Entity information:
8.
 
income taxes:
As of
December 31, 2017 
the Company had deferred tax assets resulting primarily from net operating loss carry forwards of approximately
$30,983,000,
which are available to offset future taxable income, if any, through
2035.
As utilization of the net operating loss carryforwards is
not
assured, a
100%
valuation allowance has been provided (tax rates have been adjusted for Tax Cuts and Job Act).
 
The components of the net deferred tax assets are as follows:
 
December 31,
  
201
7
    
201
6
  
Net operating loss carryforwards
   $
6,507,000
     $
6,458,000
  
Valuation allowance
    
(6,507,000
 )    
(6,458,000
 )
Net deferred tax assets
   $
- 0 -
     $
- 0 -
  
 
 
The reconciliation of the effective income tax rate to the federal statutory rate are as follows:
 
Year ended December 31,
  
20
17
    
20
16
  
Federal statutory tax rate
    
21
 %    
21
 %
Valuation allowance on net operating carryforwards
    
(21
 )    
(21
 )
Effective income tax rate
    
- 0 -
 %    
- 0 -
 %
 
 
As of
December 31, 2017,
open Federal income tax years subjected to examination, include the tax years ended
December 31, 2016
through
December 31, 2014.
Tax carry forwards begin to expire in
2019.