ 1,800,000
Related party transaction, description		Pursuant to the agreement, the number of shares to be issued is adjusted as necessary to result in an equity ownership equal to 30% of the issued and outstanding shares at the final payment date. As of June 30, 2023 and 2022, the Company owns 8,178 shares equal to 30% of Drivemate. Per the Drivemate Agreement, the Company appointed two directors to the Drivemate board. The Company determined that it met the significant influence criteria since two of the four directors are appointed by the Company and the Company owns 30% of Drivemate; therefore, the Company accounts for the investment using the equity method of accounting
Service revenue from related party			12,528
Share of net income loss from equity investment		7,510	$ 49,664
Equity investment impairment		$ 1,041,482
Drivemate Agreement [Member] | Drivemate Co Ltd [Member] | Service [Member]
Number of shares purchased, value	1,300,000
Drivemate Agreement [Member] | Drivemate Co Ltd [Member] | Cash [Member]
Number of shares purchased, value	$ 500,000
Drivemate Agreement [Member] | Drivemate Co Ltd [Member]
Equity interest, percentage	30%

SCHEDULE OF INTANGIBLE ASSETS (

SCHEDULE OF INTANGIBLE ASSETS (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Intangible Assets
Product Licenses - Cost	$ 47,244,997	$ 47,244,997
Effect of Translation Adjustment	(24,756,959)	(19,914,206)
Accumulated Amortization	(22,360,107)	(25,743,121)
Net Balance	$ 127,931	$ 1,587,670

INTANGIBLE ASSETS (Details Narr

INTANGIBLE ASSETS (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Finite-Lived Intangible Assets [Line Items]
Intangible assets, net	$ 127,931	$ 1,587,670
Product Licenses [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets, net	127,931
Amortization expenses of intangible assets	$ 1,171,641	$ 1,632,764

SCHEDULE OF GOODWILL ACQUIRED (

SCHEDULE OF GOODWILL ACQUIRED (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Restructuring Cost and Reserve [Line Items]
Total	$ 9,302,524	$ 9,302,524
NetSol PK [Member] | Asia Pacific [Member]
Restructuring Cost and Reserve [Line Items]
Total	1,166,610	1,166,610
NTE [Member] | Europe [Member]
Restructuring Cost and Reserve [Line Items]
Total	3,471,814	3,471,814
NTA [Member] | North America [Member]
Restructuring Cost and Reserve [Line Items]
Total	$ 4,664,100	$ 4,664,100

GOODWILL (Details Narrative)

GOODWILL (Details Narrative)	12 Months Ended
	Jun. 30, 2022 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Impairment	$ 214,044

SCHEDULE OF ACCOUNTS PAYABLE AN

SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Payables and Accruals [Abstract]
Accounts Payable	$ 1,114,915	$ 1,175,527
Accrued Liabilities	3,695,091	3,507,415
Accrued Payroll	982,884	1,397,605
Accrued Payroll Taxes	170,063	153,416
Taxes Payable	195,491	328,755
Other Payable	393,737	250,823
Total	$ 6,552,181	$ 6,813,541

SCHEDULE OF COMPONENTS OF NOTES

SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES (Details) - USD ($)		Jun. 30, 2023	Jun. 30, 2022
Line of Credit Facility [Line Items]
Total		$ 5,927,409	$ 8,974,797
Current Maturities		5,754,560	8,532,050
Long-Term Maturities		172,849	442,747
Subsidiary Finance Leases, Total	[1]	28,330	68,571
Subsidiary Finance Leases, Current Maturities	[1]	24,950	35,095
Subsidiary Finance Leases, Long-Term Maturities	[1]	3,380	33,476
Total		5,955,739	9,043,368
Current Maturities		5,779,510	8,567,145
Long-Term Maturities		$ 176,229	$ 476,223
Askari Bank Limited [Member] | NetSol PK [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Interest Rate, Stated Percentage		17%	3%
Askari Bank Limited [Member] | NetSol PK [Member] | Refinance Facility [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Interest Rate, Stated Percentage		3%	3%
D&O Insurance [Member]
Line of Credit Facility [Line Items]
Total	[2]	$ 89,823	$ 89,552
Current Maturities	[2]	89,823	89,552
Long-Term Maturities	[2]
Bank Overdraft Facility [Member]
Line of Credit Facility [Line Items]
Total	[3]
Current Maturities	[3]
Long-Term Maturities	[3]
Term Finance Facility [Member]
Line of Credit Facility [Line Items]
Total	[4]		423,101
Current Maturities	[4]		423,101
Long-Term Maturities	[4]
Loan Payable Bank - Export Refinance [Member]
Line of Credit Facility [Line Items]
Total	[5]	1,741,493	2,434,749
Current Maturities	[5]	1,741,493	2,434,749
Long-Term Maturities	[5]
Loan Payable Bank - Running Finance [Member]
Line of Credit Facility [Line Items]
Total	[6]
Current Maturities	[6]
Long-Term Maturities	[6]
Loan Payable Bank - Export Refinance II [Member]
Line of Credit Facility [Line Items]
Total	[7]	1,323,535	1,850,409
Current Maturities	[7]	1,323,535	1,850,409
Long-Term Maturities	[7]
Loan Payable Bank - Export Refinance III [Member]
Line of Credit Facility [Line Items]
Total	[8]	2,438,089	3,408,648
Current Maturities	[8]	2,438,089	3,408,648
Long-Term Maturities	[8]
Sale and Leaseback Financing [Member]
Line of Credit Facility [Line Items]
Total	[9]	321,113	619,108
Current Maturities	[9]	148,264	189,226
Long-Term Maturities	[9]	172,849	429,882
Term Finance Facility One [Member]
Line of Credit Facility [Line Items]
Total	[10]	13,356	31,204
Current Maturities	[10]	13,356	18,339
Long-Term Maturities	[10]		12,865
Insurance Financing [Member]
Line of Credit Facility [Line Items]
Total	[11]		118,026
Current Maturities	[11]		118,026
Long-Term Maturities	[11]
[1]The Company leases various fixed assets under capital lease arrangements expiring in various years through 2024. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. The assets are secured by the assets themselves. Depreciation of assets under capital leases is included in depreciation expense for the years ended June 30, 2023 and 2022.[2]The Company finances Directors’ and Officers’ (“D&O”) liability insurance and Errors and Omissions (“E&O”) liability insurance, for which the D&O and E&O balances are renewed on an annual basis and, as such, are recorded in current maturities. The interest rate on these financings range from 5.0 7.9 5.0 7.0 300,000 379,747 9.5 5.5 nil nil nil 86,887,974 423,101 3 500,000,000 1,741,493 500,000,000 2,434,749 17.0 3.0 53,600,000 186,688 53,600,000 261,005 Nil 24.9 14.0 380,000,000 1,323,535 380,000,000 1,850,409 18.0 3.0 900,000,000 3,134,687 900,000,000 4,382,548 700,000,000 2,438,089 700,000,000 3,408,648 18.0 3.0 92,194,774 321,113 172,849 148,264 127,140,038 619,108 429,882 189,226 9.0 16.0 69,549 88,037 1,349 1,708 13,356 6.14 nil 96,781 9.7 12.7

SCHEDULE OF COMPONENTS OF NOT_2

SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES (Details) (Parenthetical)			12 Months Ended
	Mar. 31, 2020 USD ($)	Mar. 31, 2020 GBP (£)	Jun. 30, 2023 USD ($)	Jun. 30, 2023 INR (₨)	Jun. 30, 2023 GBP (£)	Jun. 30, 2022 USD ($)	Jun. 30, 2022 INR (₨)	Jun. 30, 2022 GBP (£)	Mar. 31, 2020 GBP (£)
Virtual Lease Services Limited [Member] | Loan Agreement [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 13,356
Debt instrument, interest rate			6.14%	6.14%	6.14%
Line of credit	$ 88,037								£ 69,549
Line of credit monthly payments	$ 1,708	£ 1,349
Virtual Lease Services Limited [Member] | Insurance Financing [Member] | Directors and Officers [Member]
Line of Credit Facility [Line Items]
Debt instrument, interest rate			9.70%	9.70%	9.70%	12.70%	12.70%	12.70%
Line of credit, current						$ 96,781
HSBC Bank [Member] | NTE [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 379,747		£ 300,000
Debt instrument, interest rate			9.50%	9.50%	9.50%	5.50%	5.50%	5.50%
Line of credit | £
Commitment fee percentage			200%
Askari Bank Limited [Member] | NetSol PK [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 1,741,493	₨ 500,000,000		$ 2,434,749	₨ 500,000,000
Debt instrument, interest rate			17%	17%	17%	3%	3%	3%
Askari Bank Limited [Member] | NetSol PK [Member] | Refinance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity						$ 423,101	₨ 86,887,974
Debt instrument, interest rate			3%	3%	3%	3%	3%	3%
Askari Bank Limited [Member] | NetSol PK [Member] | Running Finance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 186,688	₨ 53,600,000		$ 261,005	₨ 53,600,000
Debt instrument, interest rate			24.90%	24.90%	24.90%	14%	14%	14%
Line of credit | ₨
Debt instrument covenant description			These facilities require NetSol PK to maintain a long-term debt equity ratio of 60:40 and the current ratio of 1:1. As of June 30, 2023, NetSol PK was in compliance with this covenant
Samba Bank Limited [Member] | NetSol PK [Member] | Refinance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 1,323,535	₨ 380,000,000		$ 1,850,409	₨ 380,000,000
Debt instrument, interest rate			18%	18%	18%	3%	3%	3%
Debt instrument covenant description			During the loan tenure, the facilities from Samba Bank Limited require NetSol PK to maintain at a minimum a current ratio of 1:1, an interest coverage ratio of 4 times, a leverage ratio of 2 times, and a debt service coverage ratio of 4 times. As of June 30, 2023, NetSol PK was in compliance with these covenants
Habib Metro Bank Limited [Member] | Refinance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 3,134,687	₨ 900,000,000		$ 4,382,548	₨ 900,000,000
Habib Metro Bank Limited [Member] | NetSol PK [Member] | Refinance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 2,438,089	₨ 700,000,000		$ 3,408,648	₨ 700,000,000
Debt instrument, interest rate			18%	18%	18%	3%	3%	3%
Habib Metro Bank Limited [Member] | NetSol PK [Member] | Sale and Leaseback Financing [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 321,113	₨ 92,194,774		$ 619,108	₨ 127,140,038
Debt instrument, interest rate			9%	9%	9%	16%	16%	16%
Line of credit, long term			$ 172,849			$ 429,882
Line of credit, current			$ 148,264			$ 189,226
Directors and Officers and Error and Omissions Liability Insurance [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Line of credit facility interest rate			5%	5%	5%	5%	5%	5%
Directors and Officers and Error and Omissions Liability Insurance [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Line of credit facility interest rate			7.90%	7.90%	7.90%	7%	7%	7%

SCHEDULE OF AGGREGATE MINIMUM F

SCHEDULE OF AGGREGATE MINIMUM FUTURE LEASE PAYMENTS UNDER CAPITAL LEASES (Details)	Jun. 30, 2023 USD ($)
Debt Disclosure [Abstract]
Within year 1	$ 27,363
Within year 2	3,546
Total Minimum Lease Payments	30,909
Interest Expense relating to future periods	(2,579)
Present Value of minimum lease payments	28,330
Less: Current portion	$ (24,950)
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Current portion of loans and obligations under finance leases
Non-Current portion	$ 3,380
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Loans and obligations under finance leases; less current maturities

SCHEDULE OF AGGREGATE FUTURE LO

SCHEDULE OF AGGREGATE FUTURE LONG TERM DEBT PAYMENTS (Details)	Jun. 30, 2023 USD ($)
Debt Disclosure [Abstract]
Within year 1	$ 161,620
Within year 2	158,258
Within year 3	14,591
Total Loan Payments	334,469
Less: Current portion	(161,620)
Non-Current portion	$ 172,849

SCHEDULE OF CONSOLIDATED PRE-TA

SCHEDULE OF CONSOLIDATED PRE-TAX INCOME (LOSS) (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Income Tax Disclosure [Abstract]
US operations	$ (394,914)	$ (1,140,443)
Foreign operations	(2,822,999)	3,230,184
Net income (loss) before income taxes	$ (3,217,913)	$ 2,089,741

SCHEDULE OF COMPONENTS OF PROVI

SCHEDULE OF COMPONENTS OF PROVISION FOR INCOME TAXES (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Federal
State and Local	13,972	2,800
Foreign	912,588	986,138
Federal
State and Local
Foreign
Provision for income taxes	$ 926,560	$ 988,938

SCHEDULE OF RECONCILIATION OF T

SCHEDULE OF RECONCILIATION OF TAXES AT STATUTORY FEDERAL INCOME TAX RATE INCOME TAX EXPENSE BENEFITS (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Income tax (benefit) provision at statutory rate	$ (675,762)	$ 438,846
Income tax (benefit) provision at statutory rate, percentage	21%	21%
State income (benefit) taxes, net of federal tax benefit	$ (224,610)	$ 145,864
State income (benefit) taxes, net of federal tax benefit, percentage	7%	7%
Foreign earnings taxed at different rates	$ 1,702,463	$ 82,333
Foreign earnings taxed at different rates, percentage	(52.90%)	3.90%
Change in valuation allowance for deferred tax assets	$ 111,473	$ 318,421
Change in valuation allowance for deferred tax assets, percentage	(3.50%)	15.20%
Other	$ 12,996	$ 3,474
Other, percentage	(0.40%)	0.20%
Provision for income taxes	$ 926,560	$ 988,938
Provision for income taxes, percentage	(28.80%)	47.30%

SCHEDULE OF DEFERRED INCOME TAX

SCHEDULE OF DEFERRED INCOME TAX ASSETS AND LIABILITIES (Details) - USD ($)	Jun. 30, 2023	Jun. 03, 2022
Income Tax Disclosure [Abstract]
Net operating loss carry forwards	$ 8,281,162	$ 7,885,333
Other	184,916	80,311
Net deferred tax assets	8,466,078	7,965,644
Valuation allowance for deferred tax assets	(8,466,078)	(7,965,644)
Net deferred tax assets

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Operating Loss Carryforwards [Line Items]
Increase in valuation allowance	$ 500,434
Operating loss carryforward expiration date	expire in 2028
Net operating loss	$ (8,779,958)	$ (1,078,323)
Undistributed earnings of foreign subsidiaries	21,484,398
Aggregate effect of income tax holiday	$ 1,359,169	$ 1,260,502
Income tax basic and diluted earnings per share	$ 0.12	$ 0.11
Foreign Entities [Member]
Operating Loss Carryforwards [Line Items]
Net operating loss	$ 6,022,156
UNITED STATES | Federal [Member]
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	29,963,170
UNITED STATES | State [Member]
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	$ 8,561,437

STOCKHOLDERS_ EQUITY (Details N

STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items]
Issuance of common stock value for services	$ 226,500	$ 72,584
Buy-back Plan [Member]
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items]
Issuance of common stock		22,510
Proceeds from issuance of common stock		$ 100,106
Share issuance, price per share		$ 4.45
Vendor [Member]
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items]
Issuance of common stock shares for services	30,000	5,000
Issuance of common stock value for services	$ 67,500	$ 19,525
Director [Member]
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items]
Issuance of common stock shares for services	58,317	1,985
Issuance of common stock value for services	$ 159,000	$ 12,009
Employees [Member]
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items]
Issuance of common stock		8,000
Issuance of common stock, value		$ 41,050

SUMMARY OF UNVESTED STOCK GRANT

SUMMARY OF UNVESTED STOCK GRANTS AWARDED AS COMPENSATION (Details) - $ / shares	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Share-Based Payment Arrangement [Abstract]
Number of shares, Unvested beginning balance		6,985
Weighted Average Grant Date Fair Value, Unvested beginning balance		$ 5.75
Number of shares, Granted	58,317	3,000
Weighted Average Grant Date Fair Value, Granted	$ 2.73	$ 4.20
Number of shares, Vested	(58,317)	(9,985)
Weighted Average Grant Date Fair Value, Vested	$ 2.73	$ 5.31
Number of shares, Unvested ending balance
Weighted Average Grant Date Fair Value, Unvested ending balance

INCENTIVE AND NON-STATUTORY S_3

INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Compensation expense	$ 159,000	$ 44,053
Incentive and Non-Statutory Stock Option Plans [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock options granted expiration period	10 years
Percentage of outstanding common stock	10%
Incentive and Non-Statutory Stock Option Plans [Member] | Maximum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares granted	50,000
Percentage of fair market value of shares of common stock grant	110%
Incentive and Non-Statutory Stock Option Plans [Member] | Employees and Consultants [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock options granted exercisable over a period	10 years
Stock options granted exercisable percentage	20%
Stock options granted expiration period	1 year
2005 Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares granted	141
2013 Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares granted	57,124
2015 Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares granted	306,422

RETIREMENT PLANS (Details Narra

RETIREMENT PLANS (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Defined Benefit Plan Disclosure [Line Items]
Employer contributions	$ 1,298,115	$ 1,374,376
Minimum [Member]
Defined Benefit Plan Disclosure [Line Items]
Employer contributions, percentage	0%
Maximum [Member]
Defined Benefit Plan Disclosure [Line Items]
Employer contributions, percentage	8%

SUMMARY OF IDENTIFIABLE ASSETS

SUMMARY OF IDENTIFIABLE ASSETS (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	$ 58,379,410	$ 72,608,632
Corporate Headquarters [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	878,899	844,178
North America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	7,344,122	6,442,219
Europe [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	8,716,656	8,727,530
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	$ 41,439,733	$ 56,594,705

SUMMARY OF INVESTMENT UNDER EQU

SUMMARY OF INVESTMENT UNDER EQUITY METHOD (Details) - USD ($)	Jun. 30, 2023	Jun. 30, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Equity method investments	$ 25,396	$ 1,059,368
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Equity method investments	$ 25,396	$ 1,059,368

SUMMARY OF REVENUE STREAMS (Det

SUMMARY OF REVENUE STREAMS (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Revenue from External Customer [Line Items]
Revenue	$ 52,393,215	$ 57,247,979
North America [Member]
Revenue from External Customer [Line Items]
Revenue	6,117,282	4,288,008
Europe [Member]
Revenue from External Customer [Line Items]
Revenue	10,758,444	10,428,203
Asia Pacific [Member]
Revenue from External Customer [Line Items]
Revenue	35,517,489	42,531,768
License [Member]
Revenue from External Customer [Line Items]
Revenue	2,269,564	4,539,260
License [Member] | North America [Member]
Revenue from External Customer [Line Items]
Revenue	28,000	27,500
License [Member] | Europe [Member]
Revenue from External Customer [Line Items]
Revenue	136,151	291,652
License [Member] | Asia Pacific [Member]
Revenue from External Customer [Line Items]
Revenue	2,105,413	4,220,108
Subscription and Support [Member]
Revenue from External Customer [Line Items]
Revenue	25,980,661	28,284,759
Subscription and Support [Member] | North America [Member]
Revenue from External Customer [Line Items]
Revenue	4,398,429	3,744,605
Subscription and Support [Member] | Europe [Member]
Revenue from External Customer [Line Items]
Revenue	2,682,407	2,213,427
Subscription and Support [Member] | Asia Pacific [Member]
Revenue from External Customer [Line Items]
Revenue	18,899,825	22,326,727
Service [Member]
Revenue from External Customer [Line Items]
Revenue	24,142,990	24,423,960
Service [Member] | North America [Member]
Revenue from External Customer [Line Items]
Revenue	1,690,853	515,903
Service [Member] | Europe [Member]
Revenue from External Customer [Line Items]
Revenue	7,939,886	7,923,124
Service [Member] | Asia Pacific [Member]
Revenue from External Customer [Line Items]
Revenue	$ 14,512,251	$ 15,984,933

SUMMARY OF OPERATING INFORMATIO

SUMMARY OF OPERATING INFORMATION (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Segment Reporting Information [Line Items]
Revenue	$ 52,393,215	$ 57,247,979
Net income (loss) after taxes and before non-controlling interest	(4,144,473)	1,100,803
Depreciation and amortization	3,244,538	3,812,273
Interest expense	765,030	369,801
Income tax expense	926,560	988,938
North America [Member]
Segment Reporting Information [Line Items]
Revenue	6,117,282	4,288,008
Net income (loss) after taxes and before non-controlling interest	92,674	(116,199)
Depreciation and amortization	2,523	1,995
Interest expense
Income tax expense	1,600	46,154
Europe [Member]
Segment Reporting Information [Line Items]
Revenue	10,758,444	10,428,203
Net income (loss) after taxes and before non-controlling interest	(949,214)	(1,407,252)
Depreciation and amortization	303,907	396,519
Interest expense	8,955	10,335
Income tax expense	46,747	15,862
Asia Pacific [Member]
Segment Reporting Information [Line Items]
Revenue	35,517,489	42,531,768
Net income (loss) after taxes and before non-controlling interest	(2,786,373)	3,651,298
Depreciation and amortization	2,938,108	3,413,759
Interest expense	732,436	326,551
Income tax expense	865,841	970,276
Corporate Headquaters [Member]
Segment Reporting Information [Line Items]
Net income (loss) after taxes and before non-controlling interest	(501,560)	(1,027,044)
Interest expense	23,639	32,915
Income tax expense	12,372	(43,354)
Unaffiliated Customers [Member]
Segment Reporting Information [Line Items]
Revenue	52,393,215	57,247,979
Unaffiliated Customers [Member] | North America [Member]
Segment Reporting Information [Line Items]
Revenue	6,117,282	4,288,008
Unaffiliated Customers [Member] | Europe [Member]
Segment Reporting Information [Line Items]
Revenue	10,758,444	10,428,203
Unaffiliated Customers [Member] | Asia Pacific [Member]
Segment Reporting Information [Line Items]
Revenue	35,517,489	42,531,768
Affiliated Customers [Member]
Segment Reporting Information [Line Items]
Revenue
Affiliated Customers [Member] | Asia Pacific [Member]
Segment Reporting Information [Line Items]
Revenue
Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue	9,470,823	10,065,997
Intercompany Revenue [Member] | Europe [Member]
Segment Reporting Information [Line Items]
Revenue	394,962	453,242
Intercompany Revenue [Member] | Asia Pacific [Member]
Segment Reporting Information [Line Items]
Revenue	$ 9,075,861	$ 9,612,755

SUMMARY OF CAPITAL EXPENDITURES

SUMMARY OF CAPITAL EXPENDITURES (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Capital expenditures	$ 1,639,438	$ 2,609,205
North America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Capital expenditures	4,881
Europe [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Capital expenditures	33,185	151,378
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Capital expenditures	$ 1,601,372	$ 2,457,827

SCHEDULE OF GEOGRAPHIC INFORMAT

SCHEDULE OF GEOGRAPHIC INFORMATION (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 52,393,215	$ 57,247,979
Long-lived Assets	16,775,543	23,180,496
CHINA
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	15,120,449	20,533,170
Long-lived Assets	631,713	256,468
THAILAND
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	2,260,699	2,781,867
Long-lived Assets	207,280	1,240,082
UNITED STATES
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	5,057,470	3,161,365
Long-lived Assets	4,805,841	4,852,458
UNITED KINGDOM
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	10,758,444	10,428,203
Long-lived Assets	4,276,754	4,986,192
Pakistan and India [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	2,087,018	3,751,603
Long-lived Assets	6,845,753	11,836,992
Australia and New Zealand [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	7,018,095	6,545,872
Long-lived Assets	8,202	8,304
MEXICO
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	1,059,812	1,126,643
Long-lived Assets
INDONESIA
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	2,903,163	2,957,354
Long-lived Assets
SOUTH AFRICA
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	752,603	2,057,608
Long-lived Assets
KOREA, REPUBLIC OF
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	1,954,982	894,160
Long-lived Assets
Other Countries [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	3,420,480	3,010,134
Long-lived Assets

SCHEDULE OF RECONCILIATION OF R

SCHEDULE OF RECONCILIATION OF REVENUE (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Segment Reporting Information [Line Items]
Total net revenues	$ 52,393,215	$ 57,247,979
CHINA
Segment Reporting Information [Line Items]
Total net revenues	15,120,449	20,533,170
THAILAND
Segment Reporting Information [Line Items]
Total net revenues	2,260,699	2,781,867
UNITED STATES
Segment Reporting Information [Line Items]
Total net revenues	5,057,470	3,161,365
UNITED KINGDOM
Segment Reporting Information [Line Items]
Total net revenues	10,758,444	10,428,203
Pakistan and India [Member]
Segment Reporting Information [Line Items]
Total net revenues	2,087,018	3,751,603
Australia and New Zealand [Member]
Segment Reporting Information [Line Items]
Total net revenues	7,018,095	6,545,872
MEXICO
Segment Reporting Information [Line Items]
Total net revenues	1,059,812	1,126,643
INDONESIA
Segment Reporting Information [Line Items]
Total net revenues	2,903,163	2,957,354
SOUTH AFRICA
Segment Reporting Information [Line Items]
Total net revenues	752,603	2,057,608
KOREA, REPUBLIC OF
Segment Reporting Information [Line Items]
Total net revenues	1,954,982	894,160
Other Countries [Member]
Segment Reporting Information [Line Items]
Total net revenues	3,420,480	3,010,134
NA [Member]
Segment Reporting Information [Line Items]
Total net revenues	6,117,282	4,288,008
NA [Member] | CHINA
Segment Reporting Information [Line Items]
Total net revenues
NA [Member] | THAILAND
Segment Reporting Information [Line Items]
Total net revenues
NA [Member] | UNITED STATES
Segment Reporting Information [Line Items]
Total net revenues	5,057,470	3,161,365
NA [Member] | UNITED KINGDOM
Segment Reporting Information [Line Items]
Total net revenues
NA [Member] | Pakistan and India [Member]
Segment Reporting Information [Line Items]
Total net revenues
NA [Member] | Australia and New Zealand [Member]
Segment Reporting Information [Line Items]
Total net revenues
NA [Member] | MEXICO
Segment Reporting Information [Line Items]
Total net revenues	1,059,812	1,126,643
NA [Member] | INDONESIA
Segment Reporting Information [Line Items]
Total net revenues
NA [Member] | SOUTH AFRICA
Segment Reporting Information [Line Items]
Total net revenues
NA [Member] | KOREA, REPUBLIC OF
Segment Reporting Information [Line Items]
Total net revenues
NA [Member] | Other Countries [Member]
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member]
Segment Reporting Information [Line Items]
Total net revenues	10,758,444	10,428,203
Europe [Member] | CHINA
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | THAILAND
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | UNITED STATES
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | UNITED KINGDOM
Segment Reporting Information [Line Items]
Total net revenues	10,758,444	10,428,203
Europe [Member] | Pakistan and India [Member]
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | Australia and New Zealand [Member]
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | MEXICO
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | INDONESIA
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | SOUTH AFRICA
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | KOREA, REPUBLIC OF
Segment Reporting Information [Line Items]
Total net revenues
Europe [Member] | Other Countries [Member]
Segment Reporting Information [Line Items]
Total net revenues
Asia-Pacific [Member]
Segment Reporting Information [Line Items]
Total net revenues	35,517,489	42,531,768
Asia-Pacific [Member] | CHINA
Segment Reporting Information [Line Items]
Total net revenues	15,120,449	20,533,170
Asia-Pacific [Member] | THAILAND
Segment Reporting Information [Line Items]
Total net revenues	2,260,699	2,781,867
Asia-Pacific [Member] | UNITED STATES
Segment Reporting Information [Line Items]
Total net revenues
Asia-Pacific [Member] | UNITED KINGDOM
Segment Reporting Information [Line Items]
Total net revenues
Asia-Pacific [Member] | Pakistan and India [Member]
Segment Reporting Information [Line Items]
Total net revenues	2,087,018	3,751,603
Asia-Pacific [Member] | Australia and New Zealand [Member]
Segment Reporting Information [Line Items]
Total net revenues	7,018,095	6,545,872
Asia-Pacific [Member] | MEXICO
Segment Reporting Information [Line Items]
Total net revenues
Asia-Pacific [Member] | INDONESIA
Segment Reporting Information [Line Items]
Total net revenues	2,903,163	2,957,354
Asia-Pacific [Member] | SOUTH AFRICA
Segment Reporting Information [Line Items]
Total net revenues	752,603	2,057,608
Asia-Pacific [Member] | KOREA, REPUBLIC OF
Segment Reporting Information [Line Items]
Total net revenues	1,954,982	894,160
Asia-Pacific [Member] | Other Countries [Member]
Segment Reporting Information [Line Items]
Total net revenues	$ 3,420,480	$ 3,010,134

SEGMENT INFORMATION AND GEOGR_3

SEGMENT INFORMATION AND GEOGRAPHIC AREAS (Details Narrative)	12 Months Ended
	Jun. 30, 2023 Segments
Segment Reporting [Abstract]
Number of operating segments	3

SCHEDULE OF BALANCE OF NON-CONT

SCHEDULE OF BALANCE OF NON-CONTROLLING INTEREST (Details) - USD ($)	Jun. 30, 2023	Sep. 30, 2022	Jun. 30, 2022
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest	$ 2,975,053		$ 5,450,389
NetSol PK [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	32.38%		32.38%
Non-Controlling Interest	$ 3,314,659		$ 5,479,905
NetSol Innovation [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	32.38%		32.38%
Non-Controlling Interest	$ (223,504)		$ 49,146
NAMECET [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	32.38%
Non-Controlling Interest	$ (5,384)
NetSol Thai [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	0.006%		0.006%
Non-Controlling Interest	$ (194)		$ (196)
OTOZ Thai [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	5.60%	10.95%	5.60%
Non-Controlling Interest	$ (23,572)		$ (30,768)
OTOZ [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	5.59%		5.59%
Non-Controlling Interest	$ (86,952)		$ (47,698)

SCHEDULE OF CHANGE IN OWNERSHIP

SCHEDULE OF CHANGE IN OWNERSHIP INTEREST (Details) - USD ($)	12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Net income (loss) attributable to NetSol	$ (5,243,748)	$ (851,156)
Net transfer (to) from non-controlling interest	(1,099,275)	(1,951,959)
NetSol PK and OTOZ [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Net income (loss) attributable to NetSol	(5,243,748)	(851,156)
Increase in paid-in capital for issuance of 191,011 shares of OTOZ Inc common stock	120,565
Decrease in paid-in capital for purchase of 191,011 shares of OTOZ Inc common stock	(118,207)
Increase in paid-in capital for purchase of 2,000,000 shares of common stock of NetSol PK from Open Market		36,403
Net transfer (to) from non-controlling interest	2,358	36,403
Change from net income (loss) attributable to NetSol and transfer (to) from non-controlling interest	$ (5,241,390)	$ (814,753)

SCHEDULE OF CHANGE IN OWNERSH_2

SCHEDULE OF CHANGE IN OWNERSHIP INTEREST (Details) (Parenthetical) - shares	1 Months Ended		12 Months Ended
	Jun. 30, 2023	Sep. 30, 2022	Jun. 30, 2023
OTOZ [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Number of shares issued	191,011	191,011	191,011
Number of shares purchased, shares			191,011
NetSol PK [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Number of shares purchased, shares			2,000,000

NON-CONTROLLING INTEREST IN S_3

NON-CONTROLLING INTEREST IN SUBSIDIARY (Details Narrative) - USD ($)	1 Months Ended		12 Months Ended
	Jun. 30, 2023	Sep. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2021
NetSol PK [Member] | Common Stock [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Number of shares purchased, shares				2,000,000
Number of shares purchased, value				$ 950,352
Non-controlling interest, percentage				32.38%	33.88%
OTOZ [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Number of shares purchased, shares	191,011	191,011	191,011
Non-controlling interest, percentage	5.59%		5.59%	5.59%
OTOZ [Member] | Minimum [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-controlling interest, percentage	10.94%	5.59%	10.94%
OTOZ [Member] | Maximum [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-controlling interest, percentage	5.59%	10.94%	5.59%
OTOZ Thai [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-controlling interest, percentage	5.60%	10.95%	5.60%	5.60%