INCOME TAXES

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

INCOME TAXES [Text Block]

8. INCOME TAXES

The Company was subject to United States federal income taxes at an approximate rate of 21%. The reconciliation of the provision for income taxes at the United States federal statutory rate compared to the Company's income tax expense as reported is as follows:

		December 31, 2021			December 31, 2020
Net income (loss) for the year	$	(150,615	)	$	231,999
Statutory rate		21%			21%
Expected income tax expense (recovery)		(32,000	)		49,000
Impact of statutory tax rate on earnings of subsidiary		46,000			(2,000	)
Non-taxable earnings		(109,000	)		(101,000	)
Change in valuation allowance		95,000			54,000
	$	-		$	-

The significant components of deferred income tax assets at December 31, 2021 and December 31, 2020 are as follows:

		December 31, 2021			December 31, 2020
Net operating losses	$	1,830,000		$	1,762,000
Intangible assets		20,000			(7,000	)
		1,850,000			1,755,000
Valuation allowance		(1,850,000	)		(1,755,000	)
	$	-		$	-

At December 31, 2021, the Company had approximately $351,000 of non-capital losses carry-forwards in Canada which expire in 2041 and non-capital loss carry-forwards of approximately $8,262,000 that may be carried forward indefinitely, subject to limitations. The potential future tax benefits of these expenses and losses carried-forward have not been reflected in these consolidated financial statements due to the uncertainty regarding their ultimate realization. Tax attributes are subject to review, and potential adjustment by tax authorities.