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FEDERAL INCOME TAX
 12 Months Ended
Sep. 30, 2023
Income Tax Disclosure [Abstract]  
FEDERAL INCOME TAX

NOTE 5 – FEDERAL INCOME TAX

 

As of September 30, 2023, and 2022, the Company has net operating loss carry forwards of approximately $2,497,000 and $2,133,000, respectively, which may be available to reduce future years’ taxable income through 2043. The Company’s net operating loss carry forwards may be subject to annual limitations, which could reduce or defer the utilization of the losses because of an ownership change as defined in Section 382 of the Internal Revenue Code.

 

The Company’s tax expense differs from the “expected” tax expense for Federal income tax purposes (computed by applying the United States Federal tax rate of 21% to loss before taxes for fiscal year 2023 and 2022), as follows:

 

          
   September 30,  September 30,
   2023  2022
Tax expense (benefit) at the statutory rate  $(101,591)  $(204,559)
State income taxes, net of federal income tax benefit   (12,578)   (25,326)
Change in valuation allowance   114,169    229,885 
Total  $—     $—   

 

The tax effects of the temporary differences between reportable financial statement income and taxable income are recognized as deferred tax assets and liabilities.

 

The tax years 2023 and 2022 remain open for examination by federal agencies and other jurisdictions in which it operates.

 

The tax effect of significant components of the Company’s deferred tax assets and liabilities at September 30, 2023 and 2022, are as follows:

 

          
   September 30,  September 30,
   2023  2022
Net operating loss carryforward  $589,214   $503,471 
Total gross deferred tax assets   589,214    503,471 
Less: Deferred tax asset valuation allowance   (589,214)   (503,471)
Total net deferred taxes  $—     $—   

 

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment.

 

Because of the historical earnings history of the Company, the net deferred tax assets for 2023 and 2022 were fully offset by a 100% valuation allowance. The valuation allowance for the remaining net deferred tax assets was $2,687,054 and $2,572,885 as of September 30, 2023, and 2022, respectively.