Income Taxes

12 Months Ended

Aug. 31, 2016

Income Tax Disclosure [Abstract]

Income Taxes

NOTE 5 - INCOME TAXES

The Company follows ASC 740-10-50 “Accounting for Income Taxes.” Deferred income taxes reflect the net effect of (a) temporary difference between carrying amounts of assets and liabilities for financial purposes and the amounts used for income tax reporting purposes, and (b) net operating loss carry-forwards. No net provision for refundable Federal income tax has been made in the accompanying statement of loss because no recoverable taxes were paid previously. Similarly, no deferred tax asset attributable to the net operating loss carry-forward has been recognized, as it is not deemed likely to be realized.

The provision for refundable federal income tax consists of the following for the years ending:

	August 31, 2016			August 31, 2015
Federal income tax benefit attributed to:
Net operating loss	$	1,254,000		$	657,000
Valuation allowance		(1,254,000	)		(657,000	)
Net benefit	$	-		$	-

The cumulative tax effect at the expected rate of 34% of significant items comprising our net deferred tax amount is as follows:

	August 31, 2016			August 31, 2015
Deferred tax attributed:
Net operating loss carryover	$	2,425,000		$	1,171,000
Less: change in valuation allowance		(2,425,000	)		(1,171,000	)
Net deferred tax asset	$	-		$	-

At August 31, 2016, the Company had an unused net operating loss carry-forward approximating $7,000,000 that is available to offset future taxable income; the loss carry-forward will start to expire in 2033.