7. Income Taxes
The Company is subject to income taxes on its unconsolidated financial statements in Canada and the United States. The consolidated provision for income taxes varies from the amount that would be computed from applying the combined statutory income tax rates to net loss before taxes were approximately as follows:
| 2017 | 2016 | |
| Combined statutory rate | 34% | 34% |
| Expected income tax recovery | $ (130,000) | $ (301,000) |
| Non-deductible differences and other | (5,000) | (116,000) |
| Deferred tax assets not recognized | 135,000 | 417,000 |
| Income tax provision | $ - | $ - |
The significant components of the Company’s deferred income tax assets were approximately:
| 2017 | 2016 | |||
| Losses available for future periods | $ | 1,480,000 | $ | 1,327,000 |
| Tax assets not recognized | (1,480,000) | (1,327,000) | ||
| Net deferred income tax asset | $ | - | $ | - |
The Company has non-capital losses of approximately $4,709,000 which may be carried forward and applied against taxable income in future years and expire as follows:
| Canada | United States | |||
| 2027 | $ | - | $ | 1,000 |
| 2028 | - | 16,000 | ||
| 2029 | - | 35,000 | ||
| 2030 | - | 30,000 | ||
| 2031 | - | 78,000 | ||
| 2032 | 237,000 | 24,000 | ||
| 2033 | 813,000 | 53,000 | ||
| 2034 | 462,000 | 511,000 | ||
| 2035 | 11,000 | 1,688,000 | ||
| 2036 | - | 312,000 | ||
| 2037 | - | 438,000 | ||
| $ | 1,523,000 | $ | 3,186,000 |