Provision for income taxes is comprised of the following: | |||||||
30-Sep-17 | 30-Sep-16 | ||||||
Net loss before provision for income taxes | ($1,222,007) | ($1,881,136) | |||||
Current tax expense: | |||||||
Federal | $0 | $0 | |||||
State | 0 | 0 | |||||
Total | 0 | 0 | |||||
Less deferred tax benefit: | |||||||
Tax loss carryforwards | (5,538,905) | (4,187,180) | |||||
Allowance for recoverability | 5,538,905 | 4,187,180 | |||||
Provision for income taxes | $0 | $0 | |||||
A reconciliation of provision for income taxes at the statutory rate to provision | |||||||
for income taxes at the Company's effective tax rate is as follows: | |||||||
Statutory U.S. federal rate | 34.00% | 34.00% | |||||
Statutory state and local income tax | 10.00% | 10.00% | |||||
Less allowance for tax carryforward | -44.00% | -44.00% | |||||
Effective rate | 0.00% | 0.00% | |||||
Note: The deferred tax benefits arising from the timing differences begin to expire in fiscal year | |||||||
2033 and 2034 and may not be recoverable upon the purchase of the Company under current IRS statutes. |