v3.25.4
INCOME TAXES
 12 Months Ended
Dec. 31, 2025
INCOME TAXES  
INCOME TAXES

NOTE 4 - INCOME TAXES

 

The reconciliation of income tax expense at the U.S. statutory rate of 21% to the Company’s effective tax rate is as follows:

 

 

 

Years ended

 

 

 

December 31,

 

 

 

2025

 

 

2024

 

Income tax expense (benefit) at statutory rate

 

$(21,241)

 

$(8,882)

Income tax adjustment

 

 

 

 

 

 

 

 

Imputed interest

 

 

1,922

 

 

 

911

 

Change of valuation allowance

 

 

19,319

 

 

 

7,971

 

Income tax expense

 

$-

 

 

$-

 

 

Net deferred tax assets consist of the following components at:

 

 

 

December 31,

 

 

December 31,

 

 

 

2025

 

 

2024

 

Operating loss carry forward

 

$6,891,148

 

 

$6,871,829

 

Valuation allowance

 

 

(6,891,148)

 

 

(6,871,829)

Deferred tax asset

 

$-

 

 

$-

 

 

The Company has approximately $33 million net operating loss carryforwards that are available to reduce future taxable income. In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will 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 projected future taxable income and tax planning strategies in making this assessment. Based on the assessment, management has established a full valuation allowance against all of the deferred tax assets for the year ended December 31, 2025 and 2024 because it is more likely than not that all of the deferred tax assets will not be realized.