Digital Ally (DGLY) 10-Q 19 Nov 21 2021 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2021	Nov. 19, 2021
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2021
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2021
Current Fiscal Year End Date	--12-31
Entity File Number	001-33899
Entity Registrant Name	Digital Ally, Inc.
Entity Central Index Key	0001342958
Entity Tax Identification Number	20-0064269
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	14001 Marshall Drive
Entity Address, City or Town	Lenexa
Entity Address, State or Province	KS
Entity Address, Postal Zip Code	66219
City Area Code	(913)
Local Phone Number	814-7774
Title of 12(b) Security	Common stock, $0.001 par value per share
Trading Symbol	DGLY
Security Exchange Name	NASDAQ
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 Common Stock, Shares Outstanding		52,702,947

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 40,743,057	$ 4,361,758
Restricted cash	500,000
Accounts receivable-trade, less allowance for doubtful accounts of $123,751 and $123,224 – September 30, 2021 and December 31, 2020, respectively	2,356,411	1,705,461
Other receivables	1,621,053	1,529,920
Inventories, net	11,611,249	8,202,274
Prepaid expenses and other current assets	9,306,660	2,030,693
Total current assets	66,138,430	17,830,106
Property, plant and equipment, net	6,068,255	666,800
Goodwill and other intangible assets, net	16,454,946	392,564
Operating lease right of use assets, net	1,109,463	753,175
Other assets	2,121,158	1,154,882
Total assets	91,892,252	20,797,527
Current liabilities:
Accounts payable	5,710,765	1,144,676
Accrued expenses	1,218,958	796,094
Current portion of operating lease obligations	384,222	113,484
Contract liabilities – current	1,630,529	1,647,469
Debt obligations – current	4,547,421	11,727
Warrant derivative liabilities	17,942,020
Income taxes payable	1,827	7,158
Total current liabilities	31,435,742	3,720,608
Long-term liabilities:
Debt obligations – long term	846,979	148,273
Operating lease obligation, long term	795,704	723,272
Contract liabilities-long term	2,575,786	1,848,869
Total liabilities	35,654,211	6,441,022
Stockholders’ Equity:
Common stock, $0.001 par value per share; 100,000,000 shares authorized; shares issued: 52,702,947 – September 30, 2021 and 26,834,709 – December 31, 2020	52,703	26,835
Additional paid in capital	123,968,757	106,501,396
Treasury stock, at cost (63,518 shares)	(2,157,226)	(2,157,226)
Noncontrolling interest in consolidated subsidiary	(19,863)
Accumulated deficit	(65,606,330)	(90,014,500)
Total stockholders’ equity	56,238,041	14,356,505
Total liabilities and stockholders’ equity	$ 91,892,252	$ 20,797,527

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 123,751	$ 123,224
Common Stock, Par or Stated Value Per Share		$ 0.001
Common Stock, Shares Authorized		100,000,000
Common Stock, Shares, Issued	52,702,947	26,834,709
Treasury stock, shares	63,518	63,518

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Revenue:
Total revenue	$ 4,639,822	$ 3,588,640	$ 9,669,323	$ 7,746,576
Cost of revenue:
Total cost of revenue	3,239,252	2,365,992	6,196,069	4,866,140
Gross profit	1,400,570	1,222,648	3,473,254	2,880,436
Selling, general and administrative expenses:
Research and development expense	492,221	405,083	1,402,185	1,250,528
Selling, advertising and promotional expense	1,511,682	789,854	2,978,620	1,958,884
General and administrative expense	2,995,640	1,871,668	8,174,002	5,585,500
Total selling, general and administrative expenses	4,999,543	3,066,605	12,554,807	8,794,912
Operating loss	(3,598,973)	(1,843,957)	(9,081,553)	(5,914,476)
Other income (expense):
Interest income	90,036	11,339	222,497	33,208
Interest expense	(5,675)	(4,940)	(8,466)	(338,136)
Secured convertible notes issuance expense				(34,906)
Change in fair value of proceeds investment agreement		2,365,000		5,250,000
Change in fair value of secured convertible notes				(1,300,252)
Change in fair value of short-term investments	(21,656)		(28,210)
Change in fair value of warrant derivative liabilities	11,585,204		33,274,039
Gain on extinguishment of debt			10,000
Total other income	11,647,909	2,371,399	33,469,860	3,609,914
Income (loss) before income tax benefit	8,048,936	527,442	24,388,307	(2,304,562)
Income tax benefit (expense)
Net income (loss)	8,048,936	527,442	24,388,307	(2,304,562)
Net loss attributable to noncontrolling interests of consolidated subsidiary	19,863		19,863
Net income (loss) attributable to common stockholders	$ 8,068,799	$ 527,442	$ 24,408,170	$ (2,304,562)
Net income (loss) per share attributable to common stockholders’ information:
Basic	$ 0.16	$ 0.02	$ 0.49	$ (0.12)
Diluted	$ 0.16	$ 0.02	$ 0.49	$ (0.12)
Weighted average shares outstanding:
Basic	51,809,435	26,613,109	49,404,794	19,861,694
Diluted	51,809,435	26,627,941	49,404,794	19,861,694
Product [Member]
Revenue:
Total revenue	$ 1,356,454	$ 2,958,579	$ 4,988,364	$ 5,778,695
Cost of revenue:
Total cost of revenue	1,197,217	2,177,676	3,776,185	4,332,450
Service, Other [Member]
Revenue:
Total revenue	3,283,368	630,061	4,680,959	1,967,881
Cost of revenue:
Total cost of revenue	$ 2,042,035	$ 188,316	$ 2,419,884	$ 533,690

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock [Member]	Noncontrolling Interest [Member]	Retained Earnings [Member]	Total
Beginning balance, value at Dec. 31, 2019	$ 12,079	$ 83,216,387	$ (2,157,226)		$ (87,388,619)	$ (6,317,379)
Balance, shares at Dec. 31, 2019	12,079,095
Stock-based compensation		311,677				311,677
Restricted common stock grant	$ 530	(530)
Balance, shares	530,050
Restricted common stock forfeitures	$ (23)	23
Balance, shares	(22,500)
Issuance of common stock upon conversion of secured convertible notes and interest	$ 960	1,342,400				1,343,360
Balance, shares	959,543
Issuance of common stock through underwritten public offering (net of offering expenses and underwriters’ discount)	$ 2,522	2,499,614				2,502,136
Balance, shares	2,521,740
Issuance of common stock purchase warrants in connection with issuance of unsecured promissory note payable		20,806				20,806
Net income					(2,334,110)	(2,334,110)
Ending balance, value at Mar. 31, 2020	$ 16,068	87,390,377	(2,157,226)		(89,722,729)	(4,473,510)
Balance, shares at Mar. 31, 2020	16,067,928
Beginning balance, value at Dec. 31, 2019	$ 12,079	83,216,387	(2,157,226)		(87,388,619)	(6,317,379)
Balance, shares at Dec. 31, 2019	12,079,095
Net income						(2,304,562)
Ending balance, value at Sep. 30, 2020	$ 26,836	106,225,896	(2,157,226)		(89,693,181)	14,402,325
Balance, shares at Sep. 30, 2020	26,836,209
Net income						(2,304,562)
Beginning balance, value at Mar. 31, 2020	$ 16,068	87,390,377	(2,157,226)		(89,722,729)	(4,473,510)
Balance, shares at Mar. 31, 2020	16,067,928
Stock-based compensation		376,738				376,738
Restricted common stock grant	$ 135	(135)
Balance, shares	135,450
Restricted common stock forfeitures	$ (13)	13
Balance, shares	(12,750)
Issuance of common stock upon conversion of secured convertible notes and interest	$ 1,665	1,679,660				1,681,325
Balance, shares	1,664,669
Issuance of common stock through underwritten public offering (net of offering expenses and underwriters’ discount)	$ 2,540	4,974,152				4,976,692
Balance, shares	2,539,534
Issuance of common stock upon exercise of common stock purchase warrants	$ 2,694	5,200,428				5,203,122
Balance, shares	2,693,867
Issuance of common stock upon exercise of stock options	$ 2	7,798				7,800
Balance, shares	1,875
Issuance of common stock purchase warrants in connection with issuance of secured convertible notes		721,141				721,141
Issuance of common stock through underwritten public offering (net of offering expenses and underwriters’ discount)	$ 3,554	5,346,859				5,350,413
Balance, shares	3,554,545
Net income					(497,894)	(497,894)
Ending balance, value at Jun. 30, 2020	$ 26,645	105,697,031	(2,157,226)		(90,220,623)	13,345,827
Balance, shares at Jun. 30, 2020	26,645,118
Stock-based compensation		498,356				498,356
Restricted common stock grant	$ 181	(181)
Balance, shares	181,091
Issuance of common stock for services rendered	$ 10	30,690				30,700
Balance, shares	10,000
Net income					527,442	527,442
Ending balance, value at Sep. 30, 2020	$ 26,836	106,225,896	(2,157,226)		(89,693,181)	14,402,325
Balance, shares at Sep. 30, 2020	26,836,209
Net income						527,442
Beginning balance, value at Dec. 31, 2020	$ 26,835	106,501,396	(2,157,226)		(90,014,500)	14,356,505
Balance, shares at Dec. 31, 2020	26,834,709
Stock-based compensation		326,164				326,164
Restricted common stock grant	$ 450	(450)
Balance, shares	450,000
Restricted common stock forfeitures	$ (8)	8
Balance, shares	(7,500)
Issuance of common stock through registered direct offering and accompanying warrants (net of offering expenses and placement agent discount)	$ 2,800	6,726,200				6,729,000
Balance, shares	2,800,000
Issuance of common stock through registered direct offering accompanying warrants (net of offering expenses and placement agent discount)	$ 3,250	6,614,350				6,617,600
Balance, shares	3,250,000
Exercise of pre-funded common stock purchase warrants	$ 7,200	22,276,800				22,284,000
Balance, shares	7,200,000
Exercise of pre-funded common stock purchase warrants	$ 11,050	30,928,950				30,940,000
Balance, shares	11,050,000
Issuance of pre-funded common stock purchase warrants in connection with the registered direct offerings		(1,817,548)				(1,817,548)
Issuance of common stock purchase warrants at exercise price in connection with the registered direct offerings		(49,398,510)				(49,398,510)
Ending balance, value at Mar. 31, 2021	$ 51,577	122,157,360	(2,157,226)		(68,292,642)	51,759,069
Balance, shares at Mar. 31, 2021	51,577,209
Net income					21,721,858	21,721,858
Beginning balance, value at Dec. 31, 2020	$ 26,835	106,501,396	(2,157,226)		(90,014,500)	14,356,505
Balance, shares at Dec. 31, 2020	26,834,709
Net income						24,388,307
Ending balance, value at Sep. 30, 2021	$ 52,703	123,968,757	(2,157,226)	(19,863)	(65,606,330)	56,238,041
Balance, shares at Sep. 30, 2021	52,702,947
Net income						24,408,170
Beginning balance, value at Mar. 31, 2021	$ 51,577	122,157,360	(2,157,226)		(68,292,642)	51,759,069
Balance, shares at Mar. 31, 2021	51,577,209
Stock-based compensation		330,213				330,213
Net income					(5,382,487)	(5,382,487)
Ending balance, value at Jun. 30, 2021	$ 51,577	122,487,573	(2,157,226)		(73,675,129)	46,706,795
Balance, shares at Jun. 30, 2021	51,577,209
Stock-based compensation		491,950				491,950
Restricted common stock grant	$ 406	(406)
Balance, shares	406,000
Issuance of common stock through registered direct offering and accompanying warrants (net of offering expenses and placement agent discount)
Balance, shares
Issuance of common stock through registered direct offering accompanying warrants (net of offering expenses and placement agent discount)
Balance, shares
Issuance of common stock as consideration for acquisition	$ 720	989,640				990,360
Issuance of common stock as compensation for acquisition, shares	719,738
Net income				(19,863)	8,068,799	8,048,936
Ending balance, value at Sep. 30, 2021	$ 52,703	$ 123,968,757	$ (2,157,226)	$ (19,863)	$ (65,606,330)	56,238,041
Balance, shares at Sep. 30, 2021	52,702,947
Net income						$ 8,068,799

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2021	Jun. 30, 2020	Mar. 31, 2020
Warrant [Member]
Shares Issued, Price Per Share	$ 3.095
Class of Warrant or Right, Exercise Price of Warrants or Rights	3.25
Warrant One [Member]
Shares Issued, Price Per Share	2.80
Pre-funded Warrants [Member]
Shares Issued, Price Per Share	3.095
Pre-funded Warrants [Member]
Shares Issued, Price Per Share	$ 2.80
IPO [Member]
Shares Issued, Price Per Share		$ 1.65	$ 1.15
IPO One [Member]
Shares Issued, Price Per Share		$ 2.15

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows (Unaudited - USD ($)	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Cash Flows from Operating Activities:
Net income (loss)	$ 24,388,307	$ (2,304,562)
Adjustments to reconcile net income (loss) to net cash flows used in by operating activities:
Depreciation and amortization	239,630	189,390
Gain on extinguishment of debt	(10,000)
Stock based compensation	1,148,327	1,186,771
Change in fair value of warrant derivative liabilities	(33,274,039)
Provision for inventory obsolescence	339,668	254,109
Amortization of discount on unsecured promissory notes		86,867
Change in fair value of short-term investments	28,210
Change in fair value of secured convertible notes		1,300,252
Change in fair value of proceeds investment agreement		(5,250,000)
Provision for doubtful accounts receivable	(527)
Issuance of common stock for services rendered		30,700
Debt issuance costs		34,906
(Increase) decrease in:
Accounts receivable – trade	337,364	(728,917)
Accounts receivable – other	111,768	(370,123)
Inventories	(1,767,724)	(967,324)
Income tax refund receivable		44,650
Prepaid expenses	(3,445,546)	(1,914,855)
Operating lease right of use assets	(27,875)	(669,662)
Other assets	(752,324)	(110,679)
Increase (decrease) in:
Accounts payable	(475,256)	(1,281,246)
Accrued expenses	209,833	(129,593)
Income taxes payable	(5,331)	(4,776)
Operating lease obligations	14,757	633,505
Contract liabilities	709,977	(145,018)
Net cash used in operating activities	(12,230,781)	(10,115,605)
Cash Flows from Investing Activities:
Purchases of property, building and equipment	(5,575,021)	(599,449)
Additions to other intangible assets	(239,139)	(40,277)
Additions to investments		(250,000)
Cash paid for Nobility Healthcare Division acquisition, net of cash acquired	(1,012,552)
Cash paid for Nobility Healthcare Division acquisition, net of cash acquired	(2,270,000)
Cash paid for TicketSmarter acquisition, net of cash acquired	(8,361,808)
Restricted cash related to TicketSmarter acquisition	(500,000)
Net cash used in investing activities	(17,958,520)	(889,726)
Cash Flows from Financing Activities:
Proceeds from issuance of common stock upon exercise of pre-funded warrants	53,224,000
Net proceeds from sale of common stock in registered direct offerings	13,346,600
Proceeds from unsecured promissory note payable, related party		319,000
Proceeds from unsecured promissory note payable		100,000
Proceeds from promissory notes payable		1,568,900
Proceeds from issuance of common stock upon exercise of warrants		5,203,122
Proceeds from issuance of secured convertible notes payable		1,500,000
Proceeds from sale of common stock in underwritten public offering		12,829,241
Proceeds from exercise of stock options		7,800
Principal payment on subordinated notes payable		(400,000)
Principal payment on secured convertible notes		(748,180)
Principal payments on unsecured promissory note payable, related party		(319,000)
Debt issuance costs		(34,906)
Principal payment on proceeds investment agreement		(1,250,000)
Net cash provided by financing activities	66,570,600	18,775,977
Net increase in cash and cash equivalents	36,381,299	7,770,646
Cash and cash equivalents, beginning of period	4,361,758	359,685
Cash and cash equivalents, end of period	40,743,057	8,130,331
Supplemental disclosures of cash flow information:
Cash payments for interest		128,911
Cash payments for income taxes	7,581	4,776
Supplemental disclosures of non-cash investing and financing activities:
Issuance of contingent consideration earn-out agreement for business acquisition	4,244,400
Issuance of contingent consideration promissory note for business acquisitions	1,000,000
Assets assumed in business acquisitions	7,366,399
Liabilities assumed in business acquisitions	5,494,417
Common stock issued as consideration for business acquisitions	990,360
Restricted common stock grant	856	845
Restricted common stock forfeitures	8	36
Cashless exercise of common stock purchase warrants	0	7
Amounts allocated to initial measurement of warrant derivative liabilities in connection to the warrants and pre-funded warrants	51,216,058
Issuance of common stock upon conversion of secured convertible notes		3,024,685
Amounts allocated to common stock purchase warrants in connection with issuance of unsecured promissory note payable		$ 741,947

NATURE OF BUSINESS AND SUMMARY

NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 1. NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations : Digital Ally, Inc. (with its wholly-owned subsidiaries, Digital Ally International, Inc., Shield Products, LLC, Digital Ally Healthcare, LLC, TicketSmarter, Inc., and its majority-owned subsidiary Nobility Healthcare, LLC, collectively, “Digital Ally,” “Digital,” and the “Company”) produces digital video imaging, storage products, disinfectant and related safety products for use in law enforcement, security and commercial applications; also offering revenue cycle management solutions, ticket resale marketplace, and ticketing services. The Company’s products include, among others; in-car digital video/audio recorders contained in a rear-view mirror for use in law enforcement and commercial fleets; a system that provides its law enforcement customers with audio/video surveillance from multiple vantage points and hands-free automatic activation of body-worn cameras and in-car video systems; a miniature digital video system designed to be worn on an individual’s body; and cloud storage solutions. The Company added two new lines of branded products: (1) the ThermoVu ® The Company was originally incorporated in Nevada on December 13, 2000 as Vegas Petra, Inc. and had no operations until 2004. On November 30, 2004, Vegas Petra, Inc. entered into a Plan of Merger with Digital Ally, Inc., at which time the merged entity was renamed Digital Ally, Inc. Basis of Presentation : The condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles in the United States for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine month periods ended September 30, 2021 are not necessarily indicative of the results that may be expected for the year ending December 31, 2021. The balance sheet at December 31, 2020 has been derived from the audited financial statements at that date, but does not include all the information and footnotes required by generally accepted accounting principles in the United States for complete financial statements. For further information, refer to the audited financial statements and footnotes included in the Company’s annual report on Form 10-K for the year ended December 31, 2020, and the unaudited financial statements and footnotes included in the Company’s quarterly report on Form 10-Q for the quarter ended September 30, 2021. COVID-19 pandemic : The COVID-19 pandemic represents a fluid situation that presents a wide range of potential impacts of varying durations for different global geographies, including locations where the Company has offices, employees, customers, vendors and other suppliers and business partners. Like most US-based businesses, the COVID-19 pandemic and efforts to mitigate the same began to have impacts on our business in March 2020. By that time, much of our first fiscal quarter was completed. During the remainder of 2020 and the first quarter of 2021, the Company observed decreases in demand from certain customers, including primarily law-enforcement and commercial customers. However, the Company is beginning to experience an increase in demand for the three months ended September 30, 2021, compared to the same period in 2020. Given the fact that the Company’s products are sold through a variety of distribution channels, the Company expects its sales will experience more volatility as a result of the changing and less predictable operational needs of many customers as a result of the COVID-19 pandemic. The Company is aware that many companies, including many of its suppliers and customers, are reporting or predicting negative impacts from COVID-19 on future operating results. Although the Company observed significant declines in demand for its products from certain customers during 2020 and the first quarter of 2021, the Company believes that the impact of the COVID-19 remains too fluid and unknown, hindering the Company from determining the long-term demand for current products. The Company also cannot be certain how demand may shift over time as the impacts of the COVID-19 pandemic may go through several phases of varying severity and duration. In light of broader macro-economic risks and already known impacts on certain industries that use the Company’s products and services, the Company has taken, and continue to take targeted steps to lower its operating expenses because of the COVID-19 pandemic. The Company continues to monitor the impacts of COVID-19 on its operations closely and this situation could change based on a significant number of factors that are not entirely within its control and are discussed in this and other sections of this quarterly report on Form 10-Q. The Company does not expect there to be material changes to its assets on its balance sheet or its ability to timely account for those assets. Further, in connection with the preparation of this quarterly report on Form 10-Q, the Company reviewed the potential impacts of the COVID-19 pandemic on goodwill and intangible assets and have determined there to be no material impact at this time. The Company has also reviewed the potential impacts on future risks to the business as it relates to collections, returns and other business-related items. To date, travel restrictions and border closures have not materially impacted its ability to obtain inventory or manufacture or deliver products or services to customers. However, if such restrictions become more severe, they could negatively impact those activities in a way that would harm the business over the long term. Travel restrictions impacting people can restrain our ability to assist its customers and distributors as well as impact its ability to develop new distribution channels, but at present the Company does not expect these restrictions on personal travel to be material to our business operations or financial results. The Company has taken steps to restrain and monitor its operating expenses and therefore it does not expect any such impacts to materially change the relationship between costs and revenues. Like most companies, the Company has taken a range of actions with respect to how it operates to assure it complies with government restrictions and guidelines as well as best practices to protect the health and well-being of its employees and its ability to continue operating its business effectively. To date, the Company has been able to operate its business effectively using these measures and to maintain internal controls as documented and posted. The Company also has not experienced challenges in maintaining business continuity and does not expect to incur material expenditures to do so. However, the impacts of COVID-19 and efforts to mitigate the same have remained unpredictable and it remains possible that challenges may arise in the future. The actions the Company has taken so far during the COVID-19 pandemic include, but are not limited to: ● requiring all employees who can work from home to work from home; ● increasing its IT networking capability to best assure employees can work effectively outside the office; and ● for employees who must perform essential functions in one of its offices: ● having employees maintain a distance of at least six feet from other employees whenever possible; ● having employees work in dedicated shifts to lower the risk all employees who perform similar tasks might become infected by COVID-19; ● having employees stay segregated from other employees in the office with whom they require no interaction; and ● requiring unvaccinated employees to wear masks while they are in the office whenever possible. The Company currently believes revenue for the year ending December 31, 2021 will still be impacted due to the conditions noted. In April 2020, the Company implemented a COVID-19 mitigation plan designed to further reduce its operating expenses during the pandemic. Actions taken to date include work hour and salary reductions for senior management. These cost reductions are in addition to the significant restructuring actions which the Company continues to implement and develop throughout 2021. Based on the Company’s current cash position, its projected cash flow from operations and its cost reduction and cost containment efforts to date, the Company believes that it will have sufficient capital and or have access to sufficient capital through public and private equity and debt offerings to sustain operations for a period of one year following the date of this filing. If business interruptions resulting from the COVID-19 pandemic were to be prolonged or expanded in scope, the business, financial condition, results of operations and cash flows would be negatively impacted. The Company will continue to actively monitor this situation and will implement actions necessary to maintain business continuity. Basis of Consolidation : The accompanying financial statements include the consolidated accounts of Digital Ally, its wholly-owned subsidiaries, Digital Ally International, Inc., Shield Products, LLC, Digital Ally Healthcare, LLC, TicketSmarter, Inc, and its majority-owned subsidiary Nobility Healthcare, LLC. All intercompany balances and transactions have been eliminated during consolidation. The Company formed Digital Ally International, Inc. during August 2009 to facilitate the export sales of its products. The Company formed Shield Products, LLC in May 2020 to facilitate the sales of its Shield™ line of disinfectant/cleanser products and ThermoVu ® Revenue Recognition : The Company applies the provisions of Accounting Standards Codification (ASC) 606-10, Revenue from Contracts with Customers The Company considers customer purchase orders, which in some cases are governed by master sales agreements, to be the contracts with the customer. In situations where sales are to a distributor, the Company had concluded its contracts are with the distributor as the Company holds a contract bearing enforceable rights and obligations only with the distributor. As part of its consideration for the contract, the Company evaluates certain factors including the customers’ ability to pay (or credit risk). For each contract, the Company considers the promise to transfer products, each of which is distinct, to be the identified performance obligations. In determining the transaction price, the Company evaluates whether the price is subject to refund or adjustment to determine the net consideration to which it expects to be entitled. As the Company’s standard payment terms are less than one year, it has elected the practical expedient under ASC 606-10-32-18 to not assess whether a contract has a significant financing component. The Company allocates the transaction price to each distinct product based on its relative standalone selling price. The product price as specified on the purchase order is considered the standalone selling price as it is an observable input which depicts the price as if sold to a similar customer in similar circumstances. Revenue is recognized when control of the product is transferred to the customer ( i.e. The Company sells its products and services to customers in the following manner: ● Product sales to domestic customers are made direct to the end customer (typically a law enforcement agency or a commercial customer) through its sales force, which is composed of its employees. Revenue is recorded when the product is shipped to the end customer. ● Product sales to international customers are made through independent distributors who purchase products from the Company at a wholesale price and sell to the end user (typically law enforcement agencies or a commercial customer) at a retail price. The distributor retains the margin as its compensation for its role in the transaction. The distributor generally maintains product inventory, customer receivables and all related risks and rewards of ownership. Accordingly, upon application of steps one through five above, revenue is recorded when the product is shipped to the distributor consistent with the terms of the distribution agreement. ● Repair parts and services for domestic and international customers are generally handled by its inside customer service employees. Revenue is recognized upon shipment of the repair parts and acceptance of the service or materials by the end customer. ● Service sales through the Company’s Nobility Healthcare subsidiary are driven through relationships with medium to large healthcare organizations, in which revenue is recognized upon execution of services. Through the Company’s TicketSmarter subsidiary, service sales are driven largely in part to the usage of the TicketSmarter.com marketplace by buyers and sellers, in which the Company collects service fees for each transaction. Sales taxes collected on products sold are excluded from revenues and are reported as accrued expenses in the accompanying balance sheets until payments are remitted. Service and other revenue is comprised of revenues from extended warranties, repair services, cloud revenue, software revenue, revenue cycle management services, and ticket marketplace services. Revenue is recognized upon shipment of the product and acceptance of the service or materials by the end customer for repair services. Revenue for extended warranty, cloud service or other software-based products is over the term of the contract warranty or service period. A time-elapsed method is used to measure progress because the Company transfers control evenly over the contractual period. Accordingly, the fixed consideration related to these revenues is generally recognized on a straight-line basis over the contract term, as long as the other revenue recognition criteria have been met. Contracts with some of the Company’s customers contain multiple performance obligations that are distinct and accounted for separately. The transaction price is allocated to the separate performance obligations on a relative standalone selling price (“SSP”). The Company determined SSP for all the performance obligations using observable inputs, such as standalone sales and historical pricing. SSP is consistent with the Company’s overall pricing objectives, taking into consideration the type of service being provided. SSP also reflects the amount the Company would charge for the performance obligation if it were sold separately in a standalone sale. Multiple performance obligations consist of product, software, cloud subscriptions and extended warranties. The Company’s multiple performance obligations may include future in-car or body-worn camera devices to be delivered at defined points within a multi-year contract, and in those arrangements, the Company allocates total arrangement consideration over the life of the multi-year contract to future deliverables using management’s best estimate of selling price. Contract liabilities consist of deferred revenue and include payments received in advance of performance under the contract and are reported separately as current liabilities and non-current liabilities in the condensed consolidated balance sheets. Such amounts consist of extended warranty contracts, prepaid cloud services and prepaid installation services and are generally recognized as the respective performance obligations are satisfied. Use of Estimates : The preparation of the 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 amount of revenues and expenses during the reporting period. Actual results could differ from those estimates. Management utilizes various other estimates, including but not limited to determining the estimated lives of long-lived assets, determining the potential impairment of long-lived assets, the fair value of warrants, options, proceeds investment agreement and convertible debt, the recognition of revenue, inventory valuation reserve, the valuation allowance for deferred tax assets and other legal claims and contingencies. The results of any changes in accounting estimates are reflected in the financial statements in the period in which the changes become evident. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected in the period that they are determined to be necessary. Cash and cash equivalents : Cash and cash equivalents include funds on hand, in bank and short-term investments with original maturities of ninety (90) days or less. The Company maintains its cash and cash equivalents in banks insured by the Federal Deposit Insurance Corporation (FDIC) in accounts that at times may be in excess of the federally insured limit of $ 250,000 per bank. The Company minimizes this risk by placing its cash deposits with numerous major financial institutions. At September 30, 2021 and December 31, 2020, the uninsured balance amounted to $ 38,152,409 and $ 3,653,192 , respectively. Accounts Receivable: Accounts receivable are carried at original invoice amount less an estimate made for doubtful receivables based on a review of all outstanding amounts on a weekly basis. The Company determines the allowance for doubtful accounts by regularly evaluating individual customer receivables and considering a customer’s financial condition, credit history, and current economic conditions. One individual customer receivable balances exceeded 10 % of total accounts receivable as of September 30, 2021 and December 31, 2020, which totaled $ 558,729 or 24 % and $ 319,000 or 19 % of total accounts receivable, respectively. Trade receivables are written off when deemed uncollectible. Recoveries of trade receivables previously written off are recorded when received. A trade receivable is considered to be past due if any portion of the receivable balance is outstanding for more than thirty (30) days beyond terms. No interest is charged on overdue trade receivables. Goodwill and Other Intangibles Goodwill Business Combinations Intangibles - Goodwill and Other Goodwill impairment testing is performed at the reporting unit level. Goodwill is assigned to reporting units at the date the goodwill is initially recorded. Once goodwill has been assigned to reporting units, it no longer retains its association with a particular acquisition, and all of the activities within a reporting unit, whether acquired or internally generated, are available to support the value of the goodwill. Traditionally, goodwill impairment testing is a two-step process. Step one involves comparing the fair value of the reporting units to its carrying amount. If the carrying amount of a reporting unit is greater than zero and its fair value is greater than its carrying amount, there is no impairment. If the reporting unit’s carrying amount is greater than the fair value, the second step must be completed to measure the amount of impairment, if any. Step two involves calculating an implied fair value of goodwill. The Company has adopted ASU 2017-04 which simplifies subsequent goodwill measurement by eliminating step two from the goodwill impairment test. As a result, the Company compares the fair value of a reporting unit with its respective carrying value and recognized an impairment charge for the amount by which the carrying amount exceeded the reporting unit’s fair value. The Company determines the fair value of its reporting units using an income approach. Under the income approach, the Company determined fair value based on estimated discounted future cash flows of each reporting unit. Determining the fair value of a reporting unit is judgmental in nature and requires the use of significant estimates and assumptions, including revenue growth rates and EBITDA margins, discount rates and future market conditions, among others. Long-lived and Other Intangible Assets - Accounting for the Impairment or Disposal of Long-lived Assets Factors considered by the Company include, but are not limited to, significant underperformance relative to historical or projected operating results; significant changes in the manner of use of the acquired assets or the strategy for the overall business; and significant negative industry or economic trends. When the carrying value of a long-lived asset may not be recoverable based upon the existence of one or more of the above indicators of impairment, the Company estimates the future undiscounted cash flows expected to result from the use of the asset and its eventual disposition. If the sum of the expected future undiscounted cash flows and eventual disposition is less than the carrying amount of the asset, the Company recognizes an impairment loss. An impairment loss is reflected as the amount by which the carrying amount of the asset exceeds the fair value of the asset, based on the fair value if available, or discounted cash flows, if fair value is not available. The Company assessed potential impairments of its long-lived assets as of December 31, 2020 and concluded that there was no impairment. Other intangible assets that have finite lives are amortized over their useful lives. Segments of Business : Management has determined that, due to recent business acquisitions, its operations are comprised of three reportable segments: Digital Ally, TicketSmarter, and Nobility Healthcare. For the three and nine months ended September 30, 2021 and 2020, sales by segment were as follows: SUMMARY OF SALES BY GEOGRAPHIC AREA 2021 2020 2021 2020 Three Months Ended September 30, Nine months ended September 30, 2021 2020 2021 2020 Sales by segment: Digital Ally Product $ 1,356,454 $ 2,958,579 $ 4,988,364 $ 5,779,387 Service and other 672,206 630,061 2,069,797 1,967,881 Total Digital Ally 2,028,660 3,588,640 7,058,161 7,747,268 TicketSmarter Service and other 2,050,679 — 2,050,679 — Total TicketSmarter 2,050,679 — 2,050,679 — Nobility Healthcare Service and other 560,483 — 560,483 — Total Nobility Healthcare 560,483 — 560,483 — Total $ 4,639,822 $ 3,588,640 $ 9,669,323 $ 7,746,576 Sales to customers outside of the United States are denominated in U.S. dollars. All Company assets are physically located within the United States. Recent Accounting Pronouncements : In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, “Financial Instruments – Credit Losses” to improve information on credit losses for financial assets and net investment in leases that are not accounted for at fair value through net income. ASU 2016-13 replaces the current incurred loss impairment methodology with a methodology that reflects expected credit losses. In April 2019 and May 2019, the FASB issued ASU No. 2019-04, “Codification Improvements to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments” and ASU No. 2019-05, “Financial Instruments-Credit Losses (Topic 326): Targeted Transition Relief” which provided additional implementation guidance on the previously issued ASU. In November 2019, the FASB issued ASU 2019-10, “Financial Instruments - Credit Loss (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842),” which defers the effective date for public filers that are considered small reporting companies (“SRC”) as defined by the Securities and Exchange Commission (the “SEC”) to fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Since the Company is an SRC, implementation will not be required until January 1, 2023. The Company will continue to evaluate the effect that adopting ASU 2016-13 will have on the Company’s consolidated financial statements. In 2020, FASB issued ASU No. 2020-06 to simplify the accounting for convertible debt instruments as the current accounting guidance was determined to be unnecessarily complex and difficult to navigate. The ASU primarily does three things: (1) The ASU eliminates the beneficial conversion feature model and the cash conversion model. The elimination of these models will result in more convertible instruments (convertible debt instruments or convertible preferred stock instruments) being reported as a single liability instrument. The ASU also makes targeted improvements to the related disclosures, (2) The ASU eliminates certain settlement conditions that are required to qualify for derivative scope exception which will allow for less equity contracts to be accounted for as a derivative and (3) The ASU aligns the diluted EPS calculation for convertible instruments by requiring the use of the if-converted method and requiring share settlement be included in the calculation when the contract includes an option of cash or share settlement. ASU No. 2020-06 is effective for fiscal years beginning after December 15, 2021 with early adoption permitted for fiscal years beginning after December 15, 2020. Management has not early-adopted this new standard and continues to evaluate the impact of adopting ASU 2020-06 will have on its consolidated financial statements. In 2020, FASB issued ASU No. 2020-01 which represents a consensus of the Emerging Issues Task Force and it clarifies certain items related to ASU 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. The ASU (1) clarifies that when an entity is either applying the equity method or upon discontinuing the equity method it should consider observable price changes in orderly transactions for the identical or a similar investment with the same issuer for valuing basis of the investment and (2) clarifies that when determining the accounting for certain forward contracts and purchased options an entity should not consider, whether upon settlement or exercise, if the underlying securities would be accounted for under the equity method or fair value option. ASU No. 2020-01 is effective for fiscal years beginning after December 15, 2020 with early adoption permitted. The Company adopted this update for the quarter ended March 31, 2021, with no material effect on the financials. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes - simplifying the accounting for income taxes (Topic 740), which is meant to simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740, Income Taxes. The amendment also improves consistent application and simplifies GAAP for other areas of Topic 740 by clarifying and amending existing guidance. The adoption of this standard did not have a significant impact on the Company’s financial position and results of operations. Warrant Derivative Liabilities In accordance with FASB ASC 815-40, Derivatives and Hedging: Contracts in an Entities Own Equity, entities must consider whether to classify contracts that may be settled in its own stock, such as warrants to purchase shares of Common Stock, as equity of the entity or as an asset or liability. If an event that is not within the entity’s control could require net cash settlement, then the contract should be classified as an asset or a liability rather than as equity. We have determined because the terms of the warrants issued during the first quarter of 2021, and remain outstanding, include a provision that entitles all the warrant holders to receive cash for their warrants in the event of a qualifying cash tender offer, while only certain of the holders of the underlying shares of common stock would be entitled to cash, our warrants should be classified as liability measured at fair value, with changes in fair value each period reported in earnings. Volatility in the price of our common stock may result in significant changes in the value of the derivatives and resulting gains and losses on our statement of operations.

INVENTORIES

INVENTORIES	9 Months Ended
	Sep. 30, 2021
Inventory Disclosure [Abstract]
INVENTORIES	NOTE 2. INVENTORIES Inventories consisted of the following at September 30, 2021 and December 31, 2020: SCHEDULE OF INVENTORIES September 30, 2021 December 31, 2020 Raw material and component parts $ 3,068,418 $ 3,186,426 Work-in-process 15,506 1,908 Finished goods 10,827,344 6,974,291 Subtotal 13,911,268 10,162,625 Reserve for excess and obsolete inventory (2,300,019 ) (1,960,351 ) Total $ 11,611,249 $ 8,202,274 Finished goods inventory includes units held by potential customers and sales agents for test and evaluation purposes. The cost of such units totaled $ 156,261 and $ 138,263 as of September 30, 2021 and December 31, 2020, respectively.

DEBT OBLIGATIONS

DEBT OBLIGATIONS	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
DEBT OBLIGATIONS	NOTE 3. DEBT OBLIGATIONS Debt obligations is comprised of the following: SUMMARY OF SECURED CONVERTIBLE DEBENTURES AND PROCEEDS INVESTMENT AGREEMENT September 30, 2021 December 31, 2020 Economic injury disaster loan (EIDL) $ 150,000 $ 150,000 Payroll protection program loan (PPP) — 10,000 Contingent consideration promissory note - Nobility Healthcare Division Acquisition 350,000 — Contingent consideration promissory note – Nobility Healthcare Division Acquisition 650,000 — Contingent consideration earn-out Agreement – TicketSmarter Acquisitions 4,244,400 — Debt obligations 5,394,400 160,000 Less: current maturities of debt obligations 4,547,421 11,727 Debt obligations, long-term $ 846,979 $ 148,273 Debt obligations mature as follows as of September 30, 2021: SCHEDULE OF MATURITY OF DEBT OBLIGATIONS September 30, 2021 2021 (October 1, 2021 to December 31, 2021) $ 4,245,882 2022 403,049 2023 403,166 2024 203,286 2025 3,412 2026 and thereafter 135,605 Total $ 5,394,400 2020 Small Business Administration Notes On May 4, 2020, the Company issued a promissory note in connection with the receipt of the Paycheck Protection Program (“PPP”) Loan of $ 1,418,900 (the “PPP Loan”) under the Small Business Administration’s (the “SBA”) PPP Program under the Coronavirus Aid, Relief, and Economic Security Act ( the “CARES Act”). The PPP Loan has a two -year term and bears interest at a rate of 1.0 % per annum. Monthly principal and interest payments were deferred for nine months after the date of disbursement and total $ 79,851 per month thereafter. The PPP Loan could have been prepaid at any time prior to maturity with no prepayment penalties. The promissory note contained events of default and other provisions customary for a loan of this type. The PPP provides that the PPP Loan may be partially or wholly forgiven if the funds are used for certain qualifying expenses as described in the CARES Act. The Company intends to use the majority of the PPP Loan amount for qualifying expenses and to apply for forgiveness of the PPP Loan in accordance with the terms of the CARES Act. The Company used the majority of the PPP Loan amount for qualifying expenses and to apply for forgiveness of the PPP Loan in accordance with the terms of the CARES Act. The Company applied for forgiveness of the PPP Loan and December 10, 2020, the Company was fully forgiven of its $ 1,418,900 PPP Loan. Additionally, the Company was fully forgiven, during the three months ended June 30, 2021, of its $ 10,000 EIDL advance received with the PPP Loan. On May 12, 2020, the Company received $ 150,000 in loan funding from the SBA under the EIDL program administered by the SBA, which program was expanded pursuant to the recently enacted CARES Act. The EIDL is evidenced by a secured promissory note, dated May 8, 2020, in the original principal amount of $ 150,000 with the SBA, the lender. Under the terms of the note issued under the EIDL program, interest accrues on the outstanding principal at the rate of 3.75 % per annum. The term of such note is thirty years, though it may be payable sooner upon an event of default under such note. Monthly principal and interest payments are deferred for twelve months after the date of disbursement and total $ 731 per month thereafter. Such note may be prepaid in part or in full, at any time, without penalty. The Company granted the secured party a continuing interest in and to any and all collateral, including but not limited to tangible and intangible personal property. Contingent Consideration Promissory Notes On June 30, 2021, Nobility Healthcare, LLC, a subsidiary of the Company, issued a contingent consideration promissory note (the “Contingent Note”) in connection with the Stock Purchase Agreement between Nobility and a private Company (the “Seller”) of $ 350,000 . The Contingent Note has a three-year term and bears interest at a rate of 3.00 % per annum. Quarterly principal and interest payments are deferred for six months and is due in equal quarterly installments on the seventh business day of each quarter. The principal amount of the Contingent Note is subject to an earn-out adjustment, being the difference between the $ 975,000 (the “Projected Revenue”) and the cash basis revenue (the “Measurement Period Revenue”) collected by the Seller in its normal course of business from the clients existing on June 30, 2021, during the period from October 1, 2021 through September 30, 2022 (the “Measurement Period”) measured on a quarterly basis and annualized as of the relevant period. If the Measurement Period Revenue is less than the Projected Revenue, such amount will be subtracted from the principal balance of this Contingent Note on a dollar-for-dollar basis. If the Measurement Period Revenue is more than the Projected Revenue, such amount will be added to the principal balance of this Contingent Note on a dollar-for-dollar basis. In no event will the principal balance of this Contingent Note become a negative number. The maximum downward earn-out adjustment to the principal balance will be to zero. There are no limits to the increases to the principal balance of the Contingent Note as a result of the earn-out adjustments. The contingent consideration promissory note is considered to be additional purchase price; therefore, the estimated fair value of the contingent liability is recorded as a liability at the acquisition date and the fair value is considered part of the consideration paid for the acquisition. Management has recorded the contingent consideration promissory note at its estimated fair value of $ 350,000 at the acquisition date. Management will continue to estimate the fair value of this Contingent Note at each reporting date with the change, if any recorded as a gain or loss in the statement of operations during the relevant period. On August 31, 2021, Nobility Healthcare, LLC, a subsidiary of the Company, issued a contingent consideration promissory note (the “Contingent Payment Note”) in connection with the Stock Purchase Agreement between Nobility and a private Company (the “Sellers”) of $ 650,000 . The Contingent Payment Note has a three -year term and bears interest at a rate of 3.00 % per annum. Quarterly principal and interest payments are deferred for six months and is due in equal quarterly installments on the seventh business day of each quarter. The principal amount of the Contingent Payment Note is subject to an earn-out adjustment, being the difference between the $ 3,000,000 (the “Projected Revenue”) and the cash basis revenue (the “Measurement Period Revenue”) collected by the Sellers in its normal course of business from the clients existing on September 1, 2021, during the period from December 1, 2021 through November 30, 2022 (the “Measurement Period”) measured on a quarterly basis and annualized as of the relevant period. If the Measurement Period Revenue is less than the Projected Revenue, such amount will be subtracted from the principal balance of this Contingent Payment Note on a dollar-for-dollar basis. If the Measurement Period Revenue is more than the Projected Revenue, such amount will be added to the principal balance of this Contingent Payment Note on a dollar-for-dollar basis. In no event will the principal balance of this Contingent Payment Note become a negative number. The maximum downward earn-out adjustment to the principal balance will be to zero. There are no limits to the increases to the principal balance of the Contingent Payment Note as a result of the earn-out adjustments. The contingent consideration promissory note is considered to be additional purchase price, therefore the estimated fair value of the contingent liability is recorded as a liability at the acquisition date and the fair value is considered part of the consideration paid for the acquisition. Management has recorded the contingent consideration promissory note at its estimated fair value of $ 650,000 at the acquisition date. Management will continue to estimate the fair value of this Contingent Payment Note at each reporting date with the change, if any recorded as a gain or loss in the statement of operations during the relevant period. Contingent consideration earn-out Agreement – TicketSmarter Acquisition On September 1, 2021, TicketSmarter, Inc., a subsidiary of the Company, issued a contingent consideration earn-out agreement (the “TicketSmarter Earn-Out”) in connection with the Stock Purchase Agreement between TicketSmarter, Inc., Goody Tickets, LLC and TicketSmarter, LLC (“TicketSmarter”) of $ 4,244,400 . The TicketSmarter Earn-Out shall be payable with ninety percent (90%) readily available funds and ten percent (10%) in stock consideration. The principal amount of the TicketSmarter Earn-Out is subject to an earn-out adjustment, being the difference between the $ 2,896,829 (the “Projected EBITDA”) and the actual EBITA (the “Measurement Period EBITDA”) generated by TicketSmarter in its normal course of business, during the period from September 1, 2021 through December 31, 2021 (the “Measurement Period”). If the Measurement Period EBITDA is less than seventy percent (70%) of the Projected EBITDA, there will be zero contingent payment. If the Measurement Period EBITDA is between seventy percent (70%) and one hundred percent (100%) of the Projected EBITDA, then a fractional amount of the contingent payment will be paid out. If the Measurement Period EBITDA is more than the Projected EBITDA, the full principal balance of this TicketSmarter Earn-Out will be paid out. In no event will the principal balance of this TicketSmarter Earn-Out become a negative number. The maximum downward earn-out adjustment to the earn-out balance will be to reduce the balance to zero. The contingent consideration earn-out is considered to be additional purchase price, therefore the estimated fair value of the contingent liability is recorded as a liability at the acquisition date and the fair value is considered part of the consideration paid for the acquisition. Management has recorded the contingent consideration earn-out at its estimated fair value of $ 4,244,400 at the acquisition date. Management will continue to estimate the fair value of this TicketSmarter Note at each reporting date with the change, if any recorded as a gain or loss in the statement of operations during the relevant period.

FAIR VALUE MEASUREMENT

FAIR VALUE MEASUREMENT	9 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENT	NOTE 4. FAIR VALUE MEASUREMENT In accordance with ASC Topic 820 — Fair Value Measurements and Disclosures ASC 820 utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those three levels: ● Level 1 — Quoted prices in active markets for identical assets and liabilities ● Level 2 — Other significant observable inputs (including quoted prices in active markets for similar assets or liabilities) ● Level 3 — Significant unobservable inputs (including the Company’s own assumptions in determining the fair value) The following table represents the Company’s hierarchy for its financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2021 and December 31, 2020: SCHEDULE OF FINANCIAL ASSETS AND LIABILITIES MEASURED AT FAIR VALUE ON RECURRING BASIS September 30, 2021 Level 1 Level 2 Level 3 Total Liabilities: Warrant derivative liabilities $ — $ — $ 17,942,020 $ 17,942,020 Contingent consideration promissory notes and earn-out agreement — — 5,244,400 5,244,400 $ — $ — $ 23,186,420 $ 23,186,420 December 31, 2020 Level 1 Level 2 Level 3 Total Liabilities: Warrant derivative liabilities $ — $ — $ — $ — Contingent consideration promissory note — — — — $ — $ — $ — $ — The following table represents the change in Level 3 tier value measurements for the nine months ended September 30, 2021: SCHEDULE OF FAIR VALUE MEASUREMENTS CHANGE IN LEVEL 3 INPUTS Contingent Consideration Promissory Note Warrant Derivative Liabilities Balance, December 31, 2020 $ — $ — Issuance of detachable warrants in the January 14, 2021 Offering — 21,922,158 Issuance of detachable warrants in the February 1, 2021 Offering — 27,476,352 Issuance of detachable pre-funded warrants in the January 14, 2021 Offering — 378,615 Issuance of detachable pre-funded warrants in the February 1, 2021 Offering — 1,438,934 Transition of derivative warrant liability to equity on pre-funded warrants — — Change in fair value of warrant derivative liabilities — (24,552,257 ) Balance, March 31, 2021 — 26,663,802 Issuance of contingent consideration promissory note - Nobility Healthcare Division Acquisition 350,000 — Change in fair value of financial instruments — 2,863,422 Balance, June 30, 2021 $ 350,000 $ 29,527,224 Issuance of contingent consideration promissory note - Nobility Healthcare Division Acquisition 650,000 — Issuance of contingent consideration earn-out agreement - TicketSmarter Acquisition 4,244,400 — Change in fair value of financial instruments (11,585,204 ) Balance, September 30, 2021 $ 5,244,400 $ 17,942,020

ACCRUED EXPENSES

ACCRUED EXPENSES	9 Months Ended
	Sep. 30, 2021
Payables and Accruals [Abstract]
ACCRUED EXPENSES	NOTE 5. ACCRUED EXPENSES Accrued expenses comprised of the following at September 30, 2021 and December 31, 2020: SCHEDULE OF ACCRUED EXPENSES September 30, 2021 December 31, 2020 Accrued warranty expense $ 14,278 $ 31,845 Accrued litigation costs 250,000 250,000 Accrued sales commissions 40,328 38,294 Accrued payroll and related fringes 599,030 199,850 Accrued sales returns and allowances 47,272 26,069 Accrued sales taxes 46,002 53,627 Other 222,048 196,409 Total accrued expenses $ 1,218,958 $ 796,094 Accrued warranty expense comprised of the following for the nine months ended September 30, 2021: SCHEDULE OF ACCRUED WARRANTY EXPENSE Beginning balance $ 31,845 Provision for warranty expense 41,040 Charges applied to warranty reserve (58,607 ) Ending balance $ 14,278

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2021
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 6. INCOME TAXES The effective tax rate for the three months ended September 30, 2021 and 2020 varied from the expected statutory rate due to the Company continuing to provide a 100 % valuation allowance on net deferred tax assets. The Company determined that it was appropriate to continue the full valuation allowance on net deferred tax assets as of September 30, 2021 primarily because of the Company’s history of operating losses. The Company has incurred operating losses in recent years, and it continues to be in a three-year cumulative loss position at September 30, 2021. Accordingly, the Company determined there was not sufficient positive evidence regarding its potential for future profits to outweigh the negative evidence of our three-year cumulative loss position under the guidance provided in ASC 740. Therefore, it determined to continue to provide a 100% valuation allowance on its net deferred tax assets. The Company expects to continue to maintain a full valuation allowance until it determines that it can sustain a level of profitability that demonstrates its ability to realize these assets. To the extent the Company determines that the realization of some or all of these benefits is more likely than not based upon expected future taxable income, a portion or all of the valuation allowance will be reversed. The Company has available to it approximately $ 76 million in net operating loss carryforwards to offset future taxable income as of September 30, 2021.

PROPERTY, PLANT AND EQUIPMENT

PROPERTY, PLANT AND EQUIPMENT	9 Months Ended
	Sep. 30, 2021
Property, Plant and Equipment [Abstract]
PROPERTY, PLANT AND EQUIPMENT	NOTE 7. PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment, net consists of the following: SCHEDULE OF PROPERTY AND EQUIPMENT, NET September 30, 2021 December 31, 2020 Land $ 789,734 $ 59,226 Buildings 4,909,478 363,215 Equipment 552,135 507,676 Leasehold improvements 143,327 289,865 6,394,674 1,219,982 Less: accumulated depreciation (326,419 ) (553,182 ) Total property, plant and equipment, net $ 6,068,255 $ 666,800 On April 30, 2021 the Company closed on the purchase and sale agreement to acquire a 71,361 square feet commercial office building located in Lenexa, Kansas which is intended to serve as the Company’s future office and warehouse needs. The building contains approximately 30,000 square feet of office space and the remainder warehouse space . The total purchase price was approximately $ 5.3 million, the Company funded the purchase price with cash on hand, without the addition of external debt or other financing. Depreciation expense for the nine months ended September 30, 2021 and September 30, 2020 was $ 177,959 and $ 115,196 , respectively, and is included in general and administrative expenses.

OPERATING LEASES

OPERATING LEASES	9 Months Ended
	Sep. 30, 2021
Operating Leases
OPERATING LEASES	NOTE 8. OPERATING LEASES On May 13, 2020, the Company entered into an operating lease for new warehouse and office space which will serve as its new principal executive office and primary business location. The original lease agreement was amended on August 28, 2020 to correct the footage under lease and monthly payment amounts resulting from such correction. The lease terms, as amended include no base rent for the first nine months and monthly payments ranging from $ 12,398 to $ 14,741 thereafter, with a termination date of December 2026 . The Company is responsible for property taxes, utilities, insurance and its proportionate share of common area costs related to its new location. The Company took possession of the leased facilities on June 15, 2020. The remaining lease term for the Company’s office and warehouse operating lease as of September 30, 2021 was sixty-three months. The Company’s previous office and warehouse space lease expired in April 2020 and the Company paid holdover rent for the time period until it moved to and commenced occupying the new space on June 15, 2020. The Company entered into an operating lease with a third party in October 2019 for copiers used for office and warehouse purposes. The terms of the lease include 48 monthly payments of $ 1,598 with a maturity date of October 2023 . The Company has the option to purchase the equipment at maturity for its estimated fair market value at that point in time. The remaining lease term for the Company’s copier operating lease as of September 30, 2021 was 25 months. On June 30, 2021, the Company completed the acquisition of a private medical billing company, through its majority owned subsidiary, Nobility Healthcare, LLC. Upon completion of this acquisition, the Company became responsible for the operating lease for the Seller’s office space. The lease terms include monthly payments ranging from $ 2,648 to $ 2,774 thereafter, with a termination date of July 2024. The Company is responsible for property taxes, utilities, insurance and its proportionate share of common area costs related to this location. The Company took possession of the leased facilities on June 30, 2021. The remaining lease term for the Company’s office and warehouse operating lease as of September 30, 2021 was thirty-four months. On August 31, 2021, the Company completed the acquisition of a private medical billing company, through its majority owned subsidiary, Nobility Healthcare, LLC. Upon completion of this acquisition, the Company became responsible for the operating lease for the Seller’s office space. The lease terms include monthly payments ranging from $ 11,579 to $ 11,811 thereafter, with a termination date of March 2023. The Company is responsible for property taxes, utilities, insurance and its proportionate share of common area costs related to this location. The Company took possession of the leased facilities on September 1, 2021. The remaining lease term for the Company’s office and warehouse operating lease as of September 30, 2021 was eighteen months . On September 1, 2021, the Company completed the acquisition of Goody Tickets, LLC and TicketSmarter, LLC (“TicketSmarter Acquisition”), through its wholly owned subsidiary, TicketSmarter, Inc. Upon completion of this acquisition, the Company became responsible for the operating lease for TicketSmarter Inc.’s office space. The lease terms include monthly payments ranging from $ 7,211 to $ 7,364 thereafter, with a termination date of December 2022. The Company is responsible for property taxes, utilities, insurance and its proportionate share of common area costs related to this location. The Company took possession of the leased facilities on September 1, 2021. The remaining lease term for the Company’s office and warehouse operating lease as of September 30, 2021 was fifteen months . Lease expense related to the office spaces and copier operating leases were recorded on a straight-line basis over their respective lease terms. Total lease expense under the five operating leases was $144,443 for the nine months ended September 30, 2021. The discount rate implicit within the Company’s operating leases was not generally determinable and therefore the Company determined the discount rate based on its incremental borrowing rate on the information available at commencement date. As of commencement date, the operating lease liabilities reflect a weighted average discount rate of 8 %. The following sets forth the operating lease right of use assets and liabilities as of September 30, 2021: SCHEDULE OF OPERATING LEASES RIGHT OF USE ASSETS AND LIABILITIES Assets: Operating lease right of use assets $ 1,109,463 Liabilities: Operating lease obligations-Long-term portion $ 795,704 Operating lease obligations-Current portion 384,222 Total operating lease obligations $ 1,179,926 The components of lease expense were as follows for the nine months ended September 30, 2021: SCHEDULE OF COMPONENTS OF LEASE EXPENSES Selling, general and administrative expenses $ 144,443 Following are the minimum lease payments for each year and in total. SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Year ending December 31: 2021 (October 1, to December 31, 2021) $ 109,948 2022 445,635 2023 264,329 2024 191,059 2025 173,333 Thereafter 175,113 Total undiscounted minimum future lease payments 1,359,417 Imputed interest (179,491 ) Total operating lease liability $ 1,179,926

GOODWILL AND OTHER INTANGIBLE A

GOODWILL AND OTHER INTANGIBLE ASSETS	9 Months Ended
	Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLE ASSETS	NOTE 9. GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill and other intangible assets, net as of September 30, 2021 and December 31, 2020 are as follows: SCHEDULE OF GOODWILL AND OTHER INTANGIBLE ASSETS September 30, 2021 December 31, 2020 Gross value Accumulated amortization Net carrying value Gross value Accumulated amortization Net carrying value Amortized intangible assets: Licenses $ 331,252 $ 61,668 $ 278,324 $ 104,099 $ 52,872 $ 51,227 Patents and Trademarks 444,636 188,111 247,785 264,490 135,236 129,254 775,888 249,779 526,109 368,589 188,108 180,481 Unamortized intangible assets: Goodwill 15,884,308 — 15,884,308 — — — Patents and trademarks pending 44,529 — 44,529 212,083 — 212,083 Total $ 16,704,725 $ 249,779 $ 16,454,946 $ 580,672 $ 188,108 $ 392,564 Patents and trademarks pending will be amortized beginning at the time they are issued by the appropriate authorities. If issuance of the final patent or trademark is denied, then the amount deferred will be immediately charged to expense.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 10. COMMITMENTS AND CONTINGENCIES COVID-19 pandemic The COVID-19 pandemic represents a fluid situation that presents a wide range of potential impacts of varying durations for different global geographies, including locations where we have offices, employees, customers, vendors and other suppliers and business partners. Like most US-based businesses, the COVID-19 pandemic and efforts to mitigate the same began to impact our business in March 2020. By that time, much of the Company’s first fiscal quarter was completed. During the balance of 2020 and the first quarter of 2021, the Company observed recent decreases in demand from certain customers, including primarily law-enforcement and commercial customers. However, we are beginning to experience an increase in demand during the quarters ended June 30, 2021 and September 30, 2021, compared to the same periods in 2020. Given the fact that the Company’s products and services are sold through a variety of distribution channels, the Company expects sales will experience more volatility as a result of the changing and less predictable operational needs of many customers as a result of the COVID-19 pandemic. The Company is aware that many companies, including many current suppliers and customers, are reporting or predicting negative impacts from COVID-19 on future operating results. Although the Company observed a slight increase in demand for products from certain customers during the quarter ended September 30, 2021, the Company believes that the impact of the COVID-19 remains too fluid and unknown, hindering the Company from determining the long-term demand for current products. The Company also cannot be certain how demand may shift over time as the impacts of the COVID-19 pandemic may go through several phases of varying severity and duration. In light of broader macro-economic risks and already known impacts on certain industries that use the Company’s products and services, the Company has taken, and continues to take targeted steps to lower its operating expenses because of the COVID-19 pandemic. The Company continues to monitor the impacts of COVID-19 on its operations closely and this situation could change based on a significant number of factors that are not entirely within its control and are discussed in this and other sections of this quarterly report on Form 10-Q. The Company does not expect there to be material changes to its assets on our balance sheet or its ability to timely account for those assets. Further, in connection with the preparation of this quarterly report on Form 10-Q and the financial statements contained herein, the Company reviewed the potential impacts of the COVID-19 pandemic on goodwill and intangible assets and have determined there to be no material impact at this time. The Company has also reviewed the potential impacts on future risks to the business as it relates to collections, returns and other business-related items. To date, travel restrictions and border closures have not materially impacted its ability to obtain inventory or manufacture or deliver products or services to customers. However, if such restrictions become more severe, they could negatively impact those activities in a way that would harm the business over the long term. Travel restrictions impacting people can restrain its ability to assist its customers and distributors as well as impact its ability to develop new distribution channels, but at present the Company does not expect these restrictions on personal travel to be material to our business operations or financial results. The Company has taken steps to restrain and monitor its operating expenses and therefore it does not expect any such impacts to materially change the relationship between costs and revenues. Like most companies, the Company has taken a range of actions with respect to how it operates to assure it comply with government restrictions and guidelines as well as best practices to protect the health and well-being of its employees and its ability to continue operating its business effectively. To date, the Company has been able to operate its business effectively using these measures and to maintain all internal controls as documented and posted. The Company also has not experienced challenges in maintaining business continuity and does not expect to incur material expenditures to do so. However, the impacts of COVID-19 and efforts to mitigate the same have remained unpredictable and it remains possible that challenges may arise in the future. The actions we have taken so far during the COVID-19 pandemic include, but are not limited to: ● Requiring all employees who can work from home to work from home; ● Increasing its IT networking capability to best assure employees can work effectively outside the office; and ● For employees who must perform essential functions in one of its offices: ● Having employees maintain a distance of at least six feet from other employees whenever possible; ● Having employees work in dedicated shifts to lower the risk all employees who perform similar tasks might become infected by COVID-19; ● Having employees stay segregated from other employees in the office with whom they require no interaction; and ● Requiring unvaccinated employees to wear masks while they are in the office whenever possible. The Company currently believes revenue for the year ending December 31, 2021 will still be impacted due to the conditions noted. In April 2020, the Company implemented a COVID-19 mitigation plan designed to further reduce its operating expenses during the pandemic. Actions taken to date include work hour and salary reductions for senior management. These cost reductions are in addition to the significant restructuring actions which the Company continues to implement and develop throughout. Based on the Company’s current cash position, its projected cash flow from operations and its cost reduction and cost containment efforts to date, the Company believes that it will have sufficient capital and or have access to sufficient capital through public and private equity and debt offerings to sustain operations for a period of one year following the date of this filing. If business interruptions resulting from the COVID-19 pandemic were to be prolonged or expanded in scope, the business, financial condition, results of operations and cash flows would be negatively impacted. The Company will continue to actively monitor this situation and will implement actions necessary to maintain business continuity. Litigation. From time to time, we are notified that we may be a party to a lawsuit or that a claim is being made against us. It is our policy to not disclose the specifics of any claim or threatened lawsuit until the summons and complaint are actually served on us. After carefully assessing the claim, and assuming we determine that we are not at fault or we disagree with the damages or relief demanded, we vigorously defend any lawsuit filed against us. We record a liability when losses are deemed probable and reasonably estimable. When losses are deemed reasonably possible but not probable, we determine whether it is possible to provide an estimate of the amount of the loss or range of possible losses for the claim, if material for disclosure. In evaluating matters for accrual and disclosure purposes, we take into consideration factors such as our historical experience with matters of a similar nature, the specific facts and circumstances asserted, the likelihood of our prevailing, the availability of insurance, and the severity of any potential loss. We reevaluate and update accruals as matters progress over time. While the ultimate resolution is unknown, based on the information currently available, we do not expect that these lawsuits will individually, or in the aggregate, have a material adverse effect to our results of operations, financial condition and cash flows. However, the outcome of any litigation is inherently uncertain and there can be no assurance that any expense, liability or damages that may ultimately result from the resolution of these matters will be covered by our insurance or will not be in excess of amounts recognized or provided by insurance coverage and will not have a material adverse effect on our operating results, financial condition or cash flows.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2021
Share-based Payment Arrangement [Abstract]
STOCK-BASED COMPENSATION	NOTE 11. STOCK-BASED COMPENSATION The Company recorded pretax compensation expense related to the grant of stock options and restricted stock issued of $ 491,950 and $ 498,356 for the three months ended September 30, 2021 and 2020 and $ 1,148,327 and $ 1,186,771 for the nine months ended September 30, 2021 and 2020, respectively. As of September 30, 2021, the Company had adopted nine separate stock option and restricted stock plans: (i) the 2005 Stock Option and Restricted Stock Plan (the “2005 Plan”), (ii) the 2006 Stock Option and Restricted Stock Plan (the “2006 Plan”), (iii) the 2007 Stock Option and Restricted Stock Plan (the “2007 Plan”), (iv) the 2008 Stock Option and Restricted Stock Plan (the “2008 Plan”), (v) the 2011 Stock Option and Restricted Stock Plan (the “2011 Plan”), (vi) the 2013 Stock Option and Restricted Stock Plan (the “2013 Plan”), (vii) the 2015 Stock Option and Restricted Stock Plan (the “2015 Plan”), (viii) the 2018 Stock Option and Restricted Stock Plan (the “2018 Plan”) and (ix) the 2020 Stock Option and Restricted Stock Plan (the “2020 Plan”).. The 2005 Plan, 2006 Plan, 2007 Plan, 2008 Plan, 2011 Plan, 2013 Plan, 2015 Plan, 2018 Plan and 2020 Plan are referred to as the “Plans.” These Plans permit the grant of stock options or restricted stock to its employees, non-employee directors and others for up to a total of 5,675,000 shares of common stock. The 2005 Plan terminated during 2015 with 20,178 shares not awarded or underlying options, which shares are now unavailable for issuance. Stock options granted under the 2005 Plan that remain unexercised and outstanding as of September 30, 2021 total 7,064 . The 2006 Plan terminated during 2016 with 35,474 shares not awarded or underlying options, which shares are now unavailable for issuance. Stock options granted under the 2006 Plan that remain unexercised and outstanding as of September 30, 2021 total 30,125 . The 2007 Plan terminated during 2017 with 94,651 shares not awarded or underlying options, which shares are now unavailable for issuance. The 2008 Plan terminated during 2018 with 40,499 shares not awarded or underlying options, which shares are now unavailable for issuance. There were no stock options granted under the 2008 Plan that remain unexercised and outstanding as of September 30, 2021. The Company believes that such awards better align the interests of our employees with those of its stockholders. Option awards have been granted with an exercise price equal to the market price of its stock at the date of grant with such option awards generally vesting based on the completion of continuous service and having ten-year contractual terms. These option awards typically provide for accelerated vesting if there is a change in control (as defined in the Plans). The Company has registered all shares of common stock that are issuable under its Plans with the SEC. A total of 1,091,438 shares remained available for awards under the various Plans as of September 30, 2021. On July 8, 2020, the Company’s board of directors approved the grant of options to purchase 300,000 1.67 75,000 225,000 The fair value of each option award is estimated on the date of grant using a Black-Scholes option valuation model. Activity in the various Plans during the nine months ended September 30, 2021: SUMMARY OF STOCK OPTIONS OUTSTANDING Options Number of Shares Weighted Average Exercise Price Outstanding at December 31, 2020 838,313 $ 3.20 Granted 300,000 1.67 Exercised — — Forfeited (46,875 ) (12.13 ) Outstanding at September 30, 2021 1,091,438 $ 2.39 Exercisable at September 30, 2021 866,438 $ 2.58 The fair value of each option award is estimated on the date of grant using a Black-Scholes option valuation model. The total estimated grant date fair value stock options issued during the nine months ended September 30, 2021 was $ 466,831 . Following are certain estimates and assumptions utilized as of the issuance date to determine the grant-date fair value of the stock options issued during 2021: SCHEDULE OF STOCK OPTION PLANS BY FAIR VALUE ASSUMPTION Volatility – range 113.47 % Risk-free rate 1.3 % Contractual term 10.0 years Exercise price $ 1.67 The Plans allow for the cashless exercise of stock options. This provision allows the option holder to surrender/cancel options with an intrinsic value equivalent to the purchase/exercise price of other options exercised. There were no shares surrendered pursuant to cashless exercises during the nine months ended September 30, 2021 and 2020. The aggregate intrinsic value of options outstanding was $- 0 -, and the aggregate intrinsic value of options exercisable was $- 0 - at September 30, 2021 and December 31, 2020. As of September 30, 2021, the unrecognized portion of stock compensation expense on all existing stock options was $ 350,123 . The following table summarizes the range of exercise prices and weighted average remaining contractual life for outstanding and exercisable options under the Company’s option plans as of September 30, 2021: SCHEDULE OF SHARES AUTHORIZED UNDER STOCK OPTION PLANS BY EXERCISE PRICE RANGE Outstanding options Exercisable options Exercise price range Number of options Weighted average remaining contractual life Number of options Weighted average remaining contractual life $ 0.01 to $ 2.49 715,000 8.8 years 490,000 8.4 years $ 2.50 to $ 3.49 310,313 6.6 years 310,313 6.6 years $ 3.50 to $ 4.49 45,750 3.4 years 45,750 3.4 years $ 4.50 to $ 6.99 15,000 0.3 years 15,000 0.3 years $ 7.00 to $ 9.52 5,375 0.1 years 5,375 0.1 years 1,091,438 7.8 years 866,438 7.3 years Restricted stock grants. A summary of all restricted stock activity under the equity compensation plans for the nine months ended September 30, 2021 is as follows: SUMMARY OF RESTRICTED STOCK ACTIVITY Number of Restricted shares Weighted average grant date fair value Nonvested balance, December 31, 2020 720,125 $ 1.69 Granted 856,000 2.07 Vested (505,250 ) (1.95 ) Forfeited (7,500 ) (1.08 ) Nonvested balance, September 30, 2021 1,063,375 $ 1.87 The Company estimated the fair market value of these restricted stock grants based on the closing market price on the date of grant. As of September 30, 2021, there were $ 1,354,329 of total unrecognized compensation costs related to all remaining non-vested restricted stock grants, which will be amortized over the next 60 months in accordance with their respective vesting scale. The nonvested balance of restricted stock vests as follows: SCHEDULE OF NON- VESTED BALANCE OF RESTRICTED STOCK Years ended Number of shares 2021 (October 1, 2021 through December 31, 2021) 6,000 2022 585,375 2023 358,000 2024 54,000 2025 30,000 2026 30,000

COMMON STOCK PURCHASE WARRANTS

COMMON STOCK PURCHASE WARRANTS	9 Months Ended
	Sep. 30, 2021
Common Stock Purchase Warrants
COMMON STOCK PURCHASE WARRANTS	NOTE 12. COMMON STOCK PURCHASE WARRANTS The Company has issued common stock purchase warrants in conjunction with various debt and equity issuances. The warrants are either immediately exercisable, or have a delayed initial exercise date, no more than six months from their respective issue date and allow the holders to purchase up to 26,808,598 shares of common stock at $ 2.60 to $ 5.00 per share as of September 30, 2021. The warrants expire from December 30, 2021 through September 18, 2026 and under certain circumstances allow for cashless exercise. On January 14, 2021 and February 1, 2021, the Company issued warrants to purchase a total of 42,550,000 shares of Common Stock. The warrant terms provide for net cash settlement outside the control of the Company under certain circumstances in the event of tender offers. As such, the Company is required to treat these warrants as derivative liabilities which are valued at their estimated fair value at their issuance date and at each reporting date with any subsequent changes reported in the consolidated statements of operations as the change in fair value of warrant derivative liabilities. Furthermore, the Company revalues the fair value of warrant derivative liability as of the date the warrant is exercised with the resulting warrant derivative liability transitioned to equity. On August 19, 2021, the Company entered into a Warrant Exchange Agreement (the “Exchange Agreement”) with the Investors cancelling February Warrants exercisable for an aggregate of 7,681,540 7,681,540 6,618,460 3.25 The Company has utilized the following assumptions in its Black-Scholes option valuation model to calculate the estimated fair value of the warrant derivative liabilities as of their date of issuance and as of September 30, 2021: SCHEDULE OF FAIR VALUE OF THE WARRANT DERIVATIVE LIABILITIES Issuance date assumptions September 30, 2021 assumptions Volatility - range 106.6 – 166.6 % 105.2 % Risk-free rate 0.08 - 0.49 % 0.98 % Dividend 0 % 0 % Remaining contractual term 0.01 - 5 years 4.3 5 years Exercise price $ 2.80 - 3.25 $ 3.25 Common stock issuable under the warrants 42,550,000 24,300,000 During the nine months ended September 30, 2021, holders of pre-funded warrants exercised a total of 18,250,000 warrants which were fair valued at $ 1,817,549 at their date of issuance and recorded as a derivative warrant liability. On the date of exercise such pre-funded warrants were fair valued at zero, which was transitioned to permanent equity during the nine months ended September 30, 2021. The Company reported the $ 1,817,549 change in fair value from their issuance date to their exercise date in the condensed statements of operations as the change in fair value of warrant derivative liabilities. The following table summarizes information about shares issuable under warrants outstanding during the nine months ended September 30, 2021: SUMMARY OF WARRANT ACTIVITY Warrants Weighted average exercise price Vested Balance, January 1, 2021 3,388,364 $ 6.24 Granted 42,550,000 3.11 Exercised (18,250,000 ) 2.92 Cancelled (879,766 ) 13.43 Vested Balance, September 30, 2021 26,808,598 $ 3.29 The total intrinsic value of all outstanding warrants aggregated $- 0 - as of September 30, 2021 and the weighted average remaining term is 52.2 months. The following table summarizes the range of exercise prices and weighted average remaining contractual life for outstanding and exercisable warrants to purchase common shares as of September 30, 2021: SUMMARY OF RANGE OF EXERCISE PRICES AND WEIGHTED AVERAGE REMAINING CONTRACTUAL LIFE OF WARRANTS Outstanding and exercisable warrants Exercise price Number of warrants Weighted average remaining contractual life $ 2.60 465,712 1.8 years $ 3.00 316,800 1.5 years $ 3.25 24,300,000 4.7 years $ 3.36 733,333 1.2 years $ 3.65 167,000 0.7 years $ 3.75 25,753 0.9 years $ 5.00 800,000 0.2 years 26,808,598 4.4 years

STOCKHOLDERS_ EQUITY

STOCKHOLDERS’ EQUITY	9 Months Ended
	Sep. 30, 2021
Equity [Abstract]
STOCKHOLDERS’ EQUITY	NOTE 13. STOCKHOLDERS’ EQUITY Registered Direct Offerings On January 14, 2021, the Company consummated a registered direct offering (the “Offering”) of (i) 2,800,000 shares of common stock (“Shares”), (ii) pre-funded warrants to purchase up to 7,200,000 shares of Common Stock (the “Pre-Funded Warrants”), issuable to investors whose purchase of shares of Common Stock would otherwise result in such investor, together with its affiliates and certain related parties, beneficially owning more than 4.99% (or, at the election of the holder, 9.99%) of the Company’s outstanding Common Stock immediately following the consummation of the Registered Offering (“Pre-Funded Warrants”); and (iii) common stock purchase warrants (“Warrants”) to purchase up to an aggregate of 10,000,000 shares of Common Stock (the “Warrant Shares”), which are exercisable for a period of five years after issuance at an initial exercise price $ 3.25 per share, subject to certain adjustments, as provided in the Warrants. The Offering was conducted pursuant to a placement agency agreement, dated January 12, 2021, between the Company and Kingswood Capital Markets, division of Benchmark Investments, Inc., who acted as the exclusive placement agent in connection with the Offering pursuant to a placement agency agreement. The Shares and accompanying Warrants in the Offering were sold at a combined offering price of $ 3.095 per Share and accompanying Warrant and the Pre-Funded Warrants and accompanying Warrants in the Offering were sold at a combined offering price of $ 3.085 per Pre-Funded Warrant and accompanying Warrant. The securities in the Offering were issued pursuant to a prospectus supplement to the Company’s effective shelf registration statement on Form S-3 (File No. 333-239419). The placement agency agreement contained customary representations, warranties and agreements by the Company, customary conditions to closing, indemnification obligations of the Company and the placement agent. The placement agent received discounts and commissions of six percent ( 6 %) of the gross cash proceeds received by the Company from the sale of the securities sold in the Offering and certain expenses. Under the placement agency agreement, the Company and its officers and directors executed lock-up agreements whereby, subject to certain expectations, (a) the Company has agreed not to engage in the following for a period of 90 days from the date of the pricing of the Offering, (i) offer, pledge, sell, contract to sell, sell any option or contract to purchase, purchase any option or contract to sell, grant any option, right or warrant to purchase, lend, or otherwise transfer or dispose of, directly or indirectly, any shares of capital stock of the Company or any securities convertible into or exercisable or exchangeable for shares of capital stock of the Company; (ii) file or cause to be filed any registration statement with the SEC relating to the offering of any shares of capital stock of the Company or any securities convertible into or exercisable or exchangeable for shares of capital stock of the Company; (iii) complete any offering of debt securities of the Company, or (iv) enter into any swap or other arrangement that transfers to another, in whole or in part, any of the economic consequences of ownership of capital stock of the Company. Further, pursuant to the terms of the Securities Purchase Agreement the Company has granted to the Investors, for a period of 12 months after the closing of the Offering, the right to participate in subsequent offerings by the Company of Common Stock and Common Stock equivalents in an amount up to 50 % of the amount of each such subsequent offering, on the same terms, conditions and price provided for in such subsequent offering. The Company received approximately $ 28,941,000 ($ 29,013,000 upon full exercise of the prefunded warrants) in net proceeds from the Offering after deducting the discounts, commissions, and other estimated offering expenses payable by the Company. As of September 30, 2021, all pre-funded warrants have been fully exercised. The Company plans to use the net proceeds from the Offering for working capital, product development, order fulfillment and for general corporate purposes. The Company received net proceeds from this offering as follows: SCHEDULE OF NET PROCEEDS FROM OFFERING Description Amount Net proceeds received: Proceeds from the sale of 2,800,000 shares of Common Stock at $ 3.095 per share $ 8,666,000 Proceeds from the sale of pre-funded warrants to purchase 7,200,000 shares of Common Stock at $ 3.085 per share 22,212,000 Less: Placement agent fees and other expenses of the offering (1,937,000 ) Net proceeds of the offering $ 28,941,000 In conjunction with this Offering, the Company issued prefunded Common Stock purchase warrants to purchase up to 7,200,000 shares Common Stock at $ 3.095 per share ($ 3.085 prefunded at closing) and Common Stock purchase warrants to purchase up to 10,000,000 shares of Common Stock at $ 3.25 per share. The underlying warrant terms provide for net cash settlement outside the control of the Company under certain circumstances in the event of tender offers. As such, the Company is required to treat these warrants as derivative liabilities which are valued at their estimated fair value at their issuance date and at each reporting date with any subsequent changes reported in the consolidated statements of operations as the change in fair value of warrant derivative liabilities. Accordingly, the Company allocated a portion of the net proceeds of this offering to warrant derivative liabilities based on their estimated fair value as follows (See Notes 4 and 11): SCHEDULE OF NET PROCEEDS FROM OFFERING Description Amount Warrant derivative liabilities $ 21,922,158 Pre-funded warrant derivative liabilities 378,615 Total allocation of the net proceeds of the offering to warrant derivative liabilities $ 22,300,773 Registered Direct Offering On February 1, 2021, the Company consummated an registered direct offering (the “Second Offering”) of (i) 3,250,000 shares of common stock (“Shares”), (ii) pre-funded warrants to purchase up to 11,050,000 shares of Common Stock (the “Pre-Funded Warrants”), issuable to investors whose purchase of shares of Common Stock would otherwise result in such investor, together with its affiliates and certain related parties, beneficially owning more than 4.99% (or, at the election of the holder, 9.99%) of the Company’s outstanding Common Stock immediately following the consummation of the Registered Offering (“Pre-Funded Warrants”); and (iii) common stock purchase warrants (“Warrants”) to purchase up to an aggregate of 14,300,000 shares of Common Stock (the “Warrant Shares”), which are exercisable for a period of five years after issuance at an initial exercise price $ 3.25 per share, subject to certain adjustments, as provided in the Warrants. The Second Offering was conducted pursuant to a placement agency agreement, dated January 28, 2021, between the Company and Kingswood Capital Markets, division of Benchmark Investments, Inc., who acted as the exclusive placement agent in connection with the Second Offering pursuant to a placement agency agreement. The Shares and accompanying Warrants in the Second Offering were sold at a combined offering price of $ 2.80 per Share and accompanying Warrant and the Pre-Funded Warrants and accompanying Warrants in the Offering were sold at a combined offering price of $ 2.79 per Pre-Funded Warrant and accompanying Warrant. The securities in the Second Offering were issued pursuant to a prospectus supplement to the Company’s effective shelf registration statement on Form S-3 (File No. 333-239419). The placement agency agreement contained customary representations, warranties and agreements by the Company, customary conditions to closing, indemnification obligations of the Company and the placement agent. The placement agent received discounts and commissions of six percent ( 6 %) of the gross cash proceeds received by the Company from the sale of the securities sold in the Second Offering and certain expenses. Under the placement agency agreement, the Company and its officers and directors executed lock-up agreements whereby, subject to certain exceptions, (a) the Company has agreed not to engage in the following for a period of 90 days from the date of the pricing of the Offering, (i) offer, pledge, sell, contract to sell, sell any option or contract to purchase, purchase any option or contract to sell, grant any option, right or warrant to purchase, lend, or otherwise transfer or dispose of, directly or indirectly, any shares of capital stock of the Company or any securities convertible into or exercisable or exchangeable for shares of capital stock of the Company; (ii) file or cause to be filed any registration statement with the SEC relating to the offering of any shares of capital stock of the Company or any securities convertible into or exercisable or exchangeable for shares of capital stock of the Company; (iii) complete any offering of debt securities of the Company, or (iv) enter into any swap or other arrangement that transfers to another, in whole or in part, any of the economic consequences of ownership of capital stock of the Company. Further, pursuant to the terms of the Securities Purchase Agreement the Company has granted to the Investors, for a period of 12 months after the closing of the Second Offering, the right to participate in subsequent offerings by the Company of Common Stock and Common Stock equivalents in an amount up to 50 % of the amount of each such subsequent offering, on the same terms, conditions and price provided for in such subsequent offering. The Company received approximately $ 37,447,100 ($ 37,557,600 upon full exercise of the prefunded warrants) in net proceeds from the Second Offering after deducting the discounts, commissions, and other estimated offering expenses payable by the Company. As of September 30, 2021, all pre-funded warrants have been fully exercised. The Company plans to use the net proceeds from the Second Offering for working capital, product development, order fulfillment and for general corporate purposes. The Company received net proceeds from this offering as follows: SCHEDULE OF NET PROCEEDS FROM OFFERING Description Amount Net proceeds received: Proceeds from the sale of 3,250,000 shares of Common Stock at $ 2.80 per share $ 9,100,000 Proceeds from the sale of pre-funded warrants to purchase 11,050,000 shares of 2.79 per share 30,829,500 Less: Placement agent fees and other expenses of the offering (2,482,400 ) Net proceeds of the offering $ 37,447,100 In conjunction with this Offering, the Company issued prefunded Common Stock purchase warrants to purchase up to 11,050,000 Shares Common Stock at $2.80 per share ($ 2.79 prefunded at closing) and Common Stock purchase warrants to purchase up to 14,300,000 shares of Common Stock at $ 3.25 per share. The underlying warrant terms provide for net cash settlement outside the control of the Company under certain circumstances in the event of tender offers. As such, the Company is required to treat these warrants as derivative liabilities which are valued at their estimated fair value at their issuance date and at each reporting date with any subsequent changes reported in the consolidated statements of operations as the change in fair value of warrant derivative liabilities. Accordingly, the Company allocated a portion of the net proceeds of this offering to warrant derivative liabilities based on their estimated fair value as follows (See Notes 4 and 11): SCHEDULE OF NET PROCEEDS FROM OFFERING Description Amount Warrant derivative liabilities $ 27,476,352 Pre-funded warrant derivative liabilities 1,438,934 Total allocation of the net proceeds of the offering to warrant derivative liabilities $ 28,915,286 2021 Issuance of Restricted Common Stock. On January 7, 2021, the board of directors approved the grant of 450,000 shares of common stock to officers of the Company. Such shares will generally vest one-half on January 7, 2022 and one half on January 7, 2023, provided that each grantee remains an officer or employee on such dates . On September 20, 2021, the board of directors approved the grant of 406,000 shares of common stock to employees of the Company. A total of 26,000 380,000 5 Issuance of Common Stock as Consideration for the TicketSmarter Acquisition. On September 2, 2021, the Company issued a total of 719,738

NET INCOME (LOSS) PER SHARE

NET INCOME (LOSS) PER SHARE	9 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
NET INCOME (LOSS) PER SHARE	NOTE 14. NET INCOME (LOSS) PER SHARE The calculation of the weighted average number of shares outstanding and income (loss) per share outstanding for the three and nine months ended September 30, 2020 and 2019 are as follows: SCHEDULE OF WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING AND LOSS PER SHARE OUTSTANDING 2021 2020 2021 2020 Three Months Ended September 30, Nine months ended September 30, 2021 2020 2021 2020 Numerator for basic and diluted income per share – Net income (loss) attributable to common stockholders $ 8,068,799 $ 527,442 $ 24,408,170 $ (2,304,562 ) Denominator for basic loss per share – weighted average shares outstanding 51,809,435 26,613,109 49,404,794 19,861,694 Dilutive effect of shares issuable under stock options outstanding — 14,832 — — Dilutive effect of shares issuable under common stock purchase warrants and convertible debt outstanding — — — — Denominator for diluted income (loss) per share – adjusted weighted average shares outstanding 51,809,435 26,627,941 49,404,794 19,861,694 Net income (loss) per share attributable to common stockholders: Basic $ 0.16 $ 0.02 $ 0.49 $ (0.12 ) Diluted $ 0.16 $ 0.02 $ 0.49 $ (0.12 ) Basic income (loss) per share is based upon the weighted average number of common shares outstanding during the period. For the three and nine months ended September 30, 2021 and 2020, all shares issuable upon conversion of convertible debt and the exercise of outstanding stock options and warrants were antidilutive, and, therefore, not included in the computation of diluted income (loss) per share.

DIGITAL ALLY HEALTHCARE VENTURE

DIGITAL ALLY HEALTHCARE VENTURE	9 Months Ended
	Sep. 30, 2021
Digital Ally Healthcare Venture
DIGITAL ALLY HEALTHCARE VENTURE	NOTE 15. DIGITAL ALLY HEALTHCARE VENTURE On June 4, 2021, Digital Ally Healthcare, a wholly-owned subsidiary of the Company, entered into a venture with Nobility LLC (“Nobility”), an eight-year old revenue cycle management (“RCM”) company servicing the medical industry, to form Nobility Healthcare, LLC (“Nobility Healthcare”). Digital Ally Healthcare is capitalizing the venture with $ 13.5 million to support the venture’s business strategy to make acquisitions of RCM companies. Digital Ally Healthcare owns 51% of the venture that entitles it to 51% of the distributable cash as defined in the venture’s operating agreement plus a cumulative preferred return of 10% per annum on its invested capital. Nobility will receive a management fee and 49% of the distributable cash, subordinated to Digital Ally Healthcare’s preferred return . On June 30, 2021, Nobility Healthcare completed the acquisition of a private medical billing company (the “Healthcare Acquisition”). In accordance with the stock purchase agreement, Nobility Healthcare agreed to a non-refundable initial payment (the “Initial Payment Amount”) of $ 850,000 . In addition to the Initial Payment Amount, Nobility Healthcare agreed to issue a promissory note to the stockholders of the Healthcare Acquisition in the principal amount of $ 350,000 that is subject to an earn-out adjustment. Lastly, included in the agreement, Nobility Healthcare agreed to pay in full the balance due under a promissory note issued by the selling shareholders prior to this agreement, including the principal and accrued interest, totaling $ 162,552 at the closing date. The Company anticipates the earn-out to be paid in full, therefore, the total aggregate purchase price of Elite was determined to be approximately $ 1,376,509 . The total acquisition related costs of the Healthcare Acquisition aggregated $ 164,630 , which was expensed as incurred. Subsequent to the acquisition date, the Company received further information regarding the pursed assets and assumed liabilities. As a result, the initial allocation of the purchase price was adjusted by increasing accounts receivable by $ 75,000 The Company accounts for business combinations using the acquisition method. Under the acquisition method, the purchase price of the Healthcare Acquisition has been allocated to the acquired tangible and identifiable intangible assets and assumed liabilities based on their estimated fair values at the time of the Healthcare Acquisition. This allocation involves a number of assumptions, estimates, and judgments that could materially affect the timing or amounts recognized in our financial statements. The acquisition was structured as stock purchase, therefore the excess purchase price over the fair value of net tangible assets acquired was recorded as goodwill, which will not be amortized for income tax filing purposes. The results of operations of acquired businesses are included in the consolidated financial statements from the acquisition date. The purchase price of the Healthcare Acquisition was allocated to the tangible assets, identifiable intangible assets, and assumed liabilities based on their estimated fair values at the time of the Healthcare Acquisition. The preliminary fair value of assets acquired and liabilities assumed in the Healthcare Acquisition were as follows: SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS AD LIABILITIES ASSUMED Description Amount Assets acquired: Tangible assets acquired, including $ 13,957 $ 88,957 Goodwill 1,125,000 Liabilities assumed consisting of a promissory note issued by the Selling shareholders 162,552 Total assets acquired and liabilities assumed $ 1,376,509 Consideration: Cash paid at Healthcare Acquisition date $ 1,026,509 Contingent consideration 350,000 Total Healthcare Acquisition purchase price $ 1,376,509 On August 31, 2021, Nobility Healthcare completed the acquisition of another private medical billing company (the “Medical Billing Acquisition”). In accordance with the stock purchase agreement, Nobility Healthcare agreed to a non-refundable initial payment (the “Initial Payment Amount”) of $ 2,270,000 . In addition to the Initial Payment Amount, Nobility Healthcare agreed to issue a promissory note to the stockholders of the Medical Billing Acquisition in the principal amount of $ 650,000 that is subject to an earn-out adjustment. The Company anticipates the earn-out to be paid in full, therefore, the total aggregate purchase price of the Medical Billing Acquisition was determined to be approximately $ 2,920,000 . The total acquisition related costs of the Medical Billing Acquisition aggregated $ 5,602 , which was expensed as incurred. The Company accounts for business combinations using the acquisition method. Under the acquisition method, the purchase price of the Medical Billing Acquisition has been allocated to the acquired tangible and identifiable intangible assets and assumed liabilities based on their estimated fair values at the time of the Medical Billing Acquisition. This allocation involves a number of assumptions, estimates, and judgments that could materially affect the timing or amounts recognized in our financial statements. The acquisition was structured as stock purchase, therefore the excess purchase price over the fair value of net tangible assets acquired was recorded as goodwill, which will not be amortized for income tax filing purposes. The results of operations of acquired businesses are included in the consolidated financial statements from the acquisition date. The purchase price of the Medical Billing Acquisition was allocated to the tangible assets, identifiable intangible assets, and assumed liabilities based on their estimated fair values at the time of the Medical Billing Acquisition. The preliminary fair value of assets acquired, and liabilities assumed in the Medical Billing Acquisition were as follows: SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ACQUISITION Description Amount Assets acquired: Tangible assets acquired $ 202,901 Goodwill 2,920,000 Liabilities assumed pursuant to stock purchase agreement (202,901 ) Total assets acquired and liabilities assumed $ 2,920,000 Consideration: Cash paid at acquisition date $ 2,270,000 Contingent consideration 650,000 Total acquisition purchase price $ 2,920,000

TICKETSMARTER ACQUISTION

TICKETSMARTER ACQUISTION	9 Months Ended
	Sep. 30, 2021
Business Combination and Asset Acquisition [Abstract]
TICKETSMARTER ACQUISTION	NOTE 16. TICKETSMARTER ACQUISTION On September 1, 2021, Digital Ally, Inc. formed TicketSmarter, Inc. (“TicketSmarter”), through which the Company completed the acquisition of Goody Tickets, LLC, a Kansas limited liability company (“Goody Tickets”) and TicketSmarter, LLC, a Kansas limited liability company (“TicketSmarter LLC”), collectively the “TicketSmarter Acquisition”. In accordance with the stock purchase agreement, the Company agreed to an initial payment (the “Initial Payment Amount”) of $ 9,403,600 through a combination of cash and common stock. In addition to the Initial Payment Amount, the Company agreed to issue an earn-out agreement to the stockholders of Goody Tickets and TicketSmarter LLC in the contingent amount of $ 4,244,400 that is subject to an earn-out adjustment based on actual EBITDA achieved in 2021. Lastly, included in the agreement, the Company agreed to place $ 500,000 in escrow, subject to a working capital adjustment based on actual working capital amounts on the acquisition date as defined in the agreement, this amount was subject to disbursement 45 days following the close of the acquisition. The parties completed the working capital adjustment resulting in the Company retaining $ 297,726 202,274 13,850,274 . The total acquisition related costs of the TicketSmarter Acquisition aggregated $ 40,625 , which was expensed as incurred. The Company accounts for business combinations using the acquisition method. Under the acquisition method, the purchase price of the TicketSmarter Acquisition has been allocated to Goody Tickets’ and TicketSmarter LLC’s acquired tangible and identifiable intangible assets and assumed liabilities based on their estimated fair values at the time of the TicketSmarter Acquisition. This allocation involves a number of assumptions, estimates, and judgments that could materially affect the timing or amounts recognized in our financial statements. The TicketSmarter Acquisition was structured as a stock purchase, however the parties agreed to coordinate the election to invoke IRS Section 338(h)(10) relative to this transaction for tax purposes. Therefore, the excess purchase price over the fair value of net tangible assets acquired was recorded as goodwill, which will be amortized over 15 years for income tax filing purposes. The results of operations of acquired businesses are included in the consolidated financial statements from the acquisition date. The purchase price of the TicketSmarter Acquisition was allocated to Goody Tickets’ and TicketSmarter LLC’s tangible assets, goodwill, identifiable intangible assets, and assumed liabilities based on their estimated fair values at the time of the TicketSmarter Acquisition. The preliminary fair value of assets acquired, and liabilities assumed in the TicketSmarter Acquisition were as follows: SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ASSUMED IN THE TICKET SMARTER ACQUISITION Description Amount Assets acquired: Tangible assets acquired, including $ 51,432 $ 7,139,930 Goodwill 11,839,308 Liabilities assumed ( 5,128,964 ) Net assets acquired and liabilities assumed $ 13,850,274 Consideration: Cash paid at TicketSmarter Acquisition date $ 8,413,240 Common stock issued as consideration for TicketSmarter Acquisition at date of acquisition 990,360 Contingent consideration earn-out agreement 4,244,400 Cash paid at closing to escrow amount 500,000 Cash retained from escrow amount pursuant to settlement of working capital target (297,726 ) Total TicketSmarter Acquisition purchase price $ 13,850,274

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Sep. 30, 2021
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 17. RELATED PARTY TRANSACTIONS American Rebel Holding, Inc. Secured Promissory Notes On October 1, 2020, the Company advanced $ 250,000 to American Rebel Holdings, Inc. (AREB) under a secured promissory note. The CEO, President and Chairman of AREB is the brother of the Company’s CEO, President and Chairman. Such note bears interest at 8 % and is secured by all the tangible and intangible assets of the Company that are not currently secured by other indebtedness. The Company also received warrants to purchase 1,250,000 shares of AREB common stock at an exercise price of $ 0.10 per share with a five-year term . This note had an original maturity date of January 2, 2021 ; however, additional provisions within the note provided for an extension of the maturity date for fourteen months due to AREB’s failure to raise $300,000 in new debt or equity financing prior to the original maturity date. Upon this extension, the AREB was obligated to make equal monthly payments of principal and interest over the extended period of the note. On October 21, 2020, the Company advanced $ 250,000 to AREB under a second secured promissory note. Such note bears interest at 8 % and is secured by inventory manufactured and revenue/accounts receivable derived from a specific purchase order. The Company also received warrants to purchase 1,250,000 shares of AREB common stock at an exercise price of $ 0.10 per share with a five-year term . April 21, 2021 , subject to full repayment upon AREB closing on debt or equity financings of at least $600,000, and the receipt of revenue from the sale of inventory sold under the specific purchase order serving as collateral. On March 1, 2021, the Company advanced an additional $ 117,600 to AREB on terms similar to the previously issued notes. On April 21, 2021, the parties agreed to the terms of a Debt Settlement Agreement and Mutual Release regarding the following: (a) the secured promissory note dated October 1, 2020; (b) the secured promissory note dated October 21, 2020; and (c) an advance made by the Company on March 1, 2021. The parties arranged for a lump sum payment aggregating $ 639,956 to liquidate all outstanding debt including accrued interest for the two delinquent notes and the advance which lump-sum payment was made on April 21, 2021. ************************************* This quarterly report on Form 10-Q (the “Report”) of Digital Ally, Inc. (the “Company”, “we”, “us”, or “our”) contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The words “believe,” “expect,” “anticipate,” “intend,” “estimate,” “may,” “should,” “could,” “will,” “plan,” “future,” “continue,” and other expressions that are predictions of or indicate future events and trends and that do not relate to historical matters identify forward-looking statements. These forward-looking statements are based largely on our expectations or forecasts of future events, can be affected by inaccurate assumptions, and are subject to various business risks and known and unknown uncertainties, a number of which are beyond our control. Therefore, actual results could differ materially from the forward-looking statements contained in this document, and readers are cautioned not to place undue reliance on such forward-looking statements. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. A wide variety of factors could cause or contribute to such differences and could adversely impact revenues, profitability, cash flows and capital needs. There can be no assurance that the forward-looking statements contained in this document will, in fact, transpire or prove to be accurate. Factors that could cause or contribute to our actual results differing materially from those discussed herein or for our stock price to be adversely affected include, but are not limited to: (1) our losses in recent years, including during fiscal 2020 and 2019; (2) economic and other risks for our business from the effects of the COVID-19 pandemic, including the impacts on our law-enforcement and commercial customers, suppliers and employees and on our ability to raise capital as required; (3) our ability to increase revenues, increase our margins and return to consistent profitability in the current economic and competitive environment; (4) our operation in developing markets and uncertainty as to market acceptance of our technology and new products; (5) the availability of funding from federal, state and local governments to facilitate the budgets of law enforcement agencies, including the timing, amount and restrictions on such funding; (6) our ability to deliver our new product offerings as scheduled in 2020, such as the Shield™ disinfectant/sanitizers products and ThermoVU ® Current Trends and Recent Developments for the Company Overview We supply technology-based products utilizing our portable digital video and audio recording capabilities for the law enforcement and security industries and for the commercial fleet and mass transit markets. We have the ability to integrate electronic, radio, computer, mechanical, and multi-media technologies to create positive solutions to our customers’ requests. Our products include: the DVM-800 and DVM-800 Lite, which are in-car digital video mirror systems for law enforcement; the FirstVU and the FirstVU HD, which are body-worn cameras; our patented and revolutionary VuLink product, which integrates our body-worn cameras with our in-car systems by providing hands-free automatic activation for both law enforcement and commercial markets; the DVM-250 and DVM-250 Plus, which are our commercial line of digital video mirrors that serve as “event recorders” for the commercial fleet and mass transit markets; and FleetVU and VuLink, which are our cloud-based evidence management systems. We introduced the EVO-HD product in the second quarter of 2019 and began full-scale deliveries in the third quarter 2019, which continued through 2020 and into 2021. The EVO-HD is designed and built on a new and highly advanced technology platform that will become the platform for a new family of in-car video solution products for the law enforcement and commercial markets. We believe that the launch of these new products will help to reinvigorate our in-car and body-worn systems revenues while diversifying and broadening the market for our product offerings. Additionally, we introduced two new lines of branded products: (1) the ThermoVu ® We experienced operating losses for the first, second, and third quarters of 2021 and all quarters during 2020. The following is a summary of our recent operating results on a quarterly basis: September 30, 2021 June 30, 2021 March 31, 2021 December 31, 2020 September 30, 2020 Total revenue $ 4,639,822 $ 2,493,671 $ 2,535,829 $ 2,798,291 $ 3,558,640 Gross profit (loss) 1,400,570 1,260,800 811,882 1,182,160 1,222,648 Gross profit margin % 30.2 % 50.6 % 32.0 % 43.0 % 34.1 % Total selling, general and administrative expenses 4,999,543 3,877,684 3,677,575 2,931,334 3,066,606 Operating loss (3,598,973 ) (2,616,884 ) (2,865,693 ) (1,749,174 ) (1,843,958 ) Operating loss % (77.6 )% (105.0 )% (113.0 )% (63.2 )% (51.4 )% Net income (loss) attributable to common stockholders $ 8,068,799 $ (5,382,487 ) $ 21,721,858 $ (321,318 ) $ 527,442 Our business is subject to substantial fluctuations on a quarterly basis as reflected in the significant variations in revenues and operating results in the above table. These variations result from various factors, including but not limited to: (1) the timing of large individual orders; (2) the traction gained by products, such as the recently released EVO HD, the ThermoVU ® Off-Balance Sheet Arrangements We do not have any off-balance sheet debt, nor did we have any transactions, arrangements, obligations (including contingent obligations) or other relationships with any unconsolidated entities or other persons that may have a material current or future effect on financial conditions, changes in the financial conditions, results of operations, liquidity, capital expenditures, capital resources, or significant components of revenue or expenses other than the following: We are a party to operating leases and license agreements that represent commitments for future payments (described in Note 8, “Operating Leases,” to our condensed consolidated financial statements) and we have issued purchase orders in the ordinary course of business that represent commitments to future payments for goods and services. For the Three Months Ended September 30, 2021 and 2020 Results of Operations Summarized immediately below and discussed in more detail in the subsequent sub-sections is an analysis of our operating results for the three months ended September 30, 2021 and 2020, represented as a percentage of total revenues for each respective year: Three months ended September 30, 2021 2020 Revenue 100 % 100 % Cost of revenue 70 % 66 % Gross profit 30 % 34 % Selling, general and administrative expenses: Research and development expense 11 % 11 % Selling, advertising and promotional expense 33 % 22 % General and administrative expense 65 % 52 % Total selling, general and administrative expenses 108 % 85 % Operating loss (78 )% (51 )% Change in fair value of proceeds investment agreement — % 66 % Change in fair value of derivative liabilities 250 % — % Other income and interest expense, net 2 % — % Income before income tax benefit 173 % 15 % Income tax (provision) — % — % Net income 173 % 15 % Net loss attributable to noncontrolling interests of consolidated subsidiary 1 % — % Net income (loss) attributable to common stockholders 174 % 15 % Net income (loss) per share attributable to common stockholders information: Basic $ 0.16 $ 0.02 Diluted $ 0.16 $ 0.02 Revenues We sell our video recording products and services to law enforcement and commercial customers in the following manner: ● Product sales to domestic customers are made direct to the end customer (typically a law enforcement agency or a commercial customer) through its sales force, which is composed of its employees. Revenue is recorded when the product is shipped to the end customer. ● Product sales to international customers are made through independent distributors who purchase products from the Company at a wholesale price and sell to the end user (typically law enforcement agencies or a commercial customer) at a retail price. The distributor retains the margin as its compensation for its role in the transaction. The distributor generally maintains product inventory, customer receivables and all related risks and rewards of ownership. Accordingly, upon application of steps one through five above, revenue is recorded when the product is shipped to the distributor consistent with the terms of the distribution agreement. ● Repair parts and services for domestic and international customers are generally handled by its inside customer service employees. Revenue is recognized upon shipment of the repair parts and acceptance of the service or materials by the end customer. ● Service sales through Nobility Healthcare are driven through relationships with medium to large healthcare organizations, in which revenue is recognized upon execution of services. Through TicketSmarter, service sales are driven largely in part to the usage of the TicketSmarter.com marketplace by buyers and sellers, in which the Company collects service fees for each transaction. We may discount our prices on specific orders based upon the size of the order, the specific customer and the competitive landscape. Nobility Healthcare offers leading-edge revenue cycle management solutions to medium and large healthcare organizations throughout the country. Nobility Healthcare’s customers are spread across a wide range of practices and specialties, including radiology, oncology, orthopedics, pediatrics, internal medicine, and cardiology. TicketSmarter is a ticket resale marketplace with seats offered at over 125,000 live events, with over 48 million tickets for sale through its TicketSmarter.com platform. TicketSmarter is committed to developing meaningful relationships with conferences, teams, and charities across the country. The COVID-19 pandemic had an impact on all of our revenue streams in the third quarter 2021 and we expect it to adversely affect our revenues during the remainder of 2021. The COVID-19 pandemic had a negative impact generally on our legacy products and, in particular our commercial event recorder hardware (DVM-250 Plus) and in-car hardware for law enforcement (DVM-800) during the quarter. The COVID-19 pandemic had a positive impact generally on our new Shield TM ® Revenues for each of the third quarters of 2021 and 2020 were derived from the following sources: Three months ended September 30, 2021 2020 DVM-800 11 % 21 % ThermoVU/Shield 1 % 31 % FirstVu HD 5 % 11 % Cloud service revenue 6 % 6 % Extended warranty revenue 6 % — % EVO-HD 4 % 6 % Repair and service 1 % 10 % TicketSmarter sales 12 % — % TicketSmarter TNP sales 33 % — % Nobility Healthcare RCM 10 % — % Nobility Healthcare credentialing and services 2 % — % Accessories and other revenues 9 % 15 % 100 % 100 % Product revenues for the three months ended September 30, 2021 and 2020 were $1,356,454 and $2,958,579 respectively, a decrease of $1,602,125 (54%), due to the following factors: ● The Company generated revenues totaling over $39,075 during the three months ended September 30, 2021 compared to $1,128,849 for the same period in 2020 from its new product lines. Late in the second quarter of 2020, the Company launched two product lines in direct response to the increased safety precautions that organizations and individuals are taking due to the COVID-19 pandemic. ThermoVu ® ® ® The Company began offering the Shield™ line of disinfecting products to its first responder customers including police, fire and paramedics late in the second quarter of 2020. Commercial customers such as cruise lines, taxi-cab and para transit may also be good candidates for the products. The Company is considering enhancing the line of disinfectant products for additional related products including hardware to efficiently and effectively dispense the disinfectants. The Company is hopeful that its law enforcement and commercial customers will adopt this new product offering to combat the spread of the COVID-19 virus as well as other bacteria and viruses. ● In general, we have experienced pressure on our revenues as our in-car and body-worn systems are facing increased competition because our competitors have released new products with advanced features. Additionally, our law enforcement revenues declined during the three months ended September 30, 2021 compared to the same period in 2020,due to price-cutting and competitive actions by our competitors, adverse marketplace effects related to our patent litigation proceedings and our recent financial condition. We introduced our EVO-HD late in the second quarter of 2019 with the goal of enhancing our product line features to meet these competitive challenges and we started to see traction in late 2019 but sales in 2020 were hampered due to the COVID-19 pandemic. We expect customers and potential customers to review and test the EVO-HD prior to committing to this new product platform, all of which has been delayed due to the COVID-19 pandemic. We experienced continued interest in our EVO-HD, which resulted in increased revenues during the third quarter of 2021 and believe that customers are recognizing and are attracted to its advanced features. ● The COVID-19 pandemic has continued to delay the shipment of certain law enforcement orders since the first quarter of 2020 as police forces and governments deal with its impact. In addition, our salesmen were generally unable to meet with and demonstrate our products to our law enforcement customers because of travel and other restrictions imposed by cities and states due to the COVID-19 pandemic. In person demonstration of our products to potential customers is generally important in order to obtain new customers or upgrade existing customers. Our product sales to law enforcement decreased in the third quarter of 2021 compared to the same period in 2020, as the impact of the COVID-19 pandemic continues to impact our business. The COVID-19 pandemic impact remains relevant, as the shipment of commercial orders in the third quarter of 2021 remain slow, as cruise lines, taxi cabs, paratransit and other commercial customers continue to deal with its impact. In addition, our salesmen were generally unable to meet with and demonstrate our products to our commercial customers because of travel and other restrictions imposed by cities and states due to the COVID-19 pandemic. In person demonstration of our products to potential customers is generally required in order to obtain new customers or upgrade existing customers. Our product sales to commercial customers decreased in the third quarter of 2021 compared to the same period in 2020 due to the impact of the COVID-19 pandemic. ● Management has been focusing on migrating customers, from a “hardware sale” to a service fee model. Therefore, we expect a reduction in hardware sales as we convert these customers to a service model under which we provide the hardware as part of a recurring monthly service. In that respect, we introduced in the second quarter of 2020 a monthly subscription plan for our body worn cameras and related equipment that allowed law enforcement agencies to pay a monthly service fee to obtain body worn cameras without incurring a significant upfront capital outlay. We have noticed significant interest and success with this program, as we experienced a vast increase in our subscription contracts during the third quarter of 2021 compared to the same period in 2020. We expect this program to continue to hold traction, resulting in recurring revenues over a span of three to five years. Service and other revenues for the three months ended September 30, 2021 and 2020 were $3,283,368 and $630,061, respectively, which is an increase of $2,653,307 (421%), due to the following factors: ● Cloud revenues were $264,594 and $217,535 for the three months ended September 30, 2021 and 2020, respectively, an increase of $47,059 (22%). We have experienced increased interest in our cloud solutions for law enforcement primarily due to the deployment of our new cloud-based EVO-HD in-car system. However, the fallout from the COVID-19 pandemic and related business shut-downs adversely affected our commercial customers usage of cloud services and offset increases in cloud revenues. ● Revenues from extended warranty services were $298,840 and $322,887 for the three months ended September 30, 2021 and 2020, respectively, which is a decrease of $24,047 (7%). We have many customers that have purchased extended warranty packages, primarily in our DVM-800 premium service program. However, the effects from the COVID-19 pandemic and related restrictions on travel adversely affected our sales of DVM-800 hardware systems resulting in a decrease in their sales over the three months ended September 30, 2021 compared to the same period in 2020. ● Installation service revenues were $22,087 and $51,423 for the three months ended September 30, 2021 and 2020, respectively, which is a decrease of $29,336 (57%). Installation revenues tend to vary more than other service revenue types and are dependent on larger customer implementations. The decrease in installation revenues in the three months ended September 30, 2021 compared to the same period 2020 was attributable to the continued effects related to the COVID-19 pandemic. Additionally, our newer products require less installation services, as the products are further along in the set-up process prior to leaving the warehouse. ● Revenues from building rental income were $143,827 and $-0- for the three months ended September 30, 2021 and 2020, respectively, an increase of $143,827 (100%). The Company completed the purchase of an office/warehouse building in May 2021, in which current tenants were under a lease agreement. The agreement closed August 30, 2021. ● Revenues from TicketSmarter services were $2,050,679 and $-0- for the three months ended September 30, 2021 and 2020, respectively, an increase of $2,050,679 (100%). The Company completed the acquisitions of Goody Tickets, LLC and TicketSmarter, LLC on September 1, 2021, thus resulting in the new revenue stream for the Company. TicketSmarter collects fees on transactions administered through the TicketSmarter.com platform for the buying and selling of tickets for live events throughout the country. This increase reflects just one month of revenues within the new wholly-owned subsidiary, presenting a strong outlook moving forward. ● Revenues from Nobility Healthcare services were $560,484 and $-0- for the three months ended September 30, 2021 and 2020, respectively, an increase of $560,484 (100%). The Company completed the acquisitions of a private medical billing company on June 30, 2021 and another private medical billing company on August 31, 2021, thus resulting in the new revenue stream for the third quarter of 2021 for the Company. Nobility Healthcare provided revenue cycle management solutions and back-office services to healthcare organizations throughout the country. This increase reflects three months of the first acquired medical billing company revenues and just one month of the second acquired medical billing company revenues within the new wholly-owned subsidiary, presenting a strong outlook moving forward. Total revenues for the three months ended September 30, 2021 and 2020 were $4,639,822 and $3,588,640 respectively, an increase of $1,051,182 (29%), due to the reasons noted above. Cost of Revenue Cost of product revenue on units sold for the three months ended September 30, 2021 and 2020 was $1,197,217 and $2,177,676, respectively, a decrease of $980,459 (45%). The decrease in cost of goods sold for products is due to numerous factors in the period during 2020 that were not relevant to the same period in 2021. In the 2020 period, the Company experienced a move to its new warehouse facility, and a significant manufacturing slow down caused by the COVID-19 pandemic causing unfavorable overhead and labor variances for production in the second quarter of 2020, which management had decided to expense as a period cost. For the same period in 2021, the Company did not experience these factors, but further reduced the inventory reserve. Additionally, the decrease in cost of product revenues correlates directly with the decrease in revenues for the three months ended September 30, 2021 compared to the same period in 2020. Cost of service and other revenues for the three months ended September 30, 2021 and 2020 was $2,042,035 and $188,316, respectively, an increase of $1,853,719 (984%). The increase in service and other cost of goods sold is due to the expansion in service revenue streams through the acquisitions, and in particular, the TicketSmarter acquisition, completed during the three months ended September 30, 2021, of which would not be relevant for comparison to the same period in 2020. Our cost of service revenues as a percentage of revenues generated by TicketSmarter and the Nobility Healthcare are at a much higher percentage than our traditional law enforcement/commercial video sales. TicketSmarter and the Nobility Healthcare revenues represented 45% of total revenues for the three months ended September 30, 2021 which resulted in a substantially higher cost of revenues for the three months ended September 30, 2021 compared to the 2020 period. Total cost of sales as a percentage of revenues was 70% for the three months ended September 30, 2021 compared to 66% for the three months ended September 30, 2020. We believe our gross margins will improve during the remainder of 2021 as we increase revenues (in particular service and other revenues), shipping costs moderate and continue to reduce product warranty issues. We had $2,300,019 and $1,960,351 in reserves for obsolete and excess inventories at September 30, 2021 and December 31, 2020, respectively. Total raw materials and component parts were $3,068,418 and $3,186,426 at September 30, 2021 and December 31, 2020, respectively, a decrease of $118,008 (4%). Finished goods balances were $10,827,344 and $6,974,291 at September 30, 2021 and December 31, 2020, respectively, an increase of $3,853,053 (55%). The slight increase in the inventory reserve is primarily due to scrapping of older version inventory component parts that were mostly or fully reserved during the three months ended September 30, 2021. The remaining reserve for inventory obsolescence is generally provided for the level of component parts of the older versions of our PCB boards and the phase out of our DVM-750, DVM-500 Plus and LaserAlly legacy products. We believe the reserves are appropriate given our inventory levels at September 30, 2021. Gross Profit Gross profit for the three months ended September 30, 2021 and 2020 was $1,400,570 and $1,222,648 respectively, an increase of $177,922 (15%). The increase is commensurate with the increase in product and service revenues during the three months ended September 30, 2021 compared to the same period in 2020. Our goal is to improve our margins over the longer-term based on the expected margins of our recent healthcare billing and TicketSmarter acquisitions together with our traditional video business including sales traction from our EVO-HD, DVM-800, VuLink, FirstVU HD, and our cloud evidence storage and management offering if they gain traction in the marketplace and subject to a normalizing economy in the wake of the COVID-19 pandemic. In addition, if revenues from these products increase, we will seek to further improve our margins from them through economies of scale and more efficiently utilizing fixed manufacturing overhead components. We plan to continue our initiative to more efficient management of our supply chain through outsourcing production, quantity purchases and more effective purchasing practices. Lastly, we will continue to seek to further improve our margins through sensible and advantageous acquisitions as evidenced during the three months ended September 30, 2021. Selling, General and Administrative Expenses Selling, general and administrative expenses were $4,999,543 and $3,066,606 for the three months ended September 30, 2021 and 2020, respectively, which is an increase of $1,932,938 (63%). The significant components of selling, general and administrative expenses are as follows: Three months ended September 30, 2021 2020 Research and development expense $ 492,221 $ 405,082 Selling, advertising and promotional expense 1,511,682 789,854 Professional fees and expense 142,726 118,344 Executive, sales, and administrative staff payroll 846,000 506,219 Other 2 ,006,914 1,247 ,107 Total $ 4,999,543 $ 3,066,606 Research and development expense. ® TM Selling, advertising and promotional expenses. Salesman salaries and commissions represent the primary components of these costs and were $405,398 and $336,867 for the three months ended September 30, 2021 and 2020, respectively, which is an increase of $68,531 (20%). The effective commission rate was 8.7% for the three months ended September 30, 2021 compared to 9.4% for the three months ended September 30, 2020. We reduced the number of salesmen in our law enforcement and commercial channels beginning in the first and second quarters of 2020, which had a full effect on the third quarter 2020. In addition, we are utilizing third-party distributors as a major component of our new Shield TM ® Promotional and advertising expenses totaled $1,106,284 during the three months ended September 30, 2021 compared to $452,987 during the three months ended September 30, 2020, which is an increase of $653,297 (144%). The increase is primarily attributable to NASCAR and IndyCar seasons resuming in the 2021, as they were conversely suspended during the same period in 2020. Additionally, trade shows are beginning to take place in the third quarter of 2021, compared to the third quarter of 2020, when they were suspended as a result of the COVID-19 pandemic. Professional fees and expense Executive, sales and administrative staff payroll. Other Operating Loss For the reasons stated above, our operating loss was $3,598,973 and $1,843,957 for the three months ended September 30, 2021 and 2020, respectively, an increase of $1,755,016 (95%). Operating loss as a percentage of revenues worsened to 78% in the three months ended September 30, 2021 from 51% in the same period in 2020. Interest Income Interest income increased to $90,036 for the three months ended September 30, 2021 from $11,339 for the three months ended September 30, 2020, which reflected our higher cash and cash equivalent levels in the third quarter 2021 compared to the third quarter of 2020. The Company completed two registered direct offerings in the first quarter of 2021 which yielded net proceeds of approximately $66.4 million which balances have earned increased interest income when compared to the first quarter of 2020. Additionally, this increase is a result of interest incurred on debt that the Company has issued, as well as interest incurred on leased products. Interest Expense We incurred interest expense of $5,675 and $4,940 during the three months ended September 30, 2021 and 2020, respectively. The increase was attributable to utilizing a portion of the net proceeds from the registered direct offerings to eliminate substantially all interest-bearing debt balances outstanding in the three months ended September 30, 2021 as compared to the same period in 2020. On May 12, 2020, the Company received $150,000 in additional loan funding under the Economic Injury Disaster Loans (“EIDL”) program administered by the Small Business Administration (“SBA”). Under the terms of the EIDL promissory note, interest accrues on the outstanding principal at the rate of 3.75% per annum. The term of the EIDL promissory note is thirty years and monthly principal and interest payments are deferred for twelve months after the date of disbursement and total $731.00 per month thereafter. Additionally, the increase is attributable to the contingent earn-out notes associated with the two Nobility Healthcare acquisitions, currently at a total balance of $1,000,000 between the two notes, with interest rates of 3.00% per annum. Change in Fair Value of Proceeds Investment Agreement We recorded a gain representing the change in fair value of proceeds investment agreement (the “PIA”) totaling $-0- and $2,365,000 during the three months ended September 30, 2021 and 2020, respectively. We elected to account for the PIA that we entered into with Brickell Key Investments LP (“BKI”) in July of 2018 on its fair value basis. Therefore, we determined the fair value of the 2018 PIA as of September 30, 2020, and June 30, 2020 to be $-0- and $3,615,000, respectively. The change in fair value from June 30, 2020 to September 30, 2020 was $3,615,000, which was recognized as a gain in the Condensed Consolidated Statement of Operations for the three months ended September 30, 2020. Change in Fair Value of Short-Term Investments We recognized a loss on change in fair value of short-term investments totaling $21,656 and $-0- during the three months ended September 30, 2021 and 2020, respectively. Such short-term investments are included in cash and cash equivalents as they contain original maturities of ninety (90) days or less. Change in Fair Value of Derivative Liabilities During the first quarter of 2021, the Company issued detachable warrants to purchase a total of 42,550,000 shares of Common Stock in association with the two registered direct offerings previously described. The underlying warrant agreement terms provide for net cash settlement outside the control of the Company in the event of tender offers under certain circumstances. As such, the Company is required to treat these warrants as derivative liabilities which are valued at their estimated fair value at their issuance date and at each reporting date with any subsequent changes reported in the condensed consolidated statement of operations as the change in fair value of warrant derivative liabilities. The change in fair value of the warrant derivative li

NATURE OF BUSINESS AND SUMMAR_2

NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Operations	Nature of Operations : Digital Ally, Inc. (with its wholly-owned subsidiaries, Digital Ally International, Inc., Shield Products, LLC, Digital Ally Healthcare, LLC, TicketSmarter, Inc., and its majority-owned subsidiary Nobility Healthcare, LLC, collectively, “Digital Ally,” “Digital,” and the “Company”) produces digital video imaging, storage products, disinfectant and related safety products for use in law enforcement, security and commercial applications; also offering revenue cycle management solutions, ticket resale marketplace, and ticketing services. The Company’s products include, among others; in-car digital video/audio recorders contained in a rear-view mirror for use in law enforcement and commercial fleets; a system that provides its law enforcement customers with audio/video surveillance from multiple vantage points and hands-free automatic activation of body-worn cameras and in-car video systems; a miniature digital video system designed to be worn on an individual’s body; and cloud storage solutions. The Company added two new lines of branded products: (1) the ThermoVu ® The Company was originally incorporated in Nevada on December 13, 2000 as Vegas Petra, Inc. and had no operations until 2004. On November 30, 2004, Vegas Petra, Inc. entered into a Plan of Merger with Digital Ally, Inc., at which time the merged entity was renamed Digital Ally, Inc.
Basis of Presentation	Basis of Presentation : The condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles in the United States for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine month periods ended September 30, 2021 are not necessarily indicative of the results that may be expected for the year ending December 31, 2021. The balance sheet at December 31, 2020 has been derived from the audited financial statements at that date, but does not include all the information and footnotes required by generally accepted accounting principles in the United States for complete financial statements. For further information, refer to the audited financial statements and footnotes included in the Company’s annual report on Form 10-K for the year ended December 31, 2020, and the unaudited financial statements and footnotes included in the Company’s quarterly report on Form 10-Q for the quarter ended September 30, 2021.
COVID-19 pandemic	COVID-19 pandemic : The COVID-19 pandemic represents a fluid situation that presents a wide range of potential impacts of varying durations for different global geographies, including locations where the Company has offices, employees, customers, vendors and other suppliers and business partners. Like most US-based businesses, the COVID-19 pandemic and efforts to mitigate the same began to have impacts on our business in March 2020. By that time, much of our first fiscal quarter was completed. During the remainder of 2020 and the first quarter of 2021, the Company observed decreases in demand from certain customers, including primarily law-enforcement and commercial customers. However, the Company is beginning to experience an increase in demand for the three months ended September 30, 2021, compared to the same period in 2020. Given the fact that the Company’s products are sold through a variety of distribution channels, the Company expects its sales will experience more volatility as a result of the changing and less predictable operational needs of many customers as a result of the COVID-19 pandemic. The Company is aware that many companies, including many of its suppliers and customers, are reporting or predicting negative impacts from COVID-19 on future operating results. Although the Company observed significant declines in demand for its products from certain customers during 2020 and the first quarter of 2021, the Company believes that the impact of the COVID-19 remains too fluid and unknown, hindering the Company from determining the long-term demand for current products. The Company also cannot be certain how demand may shift over time as the impacts of the COVID-19 pandemic may go through several phases of varying severity and duration. In light of broader macro-economic risks and already known impacts on certain industries that use the Company’s products and services, the Company has taken, and continue to take targeted steps to lower its operating expenses because of the COVID-19 pandemic. The Company continues to monitor the impacts of COVID-19 on its operations closely and this situation could change based on a significant number of factors that are not entirely within its control and are discussed in this and other sections of this quarterly report on Form 10-Q. The Company does not expect there to be material changes to its assets on its balance sheet or its ability to timely account for those assets. Further, in connection with the preparation of this quarterly report on Form 10-Q, the Company reviewed the potential impacts of the COVID-19 pandemic on goodwill and intangible assets and have determined there to be no material impact at this time. The Company has also reviewed the potential impacts on future risks to the business as it relates to collections, returns and other business-related items. To date, travel restrictions and border closures have not materially impacted its ability to obtain inventory or manufacture or deliver products or services to customers. However, if such restrictions become more severe, they could negatively impact those activities in a way that would harm the business over the long term. Travel restrictions impacting people can restrain our ability to assist its customers and distributors as well as impact its ability to develop new distribution channels, but at present the Company does not expect these restrictions on personal travel to be material to our business operations or financial results. The Company has taken steps to restrain and monitor its operating expenses and therefore it does not expect any such impacts to materially change the relationship between costs and revenues. Like most companies, the Company has taken a range of actions with respect to how it operates to assure it complies with government restrictions and guidelines as well as best practices to protect the health and well-being of its employees and its ability to continue operating its business effectively. To date, the Company has been able to operate its business effectively using these measures and to maintain internal controls as documented and posted. The Company also has not experienced challenges in maintaining business continuity and does not expect to incur material expenditures to do so. However, the impacts of COVID-19 and efforts to mitigate the same have remained unpredictable and it remains possible that challenges may arise in the future. The actions the Company has taken so far during the COVID-19 pandemic include, but are not limited to: ● requiring all employees who can work from home to work from home; ● increasing its IT networking capability to best assure employees can work effectively outside the office; and ● for employees who must perform essential functions in one of its offices: ● having employees maintain a distance of at least six feet from other employees whenever possible; ● having employees work in dedicated shifts to lower the risk all employees who perform similar tasks might become infected by COVID-19; ● having employees stay segregated from other employees in the office with whom they require no interaction; and ● requiring unvaccinated employees to wear masks while they are in the office whenever possible. The Company currently believes revenue for the year ending December 31, 2021 will still be impacted due to the conditions noted. In April 2020, the Company implemented a COVID-19 mitigation plan designed to further reduce its operating expenses during the pandemic. Actions taken to date include work hour and salary reductions for senior management. These cost reductions are in addition to the significant restructuring actions which the Company continues to implement and develop throughout 2021. Based on the Company’s current cash position, its projected cash flow from operations and its cost reduction and cost containment efforts to date, the Company believes that it will have sufficient capital and or have access to sufficient capital through public and private equity and debt offerings to sustain operations for a period of one year following the date of this filing. If business interruptions resulting from the COVID-19 pandemic were to be prolonged or expanded in scope, the business, financial condition, results of operations and cash flows would be negatively impacted. The Company will continue to actively monitor this situation and will implement actions necessary to maintain business continuity.
Basis of Consolidation	Basis of Consolidation : The accompanying financial statements include the consolidated accounts of Digital Ally, its wholly-owned subsidiaries, Digital Ally International, Inc., Shield Products, LLC, Digital Ally Healthcare, LLC, TicketSmarter, Inc, and its majority-owned subsidiary Nobility Healthcare, LLC. All intercompany balances and transactions have been eliminated during consolidation. The Company formed Digital Ally International, Inc. during August 2009 to facilitate the export sales of its products. The Company formed Shield Products, LLC in May 2020 to facilitate the sales of its Shield™ line of disinfectant/cleanser products and ThermoVu ®
Revenue Recognition	Revenue Recognition : The Company applies the provisions of Accounting Standards Codification (ASC) 606-10, Revenue from Contracts with Customers The Company considers customer purchase orders, which in some cases are governed by master sales agreements, to be the contracts with the customer. In situations where sales are to a distributor, the Company had concluded its contracts are with the distributor as the Company holds a contract bearing enforceable rights and obligations only with the distributor. As part of its consideration for the contract, the Company evaluates certain factors including the customers’ ability to pay (or credit risk). For each contract, the Company considers the promise to transfer products, each of which is distinct, to be the identified performance obligations. In determining the transaction price, the Company evaluates whether the price is subject to refund or adjustment to determine the net consideration to which it expects to be entitled. As the Company’s standard payment terms are less than one year, it has elected the practical expedient under ASC 606-10-32-18 to not assess whether a contract has a significant financing component. The Company allocates the transaction price to each distinct product based on its relative standalone selling price. The product price as specified on the purchase order is considered the standalone selling price as it is an observable input which depicts the price as if sold to a similar customer in similar circumstances. Revenue is recognized when control of the product is transferred to the customer ( i.e. The Company sells its products and services to customers in the following manner: ● Product sales to domestic customers are made direct to the end customer (typically a law enforcement agency or a commercial customer) through its sales force, which is composed of its employees. Revenue is recorded when the product is shipped to the end customer. ● Product sales to international customers are made through independent distributors who purchase products from the Company at a wholesale price and sell to the end user (typically law enforcement agencies or a commercial customer) at a retail price. The distributor retains the margin as its compensation for its role in the transaction. The distributor generally maintains product inventory, customer receivables and all related risks and rewards of ownership. Accordingly, upon application of steps one through five above, revenue is recorded when the product is shipped to the distributor consistent with the terms of the distribution agreement. ● Repair parts and services for domestic and international customers are generally handled by its inside customer service employees. Revenue is recognized upon shipment of the repair parts and acceptance of the service or materials by the end customer. ● Service sales through the Company’s Nobility Healthcare subsidiary are driven through relationships with medium to large healthcare organizations, in which revenue is recognized upon execution of services. Through the Company’s TicketSmarter subsidiary, service sales are driven largely in part to the usage of the TicketSmarter.com marketplace by buyers and sellers, in which the Company collects service fees for each transaction. Sales taxes collected on products sold are excluded from revenues and are reported as accrued expenses in the accompanying balance sheets until payments are remitted. Service and other revenue is comprised of revenues from extended warranties, repair services, cloud revenue, software revenue, revenue cycle management services, and ticket marketplace services. Revenue is recognized upon shipment of the product and acceptance of the service or materials by the end customer for repair services. Revenue for extended warranty, cloud service or other software-based products is over the term of the contract warranty or service period. A time-elapsed method is used to measure progress because the Company transfers control evenly over the contractual period. Accordingly, the fixed consideration related to these revenues is generally recognized on a straight-line basis over the contract term, as long as the other revenue recognition criteria have been met. Contracts with some of the Company’s customers contain multiple performance obligations that are distinct and accounted for separately. The transaction price is allocated to the separate performance obligations on a relative standalone selling price (“SSP”). The Company determined SSP for all the performance obligations using observable inputs, such as standalone sales and historical pricing. SSP is consistent with the Company’s overall pricing objectives, taking into consideration the type of service being provided. SSP also reflects the amount the Company would charge for the performance obligation if it were sold separately in a standalone sale. Multiple performance obligations consist of product, software, cloud subscriptions and extended warranties. The Company’s multiple performance obligations may include future in-car or body-worn camera devices to be delivered at defined points within a multi-year contract, and in those arrangements, the Company allocates total arrangement consideration over the life of the multi-year contract to future deliverables using management’s best estimate of selling price. Contract liabilities consist of deferred revenue and include payments received in advance of performance under the contract and are reported separately as current liabilities and non-current liabilities in the condensed consolidated balance sheets. Such amounts consist of extended warranty contracts, prepaid cloud services and prepaid installation services and are generally recognized as the respective performance obligations are satisfied.
Use of Estimates	Use of Estimates : The preparation of the 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 amount of revenues and expenses during the reporting period. Actual results could differ from those estimates. Management utilizes various other estimates, including but not limited to determining the estimated lives of long-lived assets, determining the potential impairment of long-lived assets, the fair value of warrants, options, proceeds investment agreement and convertible debt, the recognition of revenue, inventory valuation reserve, the valuation allowance for deferred tax assets and other legal claims and contingencies. The results of any changes in accounting estimates are reflected in the financial statements in the period in which the changes become evident. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected in the period that they are determined to be necessary.
Cash and cash equivalents	Cash and cash equivalents : Cash and cash equivalents include funds on hand, in bank and short-term investments with original maturities of ninety (90) days or less. The Company maintains its cash and cash equivalents in banks insured by the Federal Deposit Insurance Corporation (FDIC) in accounts that at times may be in excess of the federally insured limit of $ 250,000 per bank. The Company minimizes this risk by placing its cash deposits with numerous major financial institutions. At September 30, 2021 and December 31, 2020, the uninsured balance amounted to $ 38,152,409 and $ 3,653,192 , respectively.
Accounts Receivable:	Accounts Receivable: Accounts receivable are carried at original invoice amount less an estimate made for doubtful receivables based on a review of all outstanding amounts on a weekly basis. The Company determines the allowance for doubtful accounts by regularly evaluating individual customer receivables and considering a customer’s financial condition, credit history, and current economic conditions. One individual customer receivable balances exceeded 10 % of total accounts receivable as of September 30, 2021 and December 31, 2020, which totaled $ 558,729 or 24 % and $ 319,000 or 19 % of total accounts receivable, respectively. Trade receivables are written off when deemed uncollectible. Recoveries of trade receivables previously written off are recorded when received. A trade receivable is considered to be past due if any portion of the receivable balance is outstanding for more than thirty (30) days beyond terms. No interest is charged on overdue trade receivables.
Goodwill and Other Intangibles	Goodwill and Other Intangibles Goodwill Business Combinations Intangibles - Goodwill and Other Goodwill impairment testing is performed at the reporting unit level. Goodwill is assigned to reporting units at the date the goodwill is initially recorded. Once goodwill has been assigned to reporting units, it no longer retains its association with a particular acquisition, and all of the activities within a reporting unit, whether acquired or internally generated, are available to support the value of the goodwill. Traditionally, goodwill impairment testing is a two-step process. Step one involves comparing the fair value of the reporting units to its carrying amount. If the carrying amount of a reporting unit is greater than zero and its fair value is greater than its carrying amount, there is no impairment. If the reporting unit’s carrying amount is greater than the fair value, the second step must be completed to measure the amount of impairment, if any. Step two involves calculating an implied fair value of goodwill. The Company has adopted ASU 2017-04 which simplifies subsequent goodwill measurement by eliminating step two from the goodwill impairment test. As a result, the Company compares the fair value of a reporting unit with its respective carrying value and recognized an impairment charge for the amount by which the carrying amount exceeded the reporting unit’s fair value. The Company determines the fair value of its reporting units using an income approach. Under the income approach, the Company determined fair value based on estimated discounted future cash flows of each reporting unit. Determining the fair value of a reporting unit is judgmental in nature and requires the use of significant estimates and assumptions, including revenue growth rates and EBITDA margins, discount rates and future market conditions, among others. Long-lived and Other Intangible Assets - Accounting for the Impairment or Disposal of Long-lived Assets Factors considered by the Company include, but are not limited to, significant underperformance relative to historical or projected operating results; significant changes in the manner of use of the acquired assets or the strategy for the overall business; and significant negative industry or economic trends. When the carrying value of a long-lived asset may not be recoverable based upon the existence of one or more of the above indicators of impairment, the Company estimates the future undiscounted cash flows expected to result from the use of the asset and its eventual disposition. If the sum of the expected future undiscounted cash flows and eventual disposition is less than the carrying amount of the asset, the Company recognizes an impairment loss. An impairment loss is reflected as the amount by which the carrying amount of the asset exceeds the fair value of the asset, based on the fair value if available, or discounted cash flows, if fair value is not available. The Company assessed potential impairments of its long-lived assets as of December 31, 2020 and concluded that there was no impairment. Other intangible assets that have finite lives are amortized over their useful lives.
Segments of Business	Segments of Business : Management has determined that, due to recent business acquisitions, its operations are comprised of three reportable segments: Digital Ally, TicketSmarter, and Nobility Healthcare. For the three and nine months ended September 30, 2021 and 2020, sales by segment were as follows: SUMMARY OF SALES BY GEOGRAPHIC AREA 2021 2020 2021 2020 Three Months Ended September 30, Nine months ended September 30, 2021 2020 2021 2020 Sales by segment: Digital Ally Product $ 1,356,454 $ 2,958,579 $ 4,988,364 $ 5,779,387 Service and other 672,206 630,061 2,069,797 1,967,881 Total Digital Ally 2,028,660 3,588,640 7,058,161 7,747,268 TicketSmarter Service and other 2,050,679 — 2,050,679 — Total TicketSmarter 2,050,679 — 2,050,679 — Nobility Healthcare Service and other 560,483 — 560,483 — Total Nobility Healthcare 560,483 — 560,483 — Total $ 4,639,822 $ 3,588,640 $ 9,669,323 $ 7,746,576 Sales to customers outside of the United States are denominated in U.S. dollars. All Company assets are physically located within the United States.
Recent Accounting Pronouncements	Recent Accounting Pronouncements : In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, “Financial Instruments – Credit Losses” to improve information on credit losses for financial assets and net investment in leases that are not accounted for at fair value through net income. ASU 2016-13 replaces the current incurred loss impairment methodology with a methodology that reflects expected credit losses. In April 2019 and May 2019, the FASB issued ASU No. 2019-04, “Codification Improvements to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments” and ASU No. 2019-05, “Financial Instruments-Credit Losses (Topic 326): Targeted Transition Relief” which provided additional implementation guidance on the previously issued ASU. In November 2019, the FASB issued ASU 2019-10, “Financial Instruments - Credit Loss (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842),” which defers the effective date for public filers that are considered small reporting companies (“SRC”) as defined by the Securities and Exchange Commission (the “SEC”) to fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Since the Company is an SRC, implementation will not be required until January 1, 2023. The Company will continue to evaluate the effect that adopting ASU 2016-13 will have on the Company’s consolidated financial statements. In 2020, FASB issued ASU No. 2020-06 to simplify the accounting for convertible debt instruments as the current accounting guidance was determined to be unnecessarily complex and difficult to navigate. The ASU primarily does three things: (1) The ASU eliminates the beneficial conversion feature model and the cash conversion model. The elimination of these models will result in more convertible instruments (convertible debt instruments or convertible preferred stock instruments) being reported as a single liability instrument. The ASU also makes targeted improvements to the related disclosures, (2) The ASU eliminates certain settlement conditions that are required to qualify for derivative scope exception which will allow for less equity contracts to be accounted for as a derivative and (3) The ASU aligns the diluted EPS calculation for convertible instruments by requiring the use of the if-converted method and requiring share settlement be included in the calculation when the contract includes an option of cash or share settlement. ASU No. 2020-06 is effective for fiscal years beginning after December 15, 2021 with early adoption permitted for fiscal years beginning after December 15, 2020. Management has not early-adopted this new standard and continues to evaluate the impact of adopting ASU 2020-06 will have on its consolidated financial statements. In 2020, FASB issued ASU No. 2020-01 which represents a consensus of the Emerging Issues Task Force and it clarifies certain items related to ASU 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. The ASU (1) clarifies that when an entity is either applying the equity method or upon discontinuing the equity method it should consider observable price changes in orderly transactions for the identical or a similar investment with the same issuer for valuing basis of the investment and (2) clarifies that when determining the accounting for certain forward contracts and purchased options an entity should not consider, whether upon settlement or exercise, if the underlying securities would be accounted for under the equity method or fair value option. ASU No. 2020-01 is effective for fiscal years beginning after December 15, 2020 with early adoption permitted. The Company adopted this update for the quarter ended March 31, 2021, with no material effect on the financials. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes - simplifying the accounting for income taxes (Topic 740), which is meant to simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740, Income Taxes. The amendment also improves consistent application and simplifies GAAP for other areas of Topic 740 by clarifying and amending existing guidance. The adoption of this standard did not have a significant impact on the Company’s financial position and results of operations.
Warrant Derivative Liabilities	Warrant Derivative Liabilities In accordance with FASB ASC 815-40, Derivatives and Hedging: Contracts in an Entities Own Equity, entities must consider whether to classify contracts that may be settled in its own stock, such as warrants to purchase shares of Common Stock, as equity of the entity or as an asset or liability. If an event that is not within the entity’s control could require net cash settlement, then the contract should be classified as an asset or a liability rather than as equity. We have determined because the terms of the warrants issued during the first quarter of 2021, and remain outstanding, include a provision that entitles all the warrant holders to receive cash for their warrants in the event of a qualifying cash tender offer, while only certain of the holders of the underlying shares of common stock would be entitled to cash, our warrants should be classified as liability measured at fair value, with changes in fair value each period reported in earnings. Volatility in the price of our common stock may result in significant changes in the value of the derivatives and resulting gains and losses on our statement of operations.

NATURE OF BUSINESS AND SUMMAR_3

NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
SUMMARY OF SALES BY GEOGRAPHIC AREA	Management has determined that, due to recent business acquisitions, its operations are comprised of three reportable segments: Digital Ally, TicketSmarter, and Nobility Healthcare. For the three and nine months ended September 30, 2021 and 2020, sales by segment were as follows: SUMMARY OF SALES BY GEOGRAPHIC AREA 2021 2020 2021 2020 Three Months Ended September 30, Nine months ended September 30, 2021 2020 2021 2020 Sales by segment: Digital Ally Product $ 1,356,454 $ 2,958,579 $ 4,988,364 $ 5,779,387 Service and other 672,206 630,061 2,069,797 1,967,881 Total Digital Ally 2,028,660 3,588,640 7,058,161 7,747,268 TicketSmarter Service and other 2,050,679 — 2,050,679 — Total TicketSmarter 2,050,679 — 2,050,679 — Nobility Healthcare Service and other 560,483 — 560,483 — Total Nobility Healthcare 560,483 — 560,483 — Total $ 4,639,822 $ 3,588,640 $ 9,669,323 $ 7,746,576

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
	Sep. 30, 2021
Inventory Disclosure [Abstract]
SCHEDULE OF INVENTORIES	Inventories consisted of the following at September 30, 2021 and December 31, 2020: SCHEDULE OF INVENTORIES September 30, 2021 December 31, 2020 Raw material and component parts $ 3,068,418 $ 3,186,426 Work-in-process 15,506 1,908 Finished goods 10,827,344 6,974,291 Subtotal 13,911,268 10,162,625 Reserve for excess and obsolete inventory (2,300,019 ) (1,960,351 ) Total $ 11,611,249 $ 8,202,274

DEBT OBLIGATIONS (Tables)

DEBT OBLIGATIONS (Tables)	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
SUMMARY OF SECURED CONVERTIBLE DEBENTURES AND PROCEEDS INVESTMENT AGREEMENT	Debt obligations is comprised of the following: SUMMARY OF SECURED CONVERTIBLE DEBENTURES AND PROCEEDS INVESTMENT AGREEMENT September 30, 2021 December 31, 2020 Economic injury disaster loan (EIDL) $ 150,000 $ 150,000 Payroll protection program loan (PPP) — 10,000 Contingent consideration promissory note - Nobility Healthcare Division Acquisition 350,000 — Contingent consideration promissory note – Nobility Healthcare Division Acquisition 650,000 — Contingent consideration earn-out Agreement – TicketSmarter Acquisitions 4,244,400 — Debt obligations 5,394,400 160,000 Less: current maturities of debt obligations 4,547,421 11,727 Debt obligations, long-term $ 846,979 $ 148,273
SCHEDULE OF MATURITY OF DEBT OBLIGATIONS	Debt obligations mature as follows as of September 30, 2021: SCHEDULE OF MATURITY OF DEBT OBLIGATIONS September 30, 2021 2021 (October 1, 2021 to December 31, 2021) $ 4,245,882 2022 403,049 2023 403,166 2024 203,286 2025 3,412 2026 and thereafter 135,605 Total $ 5,394,400

FAIR VALUE MEASUREMENT (Tables)

FAIR VALUE MEASUREMENT (Tables)	9 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
SCHEDULE OF FINANCIAL ASSETS AND LIABILITIES MEASURED AT FAIR VALUE ON RECURRING BASIS	The following table represents the Company’s hierarchy for its financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2021 and December 31, 2020: SCHEDULE OF FINANCIAL ASSETS AND LIABILITIES MEASURED AT FAIR VALUE ON RECURRING BASIS September 30, 2021 Level 1 Level 2 Level 3 Total Liabilities: Warrant derivative liabilities $ — $ — $ 17,942,020 $ 17,942,020 Contingent consideration promissory notes and earn-out agreement — — 5,244,400 5,244,400 $ — $ — $ 23,186,420 $ 23,186,420 December 31, 2020 Level 1 Level 2 Level 3 Total Liabilities: Warrant derivative liabilities $ — $ — $ — $ — Contingent consideration promissory note — — — — $ — $ — $ — $ —
SCHEDULE OF FAIR VALUE MEASUREMENTS CHANGE IN LEVEL 3 INPUTS	The following table represents the change in Level 3 tier value measurements for the nine months ended September 30, 2021: SCHEDULE OF FAIR VALUE MEASUREMENTS CHANGE IN LEVEL 3 INPUTS Contingent Consideration Promissory Note Warrant Derivative Liabilities Balance, December 31, 2020 $ — $ — Issuance of detachable warrants in the January 14, 2021 Offering — 21,922,158 Issuance of detachable warrants in the February 1, 2021 Offering — 27,476,352 Issuance of detachable pre-funded warrants in the January 14, 2021 Offering — 378,615 Issuance of detachable pre-funded warrants in the February 1, 2021 Offering — 1,438,934 Transition of derivative warrant liability to equity on pre-funded warrants — — Change in fair value of warrant derivative liabilities — (24,552,257 ) Balance, March 31, 2021 — 26,663,802 Issuance of contingent consideration promissory note - Nobility Healthcare Division Acquisition 350,000 — Change in fair value of financial instruments — 2,863,422 Balance, June 30, 2021 $ 350,000 $ 29,527,224 Issuance of contingent consideration promissory note - Nobility Healthcare Division Acquisition 650,000 — Issuance of contingent consideration earn-out agreement - TicketSmarter Acquisition 4,244,400 — Change in fair value of financial instruments (11,585,204 ) Balance, September 30, 2021 $ 5,244,400 $ 17,942,020

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	9 Months Ended
	Sep. 30, 2021
Payables and Accruals [Abstract]
SCHEDULE OF ACCRUED EXPENSES	Accrued expenses comprised of the following at September 30, 2021 and December 31, 2020: SCHEDULE OF ACCRUED EXPENSES September 30, 2021 December 31, 2020 Accrued warranty expense $ 14,278 $ 31,845 Accrued litigation costs 250,000 250,000 Accrued sales commissions 40,328 38,294 Accrued payroll and related fringes 599,030 199,850 Accrued sales returns and allowances 47,272 26,069 Accrued sales taxes 46,002 53,627 Other 222,048 196,409 Total accrued expenses $ 1,218,958 $ 796,094
SCHEDULE OF ACCRUED WARRANTY EXPENSE	Accrued warranty expense comprised of the following for the nine months ended September 30, 2021: SCHEDULE OF ACCRUED WARRANTY EXPENSE Beginning balance $ 31,845 Provision for warranty expense 41,040 Charges applied to warranty reserve (58,607 ) Ending balance $ 14,278

PROPERTY, PLANT AND EQUIPMENT (

PROPERTY, PLANT AND EQUIPMENT (Tables)	9 Months Ended
	Sep. 30, 2021
Property, Plant and Equipment [Abstract]
SCHEDULE OF PROPERTY AND EQUIPMENT, NET	Property, plant and equipment, net consists of the following: SCHEDULE OF PROPERTY AND EQUIPMENT, NET September 30, 2021 December 31, 2020 Land $ 789,734 $ 59,226 Buildings 4,909,478 363,215 Equipment 552,135 507,676 Leasehold improvements 143,327 289,865 6,394,674 1,219,982 Less: accumulated depreciation (326,419 ) (553,182 ) Total property, plant and equipment, net $ 6,068,255 $ 666,800

OPERATING LEASES (Tables)

OPERATING LEASES (Tables)	9 Months Ended
	Sep. 30, 2021
Operating Leases
SCHEDULE OF OPERATING LEASES RIGHT OF USE ASSETS AND LIABILITIES	The following sets forth the operating lease right of use assets and liabilities as of September 30, 2021: SCHEDULE OF OPERATING LEASES RIGHT OF USE ASSETS AND LIABILITIES Assets: Operating lease right of use assets $ 1,109,463 Liabilities: Operating lease obligations-Long-term portion $ 795,704 Operating lease obligations-Current portion 384,222 Total operating lease obligations $ 1,179,926
SCHEDULE OF COMPONENTS OF LEASE EXPENSES	The components of lease expense were as follows for the nine months ended September 30, 2021: SCHEDULE OF COMPONENTS OF LEASE EXPENSES Selling, general and administrative expenses $ 144,443
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS	Following are the minimum lease payments for each year and in total. SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Year ending December 31: 2021 (October 1, to December 31, 2021) $ 109,948 2022 445,635 2023 264,329 2024 191,059 2025 173,333 Thereafter 175,113 Total undiscounted minimum future lease payments 1,359,417 Imputed interest (179,491 ) Total operating lease liability $ 1,179,926

GOODWILL AND OTHER INTANGIBLE_2

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	9 Months Ended
	Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
SCHEDULE OF GOODWILL AND OTHER INTANGIBLE ASSETS	Goodwill and other intangible assets, net as of September 30, 2021 and December 31, 2020 are as follows: SCHEDULE OF GOODWILL AND OTHER INTANGIBLE ASSETS September 30, 2021 December 31, 2020 Gross value Accumulated amortization Net carrying value Gross value Accumulated amortization Net carrying value Amortized intangible assets: Licenses $ 331,252 $ 61,668 $ 278,324 $ 104,099 $ 52,872 $ 51,227 Patents and Trademarks 444,636 188,111 247,785 264,490 135,236 129,254 775,888 249,779 526,109 368,589 188,108 180,481 Unamortized intangible assets: Goodwill 15,884,308 — 15,884,308 — — — Patents and trademarks pending 44,529 — 44,529 212,083 — 212,083 Total $ 16,704,725 $ 249,779 $ 16,454,946 $ 580,672 $ 188,108 $ 392,564

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2021
Share-based Payment Arrangement [Abstract]
SUMMARY OF STOCK OPTIONS OUTSTANDING	Activity in the various Plans during the nine months ended September 30, 2021: SUMMARY OF STOCK OPTIONS OUTSTANDING Options Number of Shares Weighted Average Exercise Price Outstanding at December 31, 2020 838,313 $ 3.20 Granted 300,000 1.67 Exercised — — Forfeited (46,875 ) (12.13 ) Outstanding at September 30, 2021 1,091,438 $ 2.39 Exercisable at September 30, 2021 866,438 $ 2.58
SCHEDULE OF STOCK OPTION PLANS BY FAIR VALUE ASSUMPTION	SCHEDULE OF STOCK OPTION PLANS BY FAIR VALUE ASSUMPTION Volatility – range 113.47 % Risk-free rate 1.3 % Contractual term 10.0 years Exercise price $ 1.67
SCHEDULE OF SHARES AUTHORIZED UNDER STOCK OPTION PLANS BY EXERCISE PRICE RANGE	The following table summarizes the range of exercise prices and weighted average remaining contractual life for outstanding and exercisable options under the Company’s option plans as of September 30, 2021: SCHEDULE OF SHARES AUTHORIZED UNDER STOCK OPTION PLANS BY EXERCISE PRICE RANGE Outstanding options Exercisable options Exercise price range Number of options Weighted average remaining contractual life Number of options Weighted average remaining contractual life $ 0.01 to $ 2.49 715,000 8.8 years 490,000 8.4 years $ 2.50 to $ 3.49 310,313 6.6 years 310,313 6.6 years $ 3.50 to $ 4.49 45,750 3.4 years 45,750 3.4 years $ 4.50 to $ 6.99 15,000 0.3 years 15,000 0.3 years $ 7.00 to $ 9.52 5,375 0.1 years 5,375 0.1 years 1,091,438 7.8 years 866,438 7.3 years
SUMMARY OF RESTRICTED STOCK ACTIVITY	A summary of all restricted stock activity under the equity compensation plans for the nine months ended September 30, 2021 is as follows: SUMMARY OF RESTRICTED STOCK ACTIVITY Number of Restricted shares Weighted average grant date fair value Nonvested balance, December 31, 2020 720,125 $ 1.69 Granted 856,000 2.07 Vested (505,250 ) (1.95 ) Forfeited (7,500 ) (1.08 ) Nonvested balance, September 30, 2021 1,063,375 $ 1.87
SCHEDULE OF NON- VESTED BALANCE OF RESTRICTED STOCK	The nonvested balance of restricted stock vests as follows: SCHEDULE OF NON- VESTED BALANCE OF RESTRICTED STOCK Years ended Number of shares 2021 (October 1, 2021 through December 31, 2021) 6,000 2022 585,375 2023 358,000 2024 54,000 2025 30,000 2026 30,000

COMMON STOCK PURCHASE WARRANTS

COMMON STOCK PURCHASE WARRANTS (Tables)	9 Months Ended
	Sep. 30, 2021
Common Stock Purchase Warrants
SCHEDULE OF FAIR VALUE OF THE WARRANT DERIVATIVE LIABILITIES	The Company has utilized the following assumptions in its Black-Scholes option valuation model to calculate the estimated fair value of the warrant derivative liabilities as of their date of issuance and as of September 30, 2021: SCHEDULE OF FAIR VALUE OF THE WARRANT DERIVATIVE LIABILITIES Issuance date assumptions September 30, 2021 assumptions Volatility - range 106.6 – 166.6 % 105.2 % Risk-free rate 0.08 - 0.49 % 0.98 % Dividend 0 % 0 % Remaining contractual term 0.01 - 5 years 4.3 5 years Exercise price $ 2.80 - 3.25 $ 3.25 Common stock issuable under the warrants 42,550,000 24,300,000
SUMMARY OF WARRANT ACTIVITY	The following table summarizes information about shares issuable under warrants outstanding during the nine months ended September 30, 2021: SUMMARY OF WARRANT ACTIVITY Warrants Weighted average exercise price Vested Balance, January 1, 2021 3,388,364 $ 6.24 Granted 42,550,000 3.11 Exercised (18,250,000 ) 2.92 Cancelled (879,766 ) 13.43 Vested Balance, September 30, 2021 26,808,598 $ 3.29
SUMMARY OF RANGE OF EXERCISE PRICES AND WEIGHTED AVERAGE REMAINING CONTRACTUAL LIFE OF WARRANTS	The following table summarizes the range of exercise prices and weighted average remaining contractual life for outstanding and exercisable warrants to purchase common shares as of September 30, 2021: SUMMARY OF RANGE OF EXERCISE PRICES AND WEIGHTED AVERAGE REMAINING CONTRACTUAL LIFE OF WARRANTS Outstanding and exercisable warrants Exercise price Number of warrants Weighted average remaining contractual life $ 2.60 465,712 1.8 years $ 3.00 316,800 1.5 years $ 3.25 24,300,000 4.7 years $ 3.36 733,333 1.2 years $ 3.65 167,000 0.7 years $ 3.75 25,753 0.9 years $ 5.00 800,000 0.2 years 26,808,598 4.4 years

STOCKHOLDERS_ EQUITY (Tables)

STOCKHOLDERS’ EQUITY (Tables)	9 Months Ended
	Sep. 30, 2021
Subsidiary, Sale of Stock [Line Items]
SCHEDULE OF NET PROCEEDS FROM OFFERING	The Company received net proceeds from this offering as follows: SCHEDULE OF NET PROCEEDS FROM OFFERING Description Amount Net proceeds received: Proceeds from the sale of 3,250,000 shares of Common Stock at $ 2.80 per share $ 9,100,000 Proceeds from the sale of pre-funded warrants to purchase 11,050,000 shares of 2.79 per share 30,829,500 Less: Placement agent fees and other expenses of the offering (2,482,400 ) Net proceeds of the offering $ 37,447,100
IPO One [Member]
Subsidiary, Sale of Stock [Line Items]
SCHEDULE OF NET PROCEEDS FROM OFFERING	The Company received net proceeds from this offering as follows: SCHEDULE OF NET PROCEEDS FROM OFFERING Description Amount Net proceeds received: Proceeds from the sale of 2,800,000 shares of Common Stock at $ 3.095 per share $ 8,666,000 Proceeds from the sale of pre-funded warrants to purchase 7,200,000 shares of Common Stock at $ 3.085 per share 22,212,000 Less: Placement agent fees and other expenses of the offering (1,937,000 ) Net proceeds of the offering $ 28,941,000
IPO One [Member] | Warrant Liability [Member]
Subsidiary, Sale of Stock [Line Items]
SCHEDULE OF NET PROCEEDS FROM OFFERING	SCHEDULE OF NET PROCEEDS FROM OFFERING Description Amount Warrant derivative liabilities $ 21,922,158 Pre-funded warrant derivative liabilities 378,615 Total allocation of the net proceeds of the offering to warrant derivative liabilities $ 22,300,773
IPO two [Member] | Warrant Liability [Member]
Subsidiary, Sale of Stock [Line Items]
SCHEDULE OF NET PROCEEDS FROM OFFERING	SCHEDULE OF NET PROCEEDS FROM OFFERING Description Amount Warrant derivative liabilities $ 27,476,352 Pre-funded warrant derivative liabilities 1,438,934 Total allocation of the net proceeds of the offering to warrant derivative liabilities $ 28,915,286

NET INCOME (LOSS) PER SHARE (Ta

NET INCOME (LOSS) PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
SCHEDULE OF WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING AND LOSS PER SHARE OUTSTANDING	The calculation of the weighted average number of shares outstanding and income (loss) per share outstanding for the three and nine months ended September 30, 2020 and 2019 are as follows: SCHEDULE OF WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING AND LOSS PER SHARE OUTSTANDING 2021 2020 2021 2020 Three Months Ended September 30, Nine months ended September 30, 2021 2020 2021 2020 Numerator for basic and diluted income per share – Net income (loss) attributable to common stockholders $ 8,068,799 $ 527,442 $ 24,408,170 $ (2,304,562 ) Denominator for basic loss per share – weighted average shares outstanding 51,809,435 26,613,109 49,404,794 19,861,694 Dilutive effect of shares issuable under stock options outstanding — 14,832 — — Dilutive effect of shares issuable under common stock purchase warrants and convertible debt outstanding — — — — Denominator for diluted income (loss) per share – adjusted weighted average shares outstanding 51,809,435 26,627,941 49,404,794 19,861,694 Net income (loss) per share attributable to common stockholders: Basic $ 0.16 $ 0.02 $ 0.49 $ (0.12 ) Diluted $ 0.16 $ 0.02 $ 0.49 $ (0.12 )

DIGITAL ALLY HEALTHCARE VENTU_2

DIGITAL ALLY HEALTHCARE VENTURE (Tables)	9 Months Ended
	Sep. 30, 2021
Restructuring Cost and Reserve [Line Items]
SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ACQUISITION	SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS AD LIABILITIES ASSUMED Description Amount Assets acquired: Tangible assets acquired, including $ 13,957 $ 88,957 Goodwill 1,125,000 Liabilities assumed consisting of a promissory note issued by the Selling shareholders 162,552 Total assets acquired and liabilities assumed $ 1,376,509 Consideration: Cash paid at Healthcare Acquisition date $ 1,026,509 Contingent consideration 350,000 Total Healthcare Acquisition purchase price $ 1,376,509
Custom Computing Corporation, LLC [Member]
Restructuring Cost and Reserve [Line Items]
SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ACQUISITION	SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ACQUISITION Description Amount Assets acquired: Tangible assets acquired $ 202,901 Goodwill 2,920,000 Liabilities assumed pursuant to stock purchase agreement (202,901 ) Total assets acquired and liabilities assumed $ 2,920,000 Consideration: Cash paid at acquisition date $ 2,270,000 Contingent consideration 650,000 Total acquisition purchase price $ 2,920,000

TICKETSMARTER ACQUISTION (Table

TICKETSMARTER ACQUISTION (Tables)	9 Months Ended
	Sep. 30, 2021
Business Acquisition [Line Items]
SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ASSUMED IN THE TICKET SMARTER ACQUISITION	SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS AD LIABILITIES ASSUMED Description Amount Assets acquired: Tangible assets acquired, including $ 13,957 $ 88,957 Goodwill 1,125,000 Liabilities assumed consisting of a promissory note issued by the Selling shareholders 162,552 Total assets acquired and liabilities assumed $ 1,376,509 Consideration: Cash paid at Healthcare Acquisition date $ 1,026,509 Contingent consideration 350,000 Total Healthcare Acquisition purchase price $ 1,376,509
Ticket smarter acquisition [Member]
Business Acquisition [Line Items]
SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ASSUMED IN THE TICKET SMARTER ACQUISITION	SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ASSUMED IN THE TICKET SMARTER ACQUISITION Description Amount Assets acquired: Tangible assets acquired, including $ 51,432 $ 7,139,930 Goodwill 11,839,308 Liabilities assumed ( 5,128,964 ) Net assets acquired and liabilities assumed $ 13,850,274 Consideration: Cash paid at TicketSmarter Acquisition date $ 8,413,240 Common stock issued as consideration for TicketSmarter Acquisition at date of acquisition 990,360 Contingent consideration earn-out agreement 4,244,400 Cash paid at closing to escrow amount 500,000 Cash retained from escrow amount pursuant to settlement of working capital target (297,726 ) Total TicketSmarter Acquisition purchase price $ 13,850,274

SUMMARY OF SALES BY GEOGRAPHIC

SUMMARY OF SALES BY GEOGRAPHIC AREA (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	$ 4,639,822	$ 3,588,640	$ 9,669,323	$ 7,746,576
Product [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	1,356,454	2,958,579	4,988,364	5,778,695
Service, Other [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	3,283,368	630,061	4,680,959	1,967,881
Digital Ally [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	2,028,660	3,588,640	7,058,161	7,747,268
Digital Ally [Member] | Product [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	1,356,454	2,958,579	4,988,364	5,779,387
Digital Ally [Member] | Service, Other [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	672,206	630,061	2,069,797	1,967,881
Ticket Smarter [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	2,050,679		2,050,679
Ticket Smarter [Member] | Service, Other [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	2,050,679		2,050,679
Nobility Healthcare [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	560,483		560,483
Nobility Healthcare [Member] | Service, Other [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total	$ 560,483		$ 560,483

NATURE OF BUSINESS AND SUMMAR_4

NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Product Information [Line Items]
Cash, FDIC Insured Amount	$ 250,000
Cash, Uninsured Amount	38,152,409	$ 3,653,192
Accounts Receivable, after Allowance for Credit Loss, Current	2,356,411	1,705,461
One Customer [Member]
Product Information [Line Items]
Accounts Receivable, after Allowance for Credit Loss, Current	$ 558,729	$ 319,000
One Customer [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration Risk, Percentage	24.00%	19.00%
One Customer [Member] | Accounts Receivable [Member] | Minimum [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration Risk, Percentage	10.00%

SCHEDULE OF INVENTORIES (Detail

SCHEDULE OF INVENTORIES (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020	Dec. 30, 2020
Inventory Disclosure [Abstract]
Raw material and component parts	$ 3,068,418		$ 3,186,426
Work-in-process	15,506		1,908
Finished goods	10,827,344		6,974,291
Subtotal	13,911,268		10,162,625
Reserve for excess and obsolete inventory	(2,300,019)		(1,960,351)
Total	$ 11,611,249	$ 8,202,274	$ 8,202,274

INVENTORIES (Details Narrative)

INVENTORIES (Details Narrative) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Inventory Disclosure [Abstract]
Weighted Average Cost Inventory Amount	$ 156,261	$ 138,263

SUMMARY OF SECURED CONVERTIBLE

SUMMARY OF SECURED CONVERTIBLE DEBENTURES AND PROCEEDS INVESTMENT AGREEMENT (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Short-term Debt [Line Items]
Debt obligations	$ 5,394,400	$ 160,000
Contingent consideration promissory note - Nobility Healthcare Division Acquisition	350,000
Contingent consideration promissory note - Nobility Healthcare Division Acquisition	650,000
Contingent consideration promissory note	4,244,400
Less: current maturities of debt obligations	4,547,421	11,727
Debt obligations, long-term	846,979	148,273
Economic Injury Disaster Loan [Member]
Short-term Debt [Line Items]
Debt obligations	150,000	150,000
Paycheck Protection Program Loan [Member]
Short-term Debt [Line Items]
Debt obligations		$ 10,000

SCHEDULE OF MATURITY OF DEBT OB

SCHEDULE OF MATURITY OF DEBT OBLIGATIONS (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Debt Disclosure [Abstract]
2021 (October 1, 2021 to December 31, 2021)	$ 4,245,882
2022	403,049
2023	403,166
2024	203,286
2025	3,412
2026 and thereafter	135,605
Total	$ 5,394,400	$ 160,000

DEBT OBLIGATIONS (Details Narra

DEBT OBLIGATIONS (Details Narrative) - USD ($)

Sep. 02, 2021

Aug. 31, 2021

Dec. 10, 2020

May 12, 2020

May 04, 2020

Sep. 30, 2021

Jun. 30, 2021

Sep. 30, 2020

Jun. 30, 2021

Sep. 30, 2021

Sep. 30, 2020

Dec. 31, 2020

Short-term Debt [Line Items]

Gain (Loss) on Extinguishment of Debt

$ 10,000

Debt Instrument, Face Amount

$ 4,244,400

$ 4,244,400

Paycheck Protection Program [Member] | 2020 Small Business Administration Notes [Member]

Short-term Debt [Line Items]

Notes Payable

$ 1,418,900

Debt Instrument, Term

2 years

Debt Instrument, Interest Rate, Stated Percentage

1.00%

[custom:MonthlyPrincipalPayments-0]

$ 79,851

Gain (Loss) on Extinguishment of Debt

$ 1,418,900

Proceeds from Loans

$ 10,000

2020 Small Business Administration Notes [Member]

Short-term Debt [Line Items]

Debt Instrument, Interest Rate, Stated Percentage

3.75%

[custom:MonthlyPrincipalPayments-0]

$ 731

Proceeds from Loans

150,000

Debt Instrument, Face Amount

$ 150,000

Contingent Consideration Promissory Note [Member]

Short-term Debt [Line Items]

Debt Instrument, Interest Rate, Stated Percentage

3.00%

3.00%

Debt Instrument, Face Amount

$ 350,000

$ 350,000

[custom:DebtInstrumentProjectedRevenue]

975,000

Debt Instrument, Fair Value Disclosure

$ 350,000

$ 350,000

Contingent Payment Not [Member] | Stock Purchase Agreement [Member]

Short-term Debt [Line Items]

Debt Instrument, Term

3 years

Debt Instrument, Face Amount

$ 650,000

[custom:DebtInstrumentProjectedRevenue]

3,000,000

Debt Instrument, Fair Value Disclosure

$ 650,000

C C C Note [Member] | Stock Purchase Agreement [Member]

Short-term Debt [Line Items]

Debt Instrument, Interest Rate, Stated Percentage

3.00%

Ticket Smarter Note [Member] | Stock Purchase Agreement [Member]

Short-term Debt [Line Items]

Debt Instrument, Face Amount

$ 4,244,400

[custom:DebtInstrumentProjectedRevenue]

2,896,829

Debt Instrument, Fair Value Disclosure

$ 4,244,400

Debt Instrument, Description

The TicketSmarter Earn-Out shall be payable with ninety percent (90%) readily available funds and ten percent (10%) in stock consideration. The principal amount of the TicketSmarter Earn-Out is subject to an earn-out adjustment, being the difference between the $

SCHEDULE OF FINANCIAL ASSETS AN

SCHEDULE OF FINANCIAL ASSETS AND LIABILITIES MEASURED AT FAIR VALUE ON RECURRING BASIS (Details) - USD ($)	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	$ 23,186,420
Contingent Consideration Promissory Note [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	5,244,400	$ 350,000
Warrant Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	17,942,020	$ 29,527,224	$ 26,663,802
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value
Fair Value, Inputs, Level 1 [Member] | Contingent Consideration Promissory Note [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value
Fair Value, Inputs, Level 1 [Member] | Warrant Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value
Fair Value, Inputs, Level 2 [Member] | Contingent Consideration Promissory Note [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value
Fair Value, Inputs, Level 2 [Member] | Warrant Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value
Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	23,186,420
Fair Value, Inputs, Level 3 [Member] | Contingent Consideration Promissory Note [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	5,244,400
Fair Value, Inputs, Level 3 [Member] | Warrant Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, fair value	$ 17,942,020

SCHEDULE OF FAIR VALUE MEASUREM

SCHEDULE OF FAIR VALUE MEASUREMENTS CHANGE IN LEVEL 3 INPUTS (Details) - USD ($)	3 Months Ended				9 Months Ended
	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Short-term Debt [Line Items]
Beginning Balance
Transition of derivative warrant liability to equity on pre-funded warrants
Change in fair value of warrant derivative liabilities	$ 11,585,204		24,552,257		33,274,039
Change in fair value of financial instruments	(11,585,204)		(24,552,257)		(33,274,039)
Ending Balance	23,186,420				23,186,420
Ticket Smarter [Member]
Short-term Debt [Line Items]
Issuance of contingent consideration earn-out agreement - TicketSmarter Acqusition	4,244,400
Warrant Liability [Member]
Short-term Debt [Line Items]
Beginning Balance	29,527,224	$ 26,663,802
Change in fair value of warrant derivative liabilities	11,585,204	(2,863,422)
Change in fair value of financial instruments	(11,585,204)	2,863,422
Issuance of contingent consideration earn-out agreement - TicketSmarter Acqusition
Ending Balance	17,942,020	29,527,224	26,663,802		17,942,020
Warrant Liability [Member] | January 14, 2021 Offering [Member]
Short-term Debt [Line Items]
Issuance of detachable warrants			21,922,158
Issuance of detachable pre-funded warrants			378,615
Warrant Liability [Member] | February 1, 2021 Offering [Member]
Short-term Debt [Line Items]
Issuance of detachable warrants			27,476,352
Issuance of detachable pre-funded warrants			1,438,934
Contingent Consideration Promissory Note [Member]
Short-term Debt [Line Items]
Beginning Balance	350,000
Transition of derivative warrant liability to equity on pre-funded warrants
Change in fair value of warrant derivative liabilities
Change in fair value of financial instruments
Issuance of contingent consideration earn-out agreement - TicketSmarter Acqusition		350,000
Ending Balance	5,244,400	$ 350,000			$ 5,244,400
Contingent Consideration Promissory Note [Member] | C C C Note [Member]
Short-term Debt [Line Items]
Issuance of contingent consideration earn-out agreement - TicketSmarter Acqusition	650,000
Contingent Consideration Promissory Note [Member] | January 14, 2021 Offering [Member]
Short-term Debt [Line Items]
Issuance of detachable warrants
Issuance of detachable pre-funded warrants
Contingent Consideration Promissory Note [Member] | February 1, 2021 Offering [Member]
Short-term Debt [Line Items]
Issuance of detachable warrants
Issuance of detachable pre-funded warrants
Contingent Consideration Promissory Note [Member] | Warrant Liability [Member] | C C C Note [Member]
Short-term Debt [Line Items]
Issuance of contingent consideration earn-out agreement - TicketSmarter Acqusition

SCHEDULE OF ACCRUED EXPENSES (D

SCHEDULE OF ACCRUED EXPENSES (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Payables and Accruals [Abstract]
Accrued warranty expense	$ 14,278	$ 31,845
Accrued litigation costs	250,000	250,000
Accrued sales commissions	40,328	38,294
Accrued payroll and related fringes	599,030	199,850
Accrued sales returns and allowances	47,272	26,069
Accrued sales taxes	46,002	53,627
Other	222,048	196,409
Total accrued expenses	$ 1,218,958	$ 796,094

SCHEDULE OF ACCRUED WARRANTY EX

SCHEDULE OF ACCRUED WARRANTY EXPENSE (Details)	9 Months Ended
	Sep. 30, 2021USD ($)
Payables and Accruals [Abstract]
Product Warranty Accrual, Current	$ 31,845
Provision for warranty expense	41,040
Charges applied to warranty reserve	(58,607)
Ending balance	$ 14,278

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Effective Income Tax Rate Reconciliation,Other Reconciling Items, Percent	100.00%
Operating Loss Carryforwards		$ 76

SCHEDULE OF PROPERTY AND EQUIPM

SCHEDULE OF PROPERTY AND EQUIPMENT, NET (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	$ 6,394,674	$ 1,219,982
Less: accumulated depreciation	(326,419)	(553,182)
Total property, plant and equipment, net	6,068,255	666,800
Land [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	789,734	59,226
Building [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	4,909,478	363,215
Equipment [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	552,135	507,676
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	$ 143,327	$ 289,865

PROPERTY, PLANT AND EQUIPMENT_2

PROPERTY, PLANT AND EQUIPMENT (Details Narrative) - USD ($)	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment, Basis of Valuation	On April 30, 2021 the Company closed on the purchase and sale agreement to acquire a 71,361 square feet commercial office building located in Lenexa, Kansas which is intended to serve as the Company’s future office and warehouse needs. The building contains approximately 30,000 square feet of office space and the remainder warehouse space
Payments to Acquire Productive Assets	$ 5,300,000
Depreciation	$ 177,959	$ 115,196

SCHEDULE OF OPERATING LEASES RI

SCHEDULE OF OPERATING LEASES RIGHT OF USE ASSETS AND LIABILITIES (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Operating Leases
Operating lease right of use assets	$ 1,109,463	$ 753,175
Operating lease obligations-Long-term portion	795,704	723,272
Operating lease obligations-Current portion	384,222	$ 113,484
Total operating lease obligations	$ 1,179,926

SCHEDULE OF COMPONENTS OF LEASE

SCHEDULE OF COMPONENTS OF LEASE EXPENSES (Details)	9 Months Ended
	Sep. 30, 2021USD ($)
Selling, General and Administrative Expenses [Member]
Operating Lease, Expense	$ 144,443

SCHEDULE OF FUTURE MINIMUM LEAS

SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details)	Sep. 30, 2021USD ($)
Operating Leases
2021 (October 1, to December 31, 2021)	$ 109,948
2022	445,635
2023	264,329
2024	191,059
2025	173,333
Thereafter	175,113
Total undiscounted minimum future lease payments	1,359,417
Imputed interest	(179,491)
Total operating lease liability	$ 1,179,926

OPERATING LEASES (Details Narra

OPERATING LEASES (Details Narrative) - USD ($)	Sep. 02, 2021	Sep. 02, 2021	May 13, 2020	Jun. 30, 2021	Sep. 30, 2021	Aug. 31, 2021
Elite Medical Billing Specialists, Inc [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Lessor, Operating Lease, Description				termination date of July 2024.
Operating Lease, Weighted Average Remaining Lease Term				34 months
Custom Computing Corporation, LLC [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Lessor, Operating Lease, Description		termination date of March 2023.
Operating Lease, Weighted Average Remaining Lease Term						18 months
Ticket smarter acquisition [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Lessor, Operating Lease, Description	termination date of December 2022.
Operating Lease, Weighted Average Remaining Lease Term	15 months	15 months
Minimum [Member] | Elite Medical Billing Specialists, Inc [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments				$ 2,648
Minimum [Member] | Custom Computing Corporation, LLC [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments		$ 11,579
Minimum [Member] | Ticket smarter acquisition [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments	$ 7,211
Maximum [Member] | Elite Medical Billing Specialists, Inc [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments				$ 2,774
Maximum [Member] | Custom Computing Corporation, LLC [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments		$ 11,811
Maximum [Member] | Ticket smarter acquisition [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments	$ 7,364
September 2012 for Office and Warehouse Space [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Lessor, Operating Lease, Description			termination date of December 2026		maturity date of October 2023
Operating Lease, Weighted Average Remaining Lease Term					63 months
September 2012 for Office and Warehouse Space [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments			$ 12,398
September 2012 for Office and Warehouse Space [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments			$ 14,741
October 2019 for Copiers [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Payments					$ 1,598
Operating Lease, Weighted Average Remaining Lease Term					25 months
Lessee, Operating Lease, Term of Contract					48 months
Office Space and Copier [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Operating Lease, Expense					$ 144,443
Operating Lease, Weighted Average Discount Rate, Percent					8.00%

SCHEDULE OF GOODWILL AND OTHER

SCHEDULE OF GOODWILL AND OTHER INTANGIBLE ASSETS (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Gross value	$ 775,888	$ 368,589
Finite-Lived Intangible Assets, Accumulated Amortization	249,779	188,108
Finite-Lived Intangible Assets, Net	526,109	180,481
Goodwill, Gross	15,884,308
Goodwill, Impaired, Accumulated Impairment Loss
Goodwill	15,884,308
Indefinite-lived Intangible Assets (Excluding Goodwill)	44,529	212,083
[custom:IndefiniteLivedIntangibleAssetsExcludingGoodwillAccumulatedImpairmentLoss-0]
[custom:IndefiniteLivedIntangibleAssetsExcludingGoodwillNet-0]	44,529	212,083
[custom:IntangibleAssetsGrossIncludingGoodwill-0]	16,704,725	580,672
[custom:IntangibleAssetsIncludingGoodwillAccumulatedImpairmentLoss-0]	249,779	188,108
Intangible Assets, Net (Including Goodwill)	16,454,946	392,564
Licensing Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Gross value	331,252	104,099
Finite-Lived Intangible Assets, Accumulated Amortization	61,668	52,872
Finite-Lived Intangible Assets, Net	278,324	51,227
Patents And Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Gross value	444,636	264,490
Finite-Lived Intangible Assets, Accumulated Amortization	188,111	135,236
Finite-Lived Intangible Assets, Net	$ 247,785	$ 129,254

SUMMARY OF STOCK OPTIONS OUTSTA

SUMMARY OF STOCK OPTIONS OUTSTANDING (Details) - $ / shares	Jul. 08, 2020	Sep. 30, 2021
Options Granted	300,000	1,091,438
Stock Options [Member]
Options Outstanding, Beginning balance		838,313
Weighted Average Exercise Price, Outstanding, Beginning balance		$ 3.20
Options Granted		300,000
Weighted Average Exercise Price, Granted		$ 1.67
Options Exercised
Weighted Average Exercise Price, Exercised
Options Forfeited		(46,875)
Weighted Average Exercise Price, Forfeited		$ (12.13)
Options Outstanding, Ending balance		1,091,438
Weighted Average Exercise Price, Outstanding, Ending balance		$ 2.39
Options Exercisable, Ending balance		866,438
Weighted Average Exercise Price, Exercisable, Ending balance		$ 2.58

SCHEDULE OF STOCK OPTION PLANS

SCHEDULE OF STOCK OPTION PLANS BY FAIR VALUE ASSUMPTION (Details)	9 Months Ended
	Sep. 30, 2021$ / shares
Share-based Payment Arrangement [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate	113.47%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate	1.30%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	10 years
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price	$ 1.67

SCHEDULE OF SHARES AUTHORIZED U

SCHEDULE OF SHARES AUTHORIZED UNDER STOCK OPTION PLANS BY EXERCISE PRICE RANGE (Details)	9 Months Ended
	Sep. 30, 2021$ / sharesshares
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items]
Number of options, outstanding	1,091,438
Share-based Payment Arrangement, Option, Exercise Price Range, Outstanding, Weighted Average Remaining Contractual Term	7 years 9 months 18 days
Number of options, exercisable	866,438
Share-based Payment Arrangement, Option, Exercise Price Range, Exercisable, Weighted Average Remaining Contractual Term	7 years 3 months 18 days
Exercise Price Range One [Member]
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items]
Share-based Payment Arrangement, Option, Exercise Price Range, Lower Range Limit | $ / shares	$ 0.01
Share-based Payment Arrangement, Option, Exercise Price Range, Upper Range Limit | $ / shares	$ 2.49
Number of options, outstanding	715,000
Share-based Payment Arrangement, Option, Exercise Price Range, Outstanding, Weighted Average Remaining Contractual Term	8 years 9 months 18 days
Number of options, exercisable	490,000
Share-based Payment Arrangement, Option, Exercise Price Range, Exercisable, Weighted Average Remaining Contractual Term	8 years 4 months 24 days
Exercise Price Range Two [Member]
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items]
Share-based Payment Arrangement, Option, Exercise Price Range, Lower Range Limit | $ / shares	$ 2.50
Share-based Payment Arrangement, Option, Exercise Price Range, Upper Range Limit | $ / shares	$ 3.49
Number of options, outstanding	310,313
Share-based Payment Arrangement, Option, Exercise Price Range, Outstanding, Weighted Average Remaining Contractual Term	6 years 7 months 6 days
Number of options, exercisable	310,313
Share-based Payment Arrangement, Option, Exercise Price Range, Exercisable, Weighted Average Remaining Contractual Term	6 years 7 months 6 days
Exercise Price Range Three [Member]
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items]
Share-based Payment Arrangement, Option, Exercise Price Range, Lower Range Limit | $ / shares	$ 3.50
Share-based Payment Arrangement, Option, Exercise Price Range, Upper Range Limit | $ / shares	$ 4.49
Number of options, outstanding	45,750
Share-based Payment Arrangement, Option, Exercise Price Range, Outstanding, Weighted Average Remaining Contractual Term	3 years 4 months 24 days
Number of options, exercisable	45,750
Share-based Payment Arrangement, Option, Exercise Price Range, Exercisable, Weighted Average Remaining Contractual Term	3 years 4 months 24 days
Exercise Price Range Four [Member]
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items]
Share-based Payment Arrangement, Option, Exercise Price Range, Lower Range Limit | $ / shares	$ 4.50
Share-based Payment Arrangement, Option, Exercise Price Range, Upper Range Limit | $ / shares	$ 6.99
Number of options, outstanding	15,000
Share-based Payment Arrangement, Option, Exercise Price Range, Outstanding, Weighted Average Remaining Contractual Term	3 months 18 days
Number of options, exercisable	15,000
Share-based Payment Arrangement, Option, Exercise Price Range, Exercisable, Weighted Average Remaining Contractual Term	3 months 18 days
Exercise Price Range Five [Member]
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items]
Share-based Payment Arrangement, Option, Exercise Price Range, Lower Range Limit | $ / shares	$ 7
Share-based Payment Arrangement, Option, Exercise Price Range, Upper Range Limit | $ / shares	$ 9.52
Number of options, outstanding	5,375
Share-based Payment Arrangement, Option, Exercise Price Range, Outstanding, Weighted Average Remaining Contractual Term	1 month 6 days
Number of options, exercisable	5,375
Share-based Payment Arrangement, Option, Exercise Price Range, Exercisable, Weighted Average Remaining Contractual Term	1 month 6 days

SUMMARY OF RESTRICTED STOCK ACT

SUMMARY OF RESTRICTED STOCK ACTIVITY (Details) - Restricted Stock [Member]	9 Months Ended
	Sep. 30, 2021$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of Restricted shares, Non-vested Beginning Balance | shares	720,125
Weighted average grant date fair value, Non-vested Beginning Balance | $ / shares	$ 1.69
Number of Restricted shares, Granted | shares	856,000
Weighted average grant date fair value, Granted | $ / shares	$ 2.07
Number of Restricted shares, Vested | shares	(505,250)
Weighted average grant date fair value, Vested | $ / shares	$ (1.95)
Number of Restricted shares, Forfeited | shares	(7,500)
Weighted average grant date fair value, Forfeited | $ / shares	$ (1.08)
Number of Restricted shares, Non-vested Ending Balance | shares	1,063,375
Weighted average grant date fair value, Non-vested Ending Balance | $ / shares	$ 1.87

SCHEDULE OF NON- VESTED BALANCE

SCHEDULE OF NON- VESTED BALANCE OF RESTRICTED STOCK (Details)	Sep. 30, 2021shares
Share-based Payment Arrangement [Abstract]
2021 (October 1, 2021 through December 31, 2021)	6,000
2022	585,375
2023	358,000
2024	54,000
2025	30,000
2026	30,000

STOCK-BASED COMPENSATION (Detai

STOCK-BASED COMPENSATION (Details Narrative) - USD ($)	Jul. 08, 2020	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Jun. 30, 2021	Dec. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Payment Arrangement, Expense		$ 491,950	$ 498,356	$ 1,148,327	$ 1,186,771
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized		5,675,000		5,675,000
Number of purchase share	300,000			1,091,438
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value							$ 0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value							$ 0
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount		$ 350,123		$ 350,123
Share-based Payment Arrangement, Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value				466,831
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount		$ 1,354,329		$ 1,354,329
Common Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of purchase share	75,000
Exercise price	$ 1.67
May Thirty First Two Thousand Twenty Two [Member] | Common Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of purchase share	225,000
2005 Stock Option Plan [Member] | During 2015 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Capital Shares Reserved for Future Issuance		20,178		20,178
[custom:UnexercisedAndOutstandingStockOptions-0]		7,064		7,064
2006 Stock Option Plan [Member] | During 2016 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Capital Shares Reserved for Future Issuance						35,474
[custom:UnexercisedAndOutstandingStockOptions-0]						30,125
2007 Stock Option Plan [Member] | During 2017 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Capital Shares Reserved for Future Issuance		94,651		94,651
2008 Plan [Member] | During 2018 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Capital Shares Reserved for Future Issuance		40,499		40,499

SCHEDULE OF FAIR VALUE OF THE W

SCHEDULE OF FAIR VALUE OF THE WARRANT DERIVATIVE LIABILITIES (Details)	Jan. 14, 2021shares	Sep. 30, 2021shares
Warrant [Member] | Measurement Input, Price Volatility [Member]
Derivative Liability, Measurement Input		105.2
Warrant [Member] | Measurement Input, Price Volatility [Member] | Minimum [Member]
Derivative Liability, Measurement Input	106.6
Warrant [Member] | Measurement Input, Price Volatility [Member] | Maximum [Member]
Derivative Liability, Measurement Input	166.6
Warrant [Member] | Measurement Input, Risk Free Interest Rate [Member]
Derivative Liability, Measurement Input		0.98
Warrant [Member] | Measurement Input, Risk Free Interest Rate [Member] | Minimum [Member]
Derivative Liability, Measurement Input	0.08
Warrant [Member] | Measurement Input, Risk Free Interest Rate [Member] | Maximum [Member]
Derivative Liability, Measurement Input	0.49
Warrant [Member] | Measurement Input, Expected Dividend Rate [Member]
Derivative Liability, Measurement Input	0	0
Warrant [Member] | Measurement Input, Expected Term [Member] | Minimum [Member]
[custom:DerivativeLiabilitiesMeasurementInputTerm]	3 days	4 years 3 months 18 days
Warrant [Member] | Measurement Input, Expected Term [Member] | Maximum [Member]
[custom:DerivativeLiabilitiesMeasurementInputTerm]	5 years	5 years
Warrant [Member] | Measurement Input, Exercise Price [Member]
Derivative Liability, Measurement Input		3.25
Warrant [Member] | Measurement Input, Exercise Price [Member] | Minimum [Member]
Derivative Liability, Measurement Input	2.80
Warrant [Member] | Measurement Input, Exercise Price [Member] | Maximum [Member]
Derivative Liability, Measurement Input	3.25
Warrant Liability [Member]
Common stock issuable under the warrants	42,550,000	24,300,000

SUMMARY OF WARRANT ACTIVITY (De

SUMMARY OF WARRANT ACTIVITY (Details) - Warrant [Member]	9 Months Ended
	Sep. 30, 2021$ / sharesshares
Warrants, Vested, Beginning balance | shares	3,388,364
Weighted average exercise price, Vested, Beginning balance | $ / shares	$ 6.24
Warrants, Granted | shares	42,550,000
Weighted average exercise price, Granted | $ / shares	$ 3.11
Warrants, Exercised | shares	(18,250,000)
Weighted average exercise price, Exercised | $ / shares	$ 2.92
Warrants, Forfeited/cancelled | shares	(879,766)
Weighted average exercise price, Forfeited/cancelled | $ / shares	$ 13.43
Warrants, Vested, Ending balance | shares	26,808,598
Weighted average exercise price, Vested, Ending balance | $ / shares	$ 3.29

SUMMARY OF RANGE OF EXERCISE PR

SUMMARY OF RANGE OF EXERCISE PRICES AND WEIGHTED AVERAGE REMAINING CONTRACTUAL LIFE OF WARRANTS (Details) - Warrant [Member]	9 Months Ended
	Sep. 30, 2021$ / sharesshares
Outstanding and exercisable warrants, Number of warrants	26,808,598
[custom:ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingAndExercisableWarrantsWeightedAverageRemainingContractualLife]	4 years 4 months 24 days
Exercise Price Range One [Member]
Outstanding and exercisable warrants, Exercise price | $ / shares	$ 2.60
Outstanding and exercisable warrants, Number of warrants	465,712
[custom:ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingAndExercisableWarrantsWeightedAverageRemainingContractualLife]	1 year 9 months 18 days
Exercise Price Range Two [Member]
Outstanding and exercisable warrants, Exercise price | $ / shares	$ 3
Outstanding and exercisable warrants, Number of warrants	316,800
[custom:ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingAndExercisableWarrantsWeightedAverageRemainingContractualLife]	1 year 6 months
Exercise Price Range Three [Member]
Outstanding and exercisable warrants, Exercise price | $ / shares	$ 3.25
Outstanding and exercisable warrants, Number of warrants	24,300,000
[custom:ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingAndExercisableWarrantsWeightedAverageRemainingContractualLife]	4 years 8 months 12 days
Exercise Price Range Four [Member]
Outstanding and exercisable warrants, Exercise price | $ / shares	$ 3.36
Outstanding and exercisable warrants, Number of warrants	733,333
[custom:ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingAndExercisableWarrantsWeightedAverageRemainingContractualLife]	1 year 2 months 12 days
Exercise Price Range Five [Member]
Outstanding and exercisable warrants, Exercise price | $ / shares	$ 3.65
Outstanding and exercisable warrants, Number of warrants	167,000
[custom:ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingAndExercisableWarrantsWeightedAverageRemainingContractualLife]	8 months 12 days
Range Six [Member]
Outstanding and exercisable warrants, Exercise price | $ / shares	$ 3.75
Outstanding and exercisable warrants, Number of warrants	25,753
[custom:ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingAndExercisableWarrantsWeightedAverageRemainingContractualLife]	10 months 24 days
Range Seven [Member]
Outstanding and exercisable warrants, Exercise price | $ / shares	$ 5
Outstanding and exercisable warrants, Number of warrants	800,000
[custom:ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingAndExercisableWarrantsWeightedAverageRemainingContractualLife]	2 months 12 days

COMMON STOCK PURCHASE WARRANT_2

COMMON STOCK PURCHASE WARRANTS (Details Narrative) - USD ($)	3 Months Ended	9 Months Ended
	Mar. 31, 2021	Sep. 30, 2021	Aug. 19, 2021	Feb. 02, 2021	Jan. 14, 2021
[custom:ExerciseOfPrefundedCommonStockPurchaseWarrants]	$ 22,284,000
Warrant Exchanage Agreement [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			7,681,540
Exercise price			$ 3.25
Warrant Exchanage Agreement [Member] | Replacement Original Warrants [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			6,618,460
Maximum [Member] | Warrant Exchanage Agreement [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			7,681,540
Common Stock Purchase Warrants [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights		26,808,598		42,550,000
[custom:WarrantExpirationTermDescription]		The warrants expire from December 30, 2021 through September 18, 2026
Common Stock Purchase Warrants [Member] | Minimum [Member]
Exercise price		$ 2.60
Common Stock Purchase Warrants [Member] | Maximum [Member]
Exercise price		$ 5
Warrant Liability [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights		24,300,000			42,550,000
[custom:ExerciseOfPrefundedCommonStockPurchaseWarrantsShares]		18,250,000
[custom:ExerciseOfPrefundedCommonStockPurchaseWarrants]		$ 1,817,549
Fair Value Adjustment of Warrants		1,817,549
Warrant [Member]
Exercise price	$ 3.25
[custom:IntrinsicValueOfAllOutstandingWarrants-0]		$ 0
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding, Weighted Average Remaining Contractual Terms		52 months 6 days

SCHEDULE OF NET PROCEEDS FROM O

SCHEDULE OF NET PROCEEDS FROM OFFERING (Details) (Parenthetical) - IPO [Member] - $ / shares	Feb. 02, 2021	Jan. 14, 2021
Subsidiary, Sale of Stock [Line Items]
Stock Issued During Period, Shares, New Issues	3,250,000	2,800,000
Sale of Stock, Price Per Share	$ 2.80	$ 3.095
Class of Warrant or Right, Number of Securities Called by Warrants or Rights	14,300,000	10,000,000
Pre-funded Warrants [Member]
Subsidiary, Sale of Stock [Line Items]
Sale of Stock, Price Per Share	$ 2.79	$ 3.085
Class of Warrant or Right, Number of Securities Called by Warrants or Rights	11,050,000	7,200,000

SCHEDULE OF NET PROCEEDS FROM_2

SCHEDULE OF NET PROCEEDS FROM OFFERING (Details) - USD ($)	Feb. 02, 2021	Jan. 14, 2021	Sep. 30, 2021	Sep. 30, 2020
Subsidiary, Sale of Stock [Line Items]
Proceeds from the sale of shares of Common Stock			$ 53,224,000
Net proceeds of the offering				$ 12,829,241
IPO One [Member]
Subsidiary, Sale of Stock [Line Items]
Proceeds from the sale of shares of Common Stock		$ 8,666,000
Proceeds from the sale of pre-funded warrants to purchase shares of Common Stock		22,212,000
Less: Placement agent fees and other expenses of the offering		(1,937,000)
Net proceeds of the offering		28,941,000
Warrant derivative liabilities		21,922,158
Pre-funded warrant derivative liabilities		378,615
Total allocation of the net proceeds of the offering to warrant derivative liabilities		$ 22,300,773
IPO two [Member]
Subsidiary, Sale of Stock [Line Items]
Proceeds from the sale of shares of Common Stock	$ 9,100,000
Proceeds from the sale of pre-funded warrants to purchase shares of Common Stock	30,829,500
Less: Placement agent fees and other expenses of the offering	(2,482,400)
Net proceeds of the offering	37,447,100
Warrant derivative liabilities	27,476,352
Pre-funded warrant derivative liabilities	1,438,934
Total allocation of the net proceeds of the offering to warrant derivative liabilities	$ 28,915,286

STOCKHOLDERS_ EQUITY (Details N

STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($)	Sep. 20, 2021	Sep. 02, 2021	Feb. 02, 2021	Jan. 14, 2021	Jan. 07, 2021	Sep. 30, 2021	Sep. 30, 2020	Mar. 31, 2021
Subsidiary, Sale of Stock [Line Items]
[custom:PercentageForPlacementAgentReceivedDiscountAndCommissions]			6.00%	6.00%
Proceeds from Issuance Initial Public Offering							$ 12,829,241
Goody Tickets L L C And Ticket Smarter L L C [Member]
Subsidiary, Sale of Stock [Line Items]
Number of shares issued		719,738
Officers [Member]
Subsidiary, Sale of Stock [Line Items]
Stock Issued During Period, Shares, Restricted Stock Award, Gross	406,000				450,000
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights					Such shares will generally vest one-half on January 7, 2022 and one half on January 7, 2023, provided that each grantee remains an officer or employee on such dates
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares	26,000
Number of shares expected to vest	380,000
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	5 years
Warrant [Member]
Subsidiary, Sale of Stock [Line Items]
Class of Warrant or Right, Exercise Price of Warrants or Rights								$ 3.25
Sale of Stock, Price Per Share			$ 3.25	$ 3.25
IPO [Member]
Subsidiary, Sale of Stock [Line Items]
[custom:EquityMethodInvestmentOwnershipPercentageDescription]			the Company consummated an registered direct offering (the “Second Offering”) of (i)	On January 14, 2021, the Company consummated a registered direct offering (the “Offering”) of (i)
Stock Issued During Period, Shares, New Issues			3,250,000	2,800,000
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			14,300,000	10,000,000
Warrants and Rights Outstanding, Term			5 years	5 years
Class of Warrant or Right, Exercise Price of Warrants or Rights			$ 3.25	$ 3.25
Sale of Stock, Price Per Share			$ 2.80	$ 3.095
[custom:PercentageOfRightToParticipateInSubsequentOffering-0]			50.00%	50.00%
Proceeds from Issuance Initial Public Offering				$ 28,941,000
IPO [Member] | Maximum [Member]
Subsidiary, Sale of Stock [Line Items]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights				10,000,000
IPO [Member] | Pre-funded Warrants [Member]
Subsidiary, Sale of Stock [Line Items]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			11,050,000	7,200,000
Sale of Stock, Price Per Share			$ 2.79	$ 3.085
Proceeds from Issuance Initial Public Offering			$ 37,447,100	$ 29,013,000
IPO [Member] | Pre-funded Warrants [Member] | Maximum [Member]
Subsidiary, Sale of Stock [Line Items]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			14,300,000
Proceeds from Issuance Initial Public Offering			$ 37,557,600

SCHEDULE OF WEIGHTED AVERAGE NU

SCHEDULE OF WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING AND LOSS PER SHARE OUTSTANDING (Details) - USD ($)	3 Months Ended			9 Months Ended
	Sep. 30, 2021	Mar. 31, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Earnings Per Share [Abstract]
Numerator for basic and diluted income per share – Net income (loss) attributable to common stockholders	$ 8,068,799	$ 21,721,858	$ 527,442	$ 24,408,170	$ (2,304,562)
Denominator for basic loss per share – weighted average shares outstanding	51,809,435		26,613,109	49,404,794	19,861,694
Dilutive effect of shares issuable under stock options outstanding			14,832
Dilutive effect of shares issuable under common stock purchase warrants and convertible debt outstanding
Denominator for diluted income (loss) per share – adjusted weighted average shares outstanding	51,809,435		26,627,941	49,404,794	19,861,694
Basic	$ 0.16		$ 0.02	$ 0.49	$ (0.12)
Diluted	$ 0.16		$ 0.02	$ 0.49	$ (0.12)

SCHEDULE OF PRELIMINARY FAIR VA

SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS AD LIABILITIES ASSUMED (Details)	9 Months Ended
	Sep. 30, 2021USD ($)
Restructuring Cost and Reserve [Line Items]
Cash acquired	$ 13,957
Elite Acquisition [Member]
Restructuring Cost and Reserve [Line Items]
Goodwill	1,125,000
Liabilities assumed consisting of a promissory note issued by the Selling shareholders which was paid off at closing	162,552
Total assets acquired and liabilities assumed	1,376,509
Cash paid at Healthcare Acquisition date	1,026,509
Contingent consideration	350,000
Total Healthcare Acquisition purchase price	1,376,509
Elite Acquisition [Member] | Assets [Member]
Restructuring Cost and Reserve [Line Items]
Tangible assets acquired, including $13,957 of acquired cash	$ 88,957

SCHEDULE OF PRELIMINARY FAIR _2

SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ACQUISITION (Details) - USD ($)	Sep. 02, 2021	Sep. 30, 2021	Dec. 31, 2020
Restructuring Cost and Reserve [Line Items]
Goodwill		$ 15,884,308
Custom Computing Corporation, LLC [Member]
Restructuring Cost and Reserve [Line Items]
Tangible assets acquired	$ 202,901
Goodwill	2,920,000
Liabilities assumed pursuant to stock purchase agreement	(202,901)
Total assets acquired and liabilities assumed	2,920,000
Cash paid at acqisition	2,270,000
Contingent consideration	650,000
Total Elite Acquisition purchase price	$ 2,920,000

DIGITAL ALLY HEALTHCARE VENTU_3

DIGITAL ALLY HEALTHCARE VENTURE (Details Narrative) - USD ($)	Sep. 02, 2021	Aug. 31, 2021	Sep. 30, 2021	Sep. 30, 2021	Sep. 30, 2020	Jun. 04, 2021	Dec. 31, 2020
Defined Benefit Plan Disclosure [Line Items]
Adjustment in accounts receivable			$ 75,000	$ (337,364)	$ 728,917
Stock Issued During Period, Value, Acquisitions			990,360
Debt Instrument, Face Amount			4,244,400	$ 4,244,400
Custom Computing Corporation, LLC [Member]
Defined Benefit Plan Disclosure [Line Items]
Business Combination, Consideration Transferred	$ 2,920,000
Nobility LLC [Member]
Defined Benefit Plan Disclosure [Line Items]
Capitalization, Long-term Debt and Equity						$ 13,500,000
Related Party Transaction, Description of Transaction				Digital Ally Healthcare owns 51% of the venture that entitles it to 51% of the distributable cash as defined in the venture’s operating agreement plus a cumulative preferred return of 10% per annum on its invested capital. Nobility will receive a management fee and 49% of the distributable cash, subordinated to Digital Ally Healthcare’s preferred return
Nobility LLC [Member] | Custom Computing Corporation, LLC [Member]
Defined Benefit Plan Disclosure [Line Items]
Business Combination, Consideration Transferred		$ 2,920,000
Stock Issued During Period, Value, Acquisitions		2,270,000
Business Combination, Acquisition Related Costs		5,602
Nobility LLC [Member] | Custom Computing Corporation, LLC [Member] | Promisssory Note [Member]
Defined Benefit Plan Disclosure [Line Items]
Debt Instrument, Face Amount		$ 650,000
Nobility LLC [Member] | Elite Medical Billing Specialists, Inc [Member]
Defined Benefit Plan Disclosure [Line Items]
Related Party Transaction, Purchases from Related Party				$ 850,000
Related Party Costs				350,000,000,000
Related Party Transaction, Due from (to) Related Party			$ 162,552,000,000	162,552,000,000
Business Combination, Consideration Transferred				1,376,509,000,000
Nobility LLC [Member] | Elite Medical Billing Specialists, Inc [Member] | Acquisition-related Costs [Member]
Defined Benefit Plan Disclosure [Line Items]
Business Combination, Consideration Transferred				$ 164,630,000,000

SCHEDULE OF PRELIMINARY FAIR _3

SCHEDULE OF PRELIMINARY FAIR VALUE OF ASSETS ACQUIRED AND LIABILITIES ASSUMED IN THE TICKET SMARTER ACQUISITION (Details)	Sep. 02, 2021USD ($)	Sep. 02, 2021USD ($)
Business Acquisition [Line Items]
Cash Acquired from Acquisition		$ 51,432
Cash retained from escrow amount pursuant to settlement of working capital target	$ (297,726)	(297,726)
Ticket smarter acquisition [Member]
Business Acquisition [Line Items]
Tangible assets acquired, including $51,432 of cash acquired	7,139,930	7,139,930
Goodwill	11,839,308	11,839,308
Liabilities assumed	5,128,964	5,128,964
Net assets acquired and liabilities assumed	13,850,274	13,850,274
Cash paid at TicketSmarter Acquisition date	8,413,240	8,413,240
Common stock issued as consideration for TicketSmarter Acquisition at date of acquisition	990,360	990,360
Contingent consideration earn-out agreement	4,244,400	4,244,400
Cash paid at closing to escrow amount	500,000	500,000
Cash retained from escrow amount pursuant to settlement of working capital target	(297,726)	$ (297,726)
Total Elite Acquisition purchase price	$ 13,850,274

TICKETSMARTER ACQUISTION (Detai

TICKETSMARTER ACQUISTION (Details Narrative) - USD ($)	Sep. 02, 2021	Sep. 30, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Stock Issued During Period, Value, Acquisitions		$ 990,360
Debt Instrument, Face Amount		$ 4,244,400
Retaining escrow amount	$ 297,726
Ticket smarter acquisition [Member]
Business Acquisition [Line Items]
Stock Issued During Period, Value, Acquisitions	9,403,600
[custom:BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentLiabilitiesEscrowAmount-0]	500,000
Retaining escrow amount	297,726
Released esrow amount	202,274
Business Combination, Consideration Transferred	13,850,274
Business Combination, Acquisition Related Costs	40,625
Ticket smarter acquisition [Member] | Promissory Note [Member]
Business Acquisition [Line Items]
Debt Instrument, Face Amount	$ 4,244,400

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	Apr. 21, 2021	Oct. 21, 2020	Oct. 02, 2020	Sep. 30, 2021	Mar. 31, 2021	Mar. 02, 2021
Warrant [Member]
Related Party Transaction [Line Items]
Class of Warrant or Right, Exercise Price of Warrants or Rights					$ 3.25
American Rebel Holdings Inc [Member] | Secured Promissory Note [Member]
Related Party Transaction [Line Items]
Notes Receivable, Related Parties		$ 250,000	$ 250,000			$ 117,600
[custom:NoteReceivableInterstRate-0]		800.00%	8.00%
Class of Warrant or Right, Number of Securities Called by Warrants or Rights		1,250,000
Class of Warrant or Right, Exercise Price of Warrants or Rights		$ 0.10
Warrants and Rights Outstanding, Term		5 years
Debt Instrument, Covenant Compliance				This note had an original maturity date of
[custom:NotesReceivableMaturityDate]		Apr. 21, 2021	Jan. 2, 2021
Related Party Transaction, Description of Transaction		subject to full repayment upon AREB closing on debt or equity financings of at least $600,000, and the receipt of revenue from the sale of inventory sold under the specific purchase order serving as collateral.
Proceeds from Related Party Debt	$ 639,956
American Rebel Holdings Inc [Member] | Secured Promissory Note [Member] | Warrant [Member]
Related Party Transaction [Line Items]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			1,250,000
Class of Warrant or Right, Exercise Price of Warrants or Rights			$ 0.10
Warrants and Rights Outstanding, Term			5 years