Income Tax

12 Months Ended

Jun. 30, 2016

Income Tax Disclosure [Abstract]

Income Tax

6. INCOME TAX

For the years ended June 30, 2016 and 2015, the local (United States) and foreign components of loss before income taxes were comprised of the following:

	For the years ended June 30,
	2016			2015
Tax jurisdictions from:
- Local	$	(614,505	)	$	(7,521,068	)
- Foreign		-			(28,408	)
Loss before income tax	$	(614,505	)	$	(7,549,476	)

The provision for income taxes consisted of the following:

		For the years ended June 30,
		2016		2015
Current:
- Local	$	-	$	-
- Foreign		-		-
Deferred:
- Local		-		-
- Foreign		-		-
	$	-	$	-

The Company is registered in the State of Nevada and is subject to the tax laws of the United States of America. As of June 30, 2016, the operations in the United States of America incurred $16,050,826 of cumulative net operating losses which can be carried forward to offset future taxable income. The net operating loss carryforwards begin to expire in the year 2017 through 2035, if unutilized. The Company has provided for a full valuation allowance of $4,012,706 against the deferred tax assets on the expected future tax benefits from the net operating loss carryforwards as the management believes it is more likely than not that these assets will not be realized in the future.

Management believes that it is more likely than not that the deferred tax assets will not be fully realizable in the future. Accordingly, the Company provided for a full valuation allowance against its deferred tax assets of $4,012,706 as of June 30, 2016. During the year ended June 30, 2016, the valuation allowance increased by $153,626, primarily relating to net operating loss carryforwards from the various tax regime.