Cover
Cover | 12 Months Ended |
Jun. 30, 2023 shares | |
Entity Addresses [Line Items] | |
Document Type | 20-F |
Amendment Flag | false |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Document Period End Date | Jun. 30, 2023 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2023 |
Current Fiscal Year End Date | --06-30 |
Entity File Number | 001-41774 |
Entity Registrant Name | FITELL CORPORATION |
Entity Central Index Key | 0001928581 |
Entity Incorporation, State or Country Code | E9 |
Entity Address, Address Line One | 23-25 Mangrove Lane |
Entity Address, Address Line Two | Taren Point |
Entity Address, City or Town | NSW |
Entity Address, Country | AU |
Entity Address, Postal Zip Code | 2229 |
Title of 12(b) Security | Ordinary Shares, par value $0.0001 per share |
Trading Symbol | FTEL |
Security Exchange Name | NASDAQ |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Emerging Growth Company | true |
Elected Not To Use the Extended Transition Period | false |
Document Accounting Standard | U.S. GAAP |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 8,120,000 |
ICFR Auditor Attestation Flag | false |
Document Financial Statement Error Correction [Flag] | false |
Auditor Firm ID | 3289 |
Auditor Name | Accell Audit & Compliance, P.A. |
Auditor Location | Tampa, Florida |
Business Contact [Member] | |
Entity Addresses [Line Items] | |
Entity Address, Address Line One | 122 East 42nd Street |
Entity Address, Address Line Two | 18th Floor |
Entity Address, City or Town | New York |
Entity Address, State or Province | NY |
Entity Address, Postal Zip Code | 10168 |
City Area Code | (800) |
Local Phone Number | 221-0102 |
Contact Personnel Name | Cogency Global Inc. |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Jun. 30, 2023 | Jun. 30, 2022 |
Current assets | ||
Cash and cash equivalents | $ 236,821 | $ 716,052 |
Investment in marketable securities | 494,275 | 1,023,763 |
Accounts net receivable | 174,341 | 41,097 |
Inventory, at cost | 525,786 | 919,422 |
Deposits and prepaids | 13,412 | 6,872 |
Prepaid IPO costs | 5,317,866 | 223,229 |
Total current assets | 6,762,501 | 2,930,435 |
Property and equipment, net | 38,743 | 51,011 |
Operating right of use asset | 605,794 | 840,123 |
Deferred tax asset | 132,354 | 111,595 |
Brand names | 337,504 | 337,504 |
Goodwill | 1,161,052 | 1,161,052 |
Total assets | 9,037,948 | 5,431,720 |
Current liabilities | ||
Accounts payable and accrued expenses | 1,168,723 | 805,029 |
Deferred revenue | 238,351 | 501,976 |
Income tax payable | 486,058 | 655,673 |
Current portion of operating lease liability | 212,062 | 206,690 |
Total current liabilities | 2,129,580 | 2,272,818 |
Accrued employee benefits, non-current | 18,430 | 5,283 |
Operating lease liability, less current portion | 473,015 | 716,239 |
Total liabilities | 2,621,025 | 2,994,340 |
Commitments and contingencies (Note 6) | ||
Stockholders’ equity: | ||
Common stock, $0.0001 par value; 500,000,000 shares authorized, 8,120,000 and 7,000,000 shares issued and outstanding at June 30, 2023 and 2022, respectively | 812 | 700 |
Subscription receivable | (56) | |
Additional paid-in capital | 7,097,822 | 1,497,990 |
Accumulated other comprehensive income (loss) | (64) | 26,999 |
Retained earnings (accumulated deficit) | (681,647) | 911,747 |
Total stockholders’ equity | 6,416,923 | 2,437,380 |
Total liabilities and stockholders’ equity | 9,037,948 | 5,431,720 |
Related Party [Member] | ||
Current liabilities | ||
Due to related parties | $ 24,386 | $ 103,450 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2023 | Jun. 30, 2022 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 8,120,000 | 7,000,000 |
Common stock, shares outstanding | 8,120,000 | 7,000,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income - USD ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Revenues: | ||
Total revenues | $ 4,799,222 | $ 8,155,734 |
Cost of goods sold | (2,625,821) | (4,520,078) |
Gross profit | 2,173,401 | 3,635,656 |
Operating expenses: | ||
Personnel expenses | 965,395 | 981,711 |
General and administrative expenses | 888,141 | 503,269 |
Sales and marketing expenses | 454,995 | 604,200 |
Operating lease expense | 198,914 | 213,490 |
Depreciation expense | 12,268 | 730 |
Total operating expenses | 2,519,713 | 2,303,400 |
Income from operations | (346,312) | 1,332,256 |
Other income (expenses): | ||
IPO related expenses | (662,418) | (605,950) |
Unrealized loss on investments | (529,488) | (466,478) |
Other income (expenses) | 9,885 | (54) |
Interest income | 1,978 | 99 |
Interest expense | (92,800) | (27,419) |
Total other income (expenses) | (1,272,843) | (1,099,802) |
Income (loss) before taxes | (1,619,155) | 232,454 |
Income tax expense (benefit) | (25,761) | 219,852 |
Net income (loss) | (1,593,394) | 12,602 |
Foreign currency translation adjustment | (27,063) | (66,949) |
Comprehensive loss | $ (1,620,457) | $ (54,347) |
Basic earnings (loss) per share on net income (loss) | $ (0.21) | $ 0 |
Diluted earnings (loss) per share on net income (loss) | $ (0.21) | $ 0 |
Weighted average shares outstanding - basic | 7,714,959 | 7,000,000 |
Weighted average shares outstanding - diluted | 7,714,959 | 7,000,000 |
Merchandise Revenue [Member] | ||
Revenues: | ||
Total revenues | $ 4,036,047 | $ 7,246,588 |
Sales of Consumable Products [Member] | ||
Revenues: | ||
Total revenues | 223,343 | 200,104 |
Revenue From Licensing Customers [Member] | ||
Revenues: | ||
Total revenues | $ 539,832 | $ 709,042 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) | Common Stock [Member] | Subscription Receivable [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Jun. 30, 2021 | $ 700 | $ (56) | $ 1,497,990 | $ 93,948 | $ 899,145 | $ 2,491,727 |
Beginning balance, shares at Jun. 30, 2021 | 7,000,000 | |||||
Foreign currency translation adjustment | (66,949) | (66,949) | ||||
Net income (loss) | 12,602 | 12,602 | ||||
Ending balance, value at Jun. 30, 2022 | $ 700 | $ (56) | 1,497,990 | 26,999 | 911,747 | 2,437,380 |
Ending balance, shares at Jun. 30, 2022 | 7,000,000 | |||||
Foreign currency translation adjustment | (27,063) | (27,063) | ||||
Net income (loss) | (1,593,394) | (1,593,394) | ||||
Stock issued for services | $ 112 | 5,599,888 | $ 5,600,000 | |||
Stock issued for services, shares | 1,120,000 | 1,120,000 | ||||
Settlement of stock subscription | 56 | (56) | ||||
Ending balance, value at Jun. 30, 2023 | $ 812 | $ 7,097,822 | $ (64) | $ (681,647) | $ 6,416,923 | |
Ending balance, shares at Jun. 30, 2023 | 8,120,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Cash Flows from Operating Activities | ||
Net income (loss) | $ (1,593,394) | $ 12,602 |
Adjustments to reconcile net income (loss) to net cash from operating activities: | ||
Depreciation | 12,268 | 730 |
Bad debt provision | 426,971 | |
Unrealized loss on investments | 529,488 | 466,478 |
Stock issued for services | 560,000 | |
Changes in operating assets and liabilities | ||
Accounts receivable, net | (560,215) | (27,996) |
Inventory, at cost | 393,636 | (4,352) |
Deposits and prepaids | (61,177) | 74,394 |
Right of use activity | (3,523) | (4,454) |
Deferred tax asset | (20,759) | (61,533) |
Other non-current assets | 42,010 | |
Accounts payable and accrued expenses | 363,694 | (198,755) |
Deferred revenue | (263,625) | (662,743) |
Income tax payable | (169,615) | 235,920 |
Accrued employee benefits, non-current | 13,147 | (4,082) |
Net cash from activities | (373,104) | (131,781) |
Cash Flows from Investing Activities | ||
Purchase of investments | (1,490,241) | |
Purchase of property and equipment | (51,741) | |
Net activity on amount due from related party | 1,076,687 | |
Net cash from investing activities | (465,295) | |
Cash Flows from Financing Activities | ||
Net activity on due to related parties | (79,064) | 93,915 |
Net cash from financing activities | (79,064) | 93,915 |
Foreign currency translation adjustment | (27,063) | (66,949) |
Change in cash and cash equivalents | (479,231) | (570,110) |
Cash and cash equivalents at beginning of period | 716,052 | 1,286,162 |
Cash and cash equivalents at end of period | 236,821 | 716,052 |
Supplemental Cash Flow Information | ||
Cash paid for interest | ||
Cash paid for income taxes | 80,375 | 547,118 |
Non-Cash Investing and Financing Activities | ||
Stock issued for prepaid IPO services | $ 5,040,000 |
Organization and principal acti
Organization and principal activities | 12 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and principal activities | 1. Organization and principal activities Fitell Corporation (the “Company”) was incorporated in the Cayman Islands on April 11, 2022 under the Companies Act as an exempted company with limited liability. The Company conducts its primary operations of selling gym and fitness equipment in Australia through its indirectly held wholly owned subsidiaries that are incorporated and domiciled in Australia, namely GD Wellness Pty Ltd (“GD”). The Company holds GD via a wholly owned subsidiary, namely KMAS Capital and Investment Pty Ltd (“KMAS”) which is incorporated and domiciled in Australia. Details of the Company and its subsidiaries are set out in the table as follows: Schedule of the Company and its Subsidiaries Date of Percentage of Place of Name incorporation June 30, 2023 June 30, 2022 incorporation Principal activities Fitell Corporation April 11, 2022 Parent Parent Cayman Islands Investment holdings KMAS Capital and Investment Pty Ltd July 26, 2016 100 % 100 % Australia Investment holdings GD Wellness Pty Ltd July 22, 2005 100 % 100 % Australia Sales of gym and fitness equipment Reorganization On May 5, 2022, the Company entered into a Share Exchange Agreement (“Share Exchange Agreement”) with KMAS, which held all of the issued and outstanding shares of GD, and SKMA Capital and Investment Ltd, a company incorporated under the laws of the British Virgin Islands (“SKMA”), which holds all of the issued and outstanding shares of KMAS, pursuant to which the Company shall acquire all of the shares in KMAS from SKMA in exchange for the Company issuing 6,439,999 The combination has been treated as a corporate restructuring (reorganization) of entities under common control and thus the current capital structure has been retroactively presented in prior periods as if such structure existed at that time and in accordance with Accounting Standards Codification (“ASC”) Subtopic 805-50-45-5 “Business Combinations” FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of significant accounting policies | 2. Summary of significant accounting policies Basis of Presentation The consolidated financial statements and related disclosures have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The consolidated financial statements have been prepared using the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) and presented in US dollars. The year end is June 30. Consolidation The consolidated financial statements include the financial statements of the Company and its subsidiaries. All inter-company transactions and balances between the Company and its subsidiaries have been eliminated upon consolidation. Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk are cash, accounts receivable and other receivables arising from its normal business activities. The Company places its cash in what it believes to be credit-worthy financial institutions. The Company controls credit risk related to accounts receivable through credit approvals, credit limits and monitoring procedures. The Company routinely assesses the financial strength of its customers and, based upon factors surrounding the credit risk, establishes an allowance, if required, for uncollectible accounts and, as a consequence, believes that its accounts receivable credit risk exposure beyond such allowance is limited. Use of Estimates The preparation of consolidated financial statements in conformity with US GAAP 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Revenue Recognition The Company generates it main income source from the sales of merchandise, which includes the sales of various gym equipment and fitness products. It recognizes this merchandise revenue in accordance with Accounting Standards Update 2014-09, “ Revenue from contracts with customers,” refunds, repairs and replacements in accordance with the Australian Consumer Law. The Company recognized the sales discount and returns against its revenues in the same period as the original sales transaction. The Company also occasionally sells various consumable products. These products include, but not limited to, coffee and nutritional supplement products. Similar to the aforesaid merchandise revenue, it also recognizes the revenue in accordance with Topic 606 upon shipment. If the Company provided sales discount or allowed sales returns, it is recognized against its revenues in the same period as the original sales transaction. FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The Company also provides licensing services and guy equipment to gym studios in overseas. These services include, but not limited to, providing the brand name, and offer initial design services to these gym studios. Similar to the aforesaid merchandise revenue, it also recognizes the revenue in accordance with Topic 606 based on the straight-line basis over the contractual service period.) . Deferred Revenue The Company recognized the deposits received from its customers as deferred revenue if the goods or service is not delivered. It would be recognized as revenue after the goods or service is delivered. During the fiscal year ended June 30, 2023, a total of US$ 501,976 190,892 311,084 238,351 Stock-based Compensation The Company records stock-based compensation in accordance with the provisions of the ASC 718, “Accounting for Stock Compensation,” which establishes accounting standards for the transaction in which an entity exchanges its equity instruments for goods or services. In accordance with guidance provided under ASC 718, the Company recognizes an expense for the fair value of its stock awards at the time of the grant and the fair value of its outstanding stock options as they vest, whether held by employees or others. During the fiscal year ended June 30, 2023, the Company has issued 1,120,000 5.00 no Customers Loyalty Program For certain sales transactions, the Company offers loyalty points to its customer based on the dollar value of the transaction which giver the customer the option to acquire additional goods or services at a price that is lower than its stand-alone selling price. In accordance with Topic 606, the Company evaluates whether these loyalty points constitute separate performance obligations and the need to allocate the transaction price between revenue and performance obligation. As of December 31, 2022, the Company does not believe that any separate performance obligation under the loyalty program is material . Fair Value Measurements ASC Topic 820, Fair Value Measurements Level 1: Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. Level 2: Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. Level 3: Inputs are unobservable inputs which reflect the reporting entity’s own assumptions on what assumptions the market participants would use in pricing the asset or liability based on the best available information. The estimated fair value of certain financial instruments, including all current liabilities are carried at historical cost basis, which approximates their fair values because of the short-term nature of these instruments. FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Fair Value of Financial Instruments ASC Subtopic 825-10, Financial Instruments Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Marketable Securities The Company accounts for investments in marketable securities in accordance with ASC Topic 825, Financial Instruments. 529,488 466,478 Advertising and Promotion The Company follows the policy of charging the costs of advertising, marketing, and public relations to expense as incurred. The Company has $ 454,995 604,200 Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax basis and operating loss, capital loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company records interest and penalties related to unrecognized tax benefits as a component of general and administrative expenses. Our federal tax return and any state tax returns are not currently under examination. The Company has adopted ASC 740-10, Accounting for Income Taxes FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Inventory Inventory consists of only finished goods and are stated at the lower of cost and net realizable value on a ‘first in first out’ basis. Cost comprises of direct materials and delivery costs, direct labor, import duties and other taxes, and an appropriate proportion of variable and fixed overhead expenditure based on normal operating capacity. Costs of purchased inventory are determined after deducting rebates and discounts received or receivable. Stock in transit is stated at the lower of cost and net realizable value. Cost comprises purchase and delivery costs, net of rebates and discounts received or receivable. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale. Accounts Receivable The Company has applied the simplified approach to measuring expected credit losses, which uses a lifetime expected loss allowance. To measure the expected credit losses, trade receivables have been grouped based on days overdue. Account balances deemed to be uncollectible are charged to bad debt expense and included in the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. At June 30, 2023, the Company has considered an allowance of $ 426,971 no Property and Equipment Property and Equipment - Property and equipment is stated at cost, net of depreciation. Depreciation is provided over the estimated useful lives of the related assets using the straight-line method. Depreciation expense totaled $ 12,268 730 Impairment Policy Impairment of long lived assets – Potential impairments of long lived assets are reviewed when events or changes in circumstances indicate a potential impairment may exist. In accordance with ASC Subtopic 360-10, “Property, Plant and Equipment – Overall” Intangible Assets The Company’s intangible assets consist of brand names and goodwill. At June 30, 2023 and 2022, the Company had brand names and goodwill with costs of approximately $ 337,504 1,161,052 none FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Net Income (Loss) Per Common Share The Company computes income per common share, in accordance with ASC Topic 260, Earnings Per Share, No Comprehensive Income (loss) ASC Topic 220, Comprehensive Income 27,063 66,949 Foreign Currencies The Company determined that its functional currency is the Australian dollar since the Australian dollar is the currency of the environment in which the Company primarily generates and expends cash; however, the Company’s reporting currency is the U.S. dollar. Foreign currency transaction gains and losses represent gains and losses resulting from transactions entered into in a currency other than the functional currency of the Company. These transaction gains and losses, if any, are included in results of operations. Leases The Company accounts for leases in accordance with ASC Topic 842, Lease As permitted under ASC Topic 842, the Company has made an accounting policy election not to apply the lease recognition provision to short term leases (leases with a lease term of 12 months or less that do not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise); instead, the Company will recognize the lease payments for short term leases on a straight-line basis over the lease term. The Company did no Recent Accounting Pronouncements The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the consolidated financial statements, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations. Subsequent Events In accordance with ASC Topic 855, Subsequent Events FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Investment in marketable securi
Investment in marketable securities | 12 Months Ended |
Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment in marketable securities | 3. Investment in marketable securities As of June 30, 2023 and 2022, the Company held some equity securities which are publicly traded on registered Stock Exchanges. The equity securities being held as of June 30, 2023 and 2022 were valued at $ 494,275 1,023,763 Schedule of Assets Measured at Fair Value on Recurring Basis as at June 30, 2023: Description Level 1 Level 2 Level 3 Total Equity securities $ 494,275 $ - $ - $ 494,275 Total $ 494,275 $ - $ - $ 494,275 as at June 30, 2022: Description Level 1 Level 2 Level 3 Total Equity securities $ 1,023,763 $ - $ - $ 1,023,763 Total $ 1,023,763 $ - $ - $ 1,023,763 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | 4. Property and Equipment The Company’s property and equipment at June 30, 2023 and 2022 consisted of the following: Schedule of Property and Equipment Estimated Useful Life June 30, 2023 June 30, 2022 Motor Vehicle 5 $ 51,741 51,741 Property and equipment, gross 51,741 $ 51,741 Less accumulated depreciation (12,998 ) (730 ) Property and equipment, net $ 38,743 $ 51,011 For the years ended June 30, 2023 and 2022, the Company recorded $ 12,268 730 FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Lease right-of-use assets and l
Lease right-of-use assets and lease liabilities | 12 Months Ended |
Jun. 30, 2023 | |
Lease Right-of-use Assets And Lease Liabilities | |
Lease right-of-use assets and lease liabilities | 5. Lease right-of-use assets and lease liabilities Operating leases The Company leases office space in Taren Point, NSW, Australia. The lease commenced on July 15, 2018 and ends on July 14, 2023, with a three year optional extension that the Company expects to utilize. The monthly lease payments are $ 25,000 3 Operating lease right-of-use assets and liabilities are recognized at the present value of the future lease payments at the lease commencement date. The interest rate used to determine the present value is our incremental borrowing rate, estimated to be 3.70 198,914 213,490 Operating right-of- use assets are summarized below: Schedule of Operating Right of use Assets and Operating Lease Liabilities June 30, 2023 June 30, 2022 Office lease $ 1,541,390 $ 1,541,390 Less accumulated amortization (935,596 ) (701,267 ) Right-of-use, net $ 605,794 $ 840,123 Operating lease liabilities are summarized below: June 30, 2023 June 30, 2022 Office lease $ 685,077 $ 922,929 Less: current portion 212,062 206,690 Long term portion $ 473,015 $ 716,239 Schedule of Maturity of Operating Lease Liabilities June 30, 2023 Year ending June 30, 2024 $ 233,735 Year ending June 30, 2025 240,747 Year ending June 30, 2026 247,970 Total future minimum lease payments 722,452 Less imputed interest (37,375 ) PV of Payments $ 685,077 |
Commitments and contingencies
Commitments and contingencies | 12 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingencies | 6. Commitments and contingencies During the normal course of business, the Company may be exposed to litigation. When the Company becomes aware of potential litigation, it evaluates the merits of the case in accordance with ASC 450-20-50, Contingencies FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Income taxes
Income taxes | 12 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income taxes | 7. Income taxes A reconciliation of the effective tax rate to the statutory rate is shown below: Schedule of Reconciliation of Provision of Income Tax June 30, 2023 June 30, 2022 Income (loss) before taxes $ (1,619,155 ) $ 232,454 Expected income tax expense (credit) at statutory rate of 25 25 $ (404,789 ) $ 58,114 Increase (decrease) in income taxes resulting from: Stock issued for services 140,000 - IPO related expenses 27,601 151,488 Provision for bad debt 106,742 - Unrealized loss on investments 131,613 - Government Subsidy Tech Boost (6,721 ) - Other items, net (20,207 ) 10,250 Income tax expense (credit) $ (25,761 ) $ 219,852 The tax effects temporary differences that gave rise to the deferred tax assets and liabilities are as follows: Schedule of Components of Deferred Tax Assets June 30, 2023 June 30, 2022 Deferred tax assets: Accrued employee benefits $ 1,877 $ 21,718 Unrealized loss on investments 22,082 114,515 Unrealized foreign exchange gain (1,394 ) (13,202 ) Depreciation 3,049 (12,753 ) Accrued expense - 1,317 Provision for bad debt 106,740 - Net deferred tax asset $ 132,354 $ 111,595 As of June 30, 2023 and 2022, the Company had no material net operating loss or tax credit carryforwards. As of June 30, 2023 and 2022, the Company had no provision for uncertain tax positions and no provisions for penalties or interest. In addition, the Company does not believe that there are any uncertain tax benefits that could be recognized in the near future that would impact the Company’s effective tax rate. |
Due to Related Party Transactio
Due to Related Party Transactions | 12 Months Ended |
Jun. 30, 2023 | |
Related Party Transactions [Abstract] | |
Due to Related Party Transactions | 8. Due to Related Party Transactions The amount due to a related party called Ansa Group Limited (“Ansa”), an entity under common control of the majority shareholder of the Company was $ 24,386 103,450 |
Subsequent Event
Subsequent Event | 12 Months Ended |
Jun. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Event | 9. Subsequent Event On August 8, 2023, the Company has successfully listed on Nasdaq and has raised a net proceed of approximately $ 13.6 3,000,000 In addition, subsequent to June 30, 2023, the Company has entered into a consulting agreement with a third party, for future capital market and fund-raising consulting services. The consideration of the contract is $ 1.8 |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The consolidated financial statements and related disclosures have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The consolidated financial statements have been prepared using the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) and presented in US dollars. The year end is June 30. |
Consolidation | Consolidation The consolidated financial statements include the financial statements of the Company and its subsidiaries. All inter-company transactions and balances between the Company and its subsidiaries have been eliminated upon consolidation. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk are cash, accounts receivable and other receivables arising from its normal business activities. The Company places its cash in what it believes to be credit-worthy financial institutions. The Company controls credit risk related to accounts receivable through credit approvals, credit limits and monitoring procedures. The Company routinely assesses the financial strength of its customers and, based upon factors surrounding the credit risk, establishes an allowance, if required, for uncollectible accounts and, as a consequence, believes that its accounts receivable credit risk exposure beyond such allowance is limited. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with US GAAP 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. |
Revenue Recognition | Revenue Recognition The Company generates it main income source from the sales of merchandise, which includes the sales of various gym equipment and fitness products. It recognizes this merchandise revenue in accordance with Accounting Standards Update 2014-09, “ Revenue from contracts with customers,” refunds, repairs and replacements in accordance with the Australian Consumer Law. The Company recognized the sales discount and returns against its revenues in the same period as the original sales transaction. The Company also occasionally sells various consumable products. These products include, but not limited to, coffee and nutritional supplement products. Similar to the aforesaid merchandise revenue, it also recognizes the revenue in accordance with Topic 606 upon shipment. If the Company provided sales discount or allowed sales returns, it is recognized against its revenues in the same period as the original sales transaction. FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The Company also provides licensing services and guy equipment to gym studios in overseas. These services include, but not limited to, providing the brand name, and offer initial design services to these gym studios. Similar to the aforesaid merchandise revenue, it also recognizes the revenue in accordance with Topic 606 based on the straight-line basis over the contractual service period.) . |
Deferred Revenue | Deferred Revenue The Company recognized the deposits received from its customers as deferred revenue if the goods or service is not delivered. It would be recognized as revenue after the goods or service is delivered. During the fiscal year ended June 30, 2023, a total of US$ 501,976 190,892 311,084 238,351 |
Stock-based Compensation | Stock-based Compensation The Company records stock-based compensation in accordance with the provisions of the ASC 718, “Accounting for Stock Compensation,” which establishes accounting standards for the transaction in which an entity exchanges its equity instruments for goods or services. In accordance with guidance provided under ASC 718, the Company recognizes an expense for the fair value of its stock awards at the time of the grant and the fair value of its outstanding stock options as they vest, whether held by employees or others. During the fiscal year ended June 30, 2023, the Company has issued 1,120,000 5.00 no |
Customers Loyalty Program | Customers Loyalty Program For certain sales transactions, the Company offers loyalty points to its customer based on the dollar value of the transaction which giver the customer the option to acquire additional goods or services at a price that is lower than its stand-alone selling price. In accordance with Topic 606, the Company evaluates whether these loyalty points constitute separate performance obligations and the need to allocate the transaction price between revenue and performance obligation. As of December 31, 2022, the Company does not believe that any separate performance obligation under the loyalty program is material . |
Fair Value Measurements | Fair Value Measurements ASC Topic 820, Fair Value Measurements Level 1: Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. Level 2: Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. Level 3: Inputs are unobservable inputs which reflect the reporting entity’s own assumptions on what assumptions the market participants would use in pricing the asset or liability based on the best available information. The estimated fair value of certain financial instruments, including all current liabilities are carried at historical cost basis, which approximates their fair values because of the short-term nature of these instruments. FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Fair Value of Financial Instruments | Fair Value of Financial Instruments ASC Subtopic 825-10, Financial Instruments |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. |
Marketable Securities | Marketable Securities The Company accounts for investments in marketable securities in accordance with ASC Topic 825, Financial Instruments. 529,488 466,478 |
Advertising and Promotion | Advertising and Promotion The Company follows the policy of charging the costs of advertising, marketing, and public relations to expense as incurred. The Company has $ 454,995 604,200 |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax basis and operating loss, capital loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company records interest and penalties related to unrecognized tax benefits as a component of general and administrative expenses. Our federal tax return and any state tax returns are not currently under examination. The Company has adopted ASC 740-10, Accounting for Income Taxes FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Inventory | Inventory Inventory consists of only finished goods and are stated at the lower of cost and net realizable value on a ‘first in first out’ basis. Cost comprises of direct materials and delivery costs, direct labor, import duties and other taxes, and an appropriate proportion of variable and fixed overhead expenditure based on normal operating capacity. Costs of purchased inventory are determined after deducting rebates and discounts received or receivable. Stock in transit is stated at the lower of cost and net realizable value. Cost comprises purchase and delivery costs, net of rebates and discounts received or receivable. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale. |
Accounts Receivable | Accounts Receivable The Company has applied the simplified approach to measuring expected credit losses, which uses a lifetime expected loss allowance. To measure the expected credit losses, trade receivables have been grouped based on days overdue. Account balances deemed to be uncollectible are charged to bad debt expense and included in the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. At June 30, 2023, the Company has considered an allowance of $ 426,971 no |
Property and Equipment | Property and Equipment Property and Equipment - Property and equipment is stated at cost, net of depreciation. Depreciation is provided over the estimated useful lives of the related assets using the straight-line method. Depreciation expense totaled $ 12,268 730 |
Impairment Policy | Impairment Policy Impairment of long lived assets – Potential impairments of long lived assets are reviewed when events or changes in circumstances indicate a potential impairment may exist. In accordance with ASC Subtopic 360-10, “Property, Plant and Equipment – Overall” |
Intangible Assets | Intangible Assets The Company’s intangible assets consist of brand names and goodwill. At June 30, 2023 and 2022, the Company had brand names and goodwill with costs of approximately $ 337,504 1,161,052 none FITELL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Net Income (Loss) Per Common Share | Net Income (Loss) Per Common Share The Company computes income per common share, in accordance with ASC Topic 260, Earnings Per Share, No |
Comprehensive Income (loss) | Comprehensive Income (loss) ASC Topic 220, Comprehensive Income 27,063 66,949 |
Foreign Currencies | Foreign Currencies The Company determined that its functional currency is the Australian dollar since the Australian dollar is the currency of the environment in which the Company primarily generates and expends cash; however, the Company’s reporting currency is the U.S. dollar. Foreign currency transaction gains and losses represent gains and losses resulting from transactions entered into in a currency other than the functional currency of the Company. These transaction gains and losses, if any, are included in results of operations. |
Leases | Leases The Company accounts for leases in accordance with ASC Topic 842, Lease As permitted under ASC Topic 842, the Company has made an accounting policy election not to apply the lease recognition provision to short term leases (leases with a lease term of 12 months or less that do not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise); instead, the Company will recognize the lease payments for short term leases on a straight-line basis over the lease term. The Company did no |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the consolidated financial statements, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations. |
Subsequent Events | Subsequent Events In accordance with ASC Topic 855, Subsequent Events |
Organization and principal ac_2
Organization and principal activities (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of the Company and its Subsidiaries | Details of the Company and its subsidiaries are set out in the table as follows: Schedule of the Company and its Subsidiaries Date of Percentage of Place of Name incorporation June 30, 2023 June 30, 2022 incorporation Principal activities Fitell Corporation April 11, 2022 Parent Parent Cayman Islands Investment holdings KMAS Capital and Investment Pty Ltd July 26, 2016 100 % 100 % Australia Investment holdings GD Wellness Pty Ltd July 22, 2005 100 % 100 % Australia Sales of gym and fitness equipment |
Investment in marketable secu_2
Investment in marketable securities (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Assets Measured at Fair Value on Recurring Basis | As of June 30, 2023 and 2022, the Company held some equity securities which are publicly traded on registered Stock Exchanges. The equity securities being held as of June 30, 2023 and 2022 were valued at $ 494,275 1,023,763 Schedule of Assets Measured at Fair Value on Recurring Basis as at June 30, 2023: Description Level 1 Level 2 Level 3 Total Equity securities $ 494,275 $ - $ - $ 494,275 Total $ 494,275 $ - $ - $ 494,275 as at June 30, 2022: Description Level 1 Level 2 Level 3 Total Equity securities $ 1,023,763 $ - $ - $ 1,023,763 Total $ 1,023,763 $ - $ - $ 1,023,763 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | The Company’s property and equipment at June 30, 2023 and 2022 consisted of the following: Schedule of Property and Equipment Estimated Useful Life June 30, 2023 June 30, 2022 Motor Vehicle 5 $ 51,741 51,741 Property and equipment, gross 51,741 $ 51,741 Less accumulated depreciation (12,998 ) (730 ) Property and equipment, net $ 38,743 $ 51,011 |
Lease right-of-use assets and_2
Lease right-of-use assets and lease liabilities (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Lease Right-of-use Assets And Lease Liabilities | |
Schedule of Operating Right of use Assets and Operating Lease Liabilities | Operating right-of- use assets are summarized below: Schedule of Operating Right of use Assets and Operating Lease Liabilities June 30, 2023 June 30, 2022 Office lease $ 1,541,390 $ 1,541,390 Less accumulated amortization (935,596 ) (701,267 ) Right-of-use, net $ 605,794 $ 840,123 Operating lease liabilities are summarized below: June 30, 2023 June 30, 2022 Office lease $ 685,077 $ 922,929 Less: current portion 212,062 206,690 Long term portion $ 473,015 $ 716,239 |
Schedule of Maturity of Operating Lease Liabilities | Schedule of Maturity of Operating Lease Liabilities June 30, 2023 Year ending June 30, 2024 $ 233,735 Year ending June 30, 2025 240,747 Year ending June 30, 2026 247,970 Total future minimum lease payments 722,452 Less imputed interest (37,375 ) PV of Payments $ 685,077 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Reconciliation of Provision of Income Tax | A reconciliation of the effective tax rate to the statutory rate is shown below: Schedule of Reconciliation of Provision of Income Tax June 30, 2023 June 30, 2022 Income (loss) before taxes $ (1,619,155 ) $ 232,454 Expected income tax expense (credit) at statutory rate of 25 25 $ (404,789 ) $ 58,114 Increase (decrease) in income taxes resulting from: Stock issued for services 140,000 - IPO related expenses 27,601 151,488 Provision for bad debt 106,742 - Unrealized loss on investments 131,613 - Government Subsidy Tech Boost (6,721 ) - Other items, net (20,207 ) 10,250 Income tax expense (credit) $ (25,761 ) $ 219,852 |
Schedule of Components of Deferred Tax Assets | The tax effects temporary differences that gave rise to the deferred tax assets and liabilities are as follows: Schedule of Components of Deferred Tax Assets June 30, 2023 June 30, 2022 Deferred tax assets: Accrued employee benefits $ 1,877 $ 21,718 Unrealized loss on investments 22,082 114,515 Unrealized foreign exchange gain (1,394 ) (13,202 ) Depreciation 3,049 (12,753 ) Accrued expense - 1,317 Provision for bad debt 106,740 - Net deferred tax asset $ 132,354 $ 111,595 |
Schedule of the Company and its
Schedule of the Company and its Subsidiaries (Details) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Fitell Corporation [Member] | ||
Date of incorporation | Apr. 11, 2022 | |
Percentage of effective ownership description | Parent | Parent |
Place of incorporation | Cayman Islands | |
Principal activities | Investment holdings | |
KMAS Capital and Investment Pty Ltd [Member] | ||
Date of incorporation | Jul. 26, 2016 | |
Place of incorporation | Australia | |
Principal activities | Investment holdings | |
Percentage of effective ownership | 100% | 100% |
GD Wellness Pty Ltd [Member] | ||
Date of incorporation | Jul. 22, 2005 | |
Place of incorporation | Australia | |
Principal activities | Sales of gym and fitness equipment | |
Percentage of effective ownership | 100% | 100% |
Organization and principal ac_3
Organization and principal activities (Details Narrative) | 12 Months Ended |
May 05, 2023 shares | |
Share Exchange Agreement [Member] | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |
Ordinary shares issued | 6,439,999 |
Summary of significant accoun_3
Summary of significant accounting policies (Details Narrative) - USD ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Product Information [Line Items] | ||
Deferred revenue, revenue recognized | $ 501,976 | |
Deferred revenue | $ 238,351 | $ 501,976 |
Shares issued for services | 1,120,000 | |
Shares issued, price per share | $ 5 | |
Stock-based compensation | 0 | |
Unrealized loss on investments | $ 529,488 | 466,478 |
Sales and marketing expenses | 454,995 | 604,200 |
Allowance for doubtful accounts receivable | 426,971 | |
Depreciation expense | 12,268 | 730 |
Brand names cost | 337,504 | 337,504 |
Goodwill | 1,161,052 | 1,161,052 |
Impairment of intangible assets | $ 0 | 0 |
Potential dilutive common shares | 0 | |
Foreign currency translation adjustment | $ 27,063 | 66,949 |
Short-term leases | 0 | $ 0 |
Merchandise Revenue [Member] | ||
Product Information [Line Items] | ||
Deferred revenue, revenue recognized | 190,892 | |
Revenue From Licensing Customers [Member] | ||
Product Information [Line Items] | ||
Deferred revenue, revenue recognized | $ 311,084 |
Schedule of Assets Measured at
Schedule of Assets Measured at Fair Value on Recurring Basis (Details) - USD ($) | Jun. 30, 2023 | Jun. 30, 2022 |
Financing Receivable, Past Due [Line Items] | ||
Total | $ 494,275 | $ 1,023,763 |
Fair Value, Recurring [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 494,275 | 1,023,763 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 494,275 | 1,023,763 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | ||
Equity Securities [Member] | Fair Value, Recurring [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 494,275 | 1,023,763 |
Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 494,275 | 1,023,763 |
Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | ||
Equity Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | ||
Equity Securities [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total | $ 494,275 | $ 1,023,763 |
Schedule of Property and Equipm
Schedule of Property and Equipment (Details) - USD ($) | Jun. 30, 2023 | Jun. 30, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 51,741 | $ 51,741 |
Less accumulated depreciation | (12,998) | (730) |
Property and equipment, net | 38,743 | 51,011 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 51,741 | $ 51,741 |
Estimated Useful Life | 5 years |
Property and Equipment (Details
Property and Equipment (Details Narrative) - USD ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation | $ 12,268 | $ 730 |
Schedule of Operating Right of
Schedule of Operating Right of use Assets and Operating Lease Liabilities (Details) - USD ($) | Jun. 30, 2023 | Jun. 30, 2022 |
Lease Right-of-use Assets And Lease Liabilities | ||
Office lease | $ 1,541,390 | $ 1,541,390 |
Less accumulated amortization | (935,596) | (701,267) |
Right-of-use, net | 605,794 | 840,123 |
Office lease | 685,077 | 922,929 |
Less: current portion | 212,062 | 206,690 |
Long term portion | $ 473,015 | $ 716,239 |
Schedule of Maturity of Operati
Schedule of Maturity of Operating Lease Liabilities (Details) | Jun. 30, 2023 USD ($) |
Lease Right-of-use Assets And Lease Liabilities | |
Year ending June 30, 2024 | $ 233,735 |
Year ending June 30, 2025 | 240,747 |
Year ending June 30, 2026 | 247,970 |
Total future minimum lease payments | 722,452 |
Less imputed interest | (37,375) |
PV of Payments | $ 685,077 |
Lease right-of-use assets and_3
Lease right-of-use assets and lease liabilities (Details Narrative) | 12 Months Ended | ||
Jun. 30, 2023 USD ($) | Jun. 30, 2023 AUD ($) | Jun. 30, 2022 USD ($) | |
Lease Right-of-use Assets And Lease Liabilities | |||
Operating lease payments | $ 25,000 | ||
Annual escalation rate | 3% | 3% | |
Incremental borrowing rate | 3.70% | 3.70% | |
Operating lease expense | $ 198,914 | $ 213,490 |
Schedule of Reconciliation of P
Schedule of Reconciliation of Provision of Income Tax (Details) - USD ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||
Income (loss) before taxes | $ (1,619,155) | $ 232,454 |
Expected income tax expense (credit) at statutory rate of 25% (2022: 25%) | (404,789) | 58,114 |
Stock issued for services | 140,000 | |
IPO related expenses | 27,601 | 151,488 |
Provision for bad debt | 106,742 | |
Unrealized loss on investments | 131,613 | |
Government Subsidy Tech Boost | (6,721) | |
Other items, net | (20,207) | 10,250 |
Income tax expense (credit) | $ (25,761) | $ 219,852 |
Schedule of reconciliation of_2
Schedule of reconciliation of provision of income tax (Details) (Parenthetical) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||
Effective Income Tax Rate Reconciliation, Percent | 25% | 25% |
Schedule of Components of Defer
Schedule of Components of Deferred Tax Assets (Details) - USD ($) | Jun. 30, 2023 | Jun. 30, 2022 |
Income Tax Disclosure [Abstract] | ||
Accrued employee benefits | $ 1,877 | $ 21,718 |
Unrealized loss on investments | 22,082 | 114,515 |
Unrealized foreign exchange gain | (1,394) | (13,202) |
Depreciation | 3,049 | (12,753) |
Accrued expense | 1,317 | |
Provision for bad debt | 106,740 | |
Net deferred tax asset | $ 132,354 | $ 111,595 |
Due to Related Party Transact_2
Due to Related Party Transactions (Details Narrative) - USD ($) | Jun. 30, 2023 | Jun. 30, 2022 |
Related Party [Member] | ||
Related Party Transaction [Line Items] | ||
Other Liabilities, Current | $ 24,386 | $ 103,450 |
Subsequent Event (Details Narra
Subsequent Event (Details Narrative) - Subsequent Event [Member] - USD ($) $ in Millions | Aug. 08, 2023 | Jul. 02, 2023 |
Subsequent Event [Line Items] | ||
Proceeds from issuance of common stock | $ 13.6 | |
Consulting Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Stock issued during period value new iIssues | $ 1.8 | |
Common Stock [Member] | ||
Subsequent Event [Line Items] | ||
Stock issued during period shares new issues | 3,000,000 |