For the years ended November 30, 2017 and 2016, the Company has incurred net losses and, therefore, has no tax liability. The net deferred tax asset generated by the loss carry-forward has been fully reserved. The cumulative net operating loss carry-forward is approximately $1,800,868 at November 30, 2017, and will begin to expire in the year 2028.
The provision for Federal income tax consists of the following as of November 30, 2017 and 2016:
| 2017 | 2016 | |||||||
| Federal income tax benefit attributable to: | ||||||||
| Current operations | $ | 18,431 | $ | 20,430 | ||||
| Less: valuation allowance | (18,431 | ) | (20,430 | ) | ||||
| Net provision for Federal income taxes | $ | - | $ | - | ||||
The cumulative tax effect at the expected rate of 35% of significant items comprising our net deferred tax amount is as follows as of November 30, 2017 and 2016:
| 2017 | 2016 | |||||||
| Deferred tax asset attributable to: | ||||||||
| Net operating loss carryover | $ | 630,796 | $ | 594,365 | ||||
| Less: valuation allowance | (630,796 | ) | (594,365 | ) | ||||
| Net deferred tax asset | $ | - | $ | - | ||||
Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards for federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur net operating loss carry forwards may be limited as to use in future years.