Note 12 - Taxes Payable

9 Months Ended

Feb. 28, 2014

Notes

Note 12 - Taxes Payable

NOTE 12 – TAXES PAYABLE

Taxes payable at the balance sheet dates are summarized as follows:

	February 28, 2014	May 31, 2013
Business tax payable	$195,485	$152,131
Income tax payable	789,038	563,497
Others	3,834	2,414
Total	$988,357	$718,042

Business tax represents PRC sales tax imposed upon the Company’s services provided in the PRC.  Tax rates range from 3% to 5% depending on the nature of the taxable activities.

Income tax represents PRC income tax. The provision for PRC income tax is based on a statutory rate of 25% of the assessable income of the PRC subsidiaries as determined in accordance with the relevant income tax rules and regulations of the PRC.