|12 Months Ended|
Sep. 30, 2021
|Income Tax Disclosure [Abstract]|
NOTE 5 – INCOME TAXES
The provision for income taxes consists of the following for the years ended September 30, 2021 and 2020:
The difference between the actual income tax provision versus tax computed at the statutory rate is as follows for the years ended September 30, 2021 and 2020, respectively:
The Company does not have any material uncertain tax positions. The Company’s policy is to recognize interest and penalties accrued related to unrecognized tax benefits as a component of income tax expense (benefit). For the years ended September 30, 2021 and 2020, the Company did not recognize any interest or penalties, nor did we have any interest or penalties accrued as of September 30, 2021 and 2020 relating to unrecognized benefits. Deferred income tax assets and liabilities at September 30, 2021 and 2020, respectively, consist of the following:
The Company’s valuation allowance decreased $661,812 during the year ended September 30, 2021 and increased $2,399,698 during the year ended September 30, 2020.
At September 30, 2021, the Company had approximately $62.0 million of net operating losses (“NOL”), approximately $0.1 million of which will expire from 2024 to 2031, approximately $33.2 million of which will expire from 2032 to 2038, and approximately $28.7 million of which can be carried forward indefinitely. $33.4 million of the Company’s NOLs are allowable as a deduction against 100 percent of future taxable income since they were generated prior to the effective date of limitations imposed by the Tax Cut and Jobs Act (TCJA) of 2017 and Coronavirus Aid, Relief, and Economic Security Act (CARES) of 2020. $28.6 million of the Company’s NOLs are allowable as a deduction against 80 percent of future taxable income.
The tax years ended September 30, 2018 through 2021 are open for examination for federal income tax purposes and by other major taxing jurisdictions to which we are subject.
The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef