A reconciliation of income tax expense to the amount computed at the statutory rates is as follows:
| December 31, | ||||||||
| 2016 | 2015 | |||||||
| Operating profit (loss) for the years ended December 31 | $ | (1,561,189 | ) | $ | (201,969 | ) | ||
| Average statutory tax rate | 34 | % | 34 | % | ||||
| Expected income tax provisions | $ | (530,804 | ) | $ | (68,669 | ) | ||
| Unrecognized tax gains (loses) | (530,804 | ) | (68,669 | ) | ||||
| Income tax expense | $ | - | $ | - | ||||
The Company has net operating losses carried forward of approximately $1,981,574 for tax purposes which will expire in 2026 if not utilized beforehand.