INCOME TAXES |
6 Months Ended | |||
|---|---|---|---|---|
Jun. 30, 2022 | ||||
| Income Tax Disclosure [Abstract] | ||||
| INCOME TAXES |
Income taxes are accounted for under the asset and liability method whereby deferred tax assets and liabilities are recognized for future tax consequences attributable to the temporary differences between the consolidated financial statements carrying amounts of assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company’s policy is to record estimated interest and penalties related to uncertain tax positions in income tax expense.
The provision for income tax for the three months ended June 30, 2022 and 2021 was $6,225 and $2,078, respectively. The provision for income tax for the six months ended June 30, 2022 and 2021 was $7,500 and $4,328, respectively.
The difference between the Company’s statutory tax rate and its effective rate is due to the valuation allowance taken on the Company’s net operating loss carryforwards. |