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Income Taxes

12 Months Ended

May 31, 2014

10.	Income Taxes

The Company has a net operating loss carryforward of $3,992,100 available to offset taxable income in future years which commence expiring in fiscal 2029. Should a change in ownership occur, net operating loss carryforwards may be limited as to use in future years.

The Company is subject to United States federal and state income taxes at an approximate rate of 35%. The reconciliation of recovery for income taxes at the United States federal statutory rate compared to the Company’s income tax recovery reported is as follows:

	May 31,		May 31,
	2014		2013
	$		$
Income tax recovery at statutory rate	(72,955	)	(135,829	)
Non-deductible expenses	2,149		16,042
Change in valuation allowance	70,806		119,787
Provision for income taxes	–		–

The significant components of deferred income tax assets and liabilities at May 31, 2014, and 2013, are as follows:

	May 31,		May 31,
	2014		2013
	$		$
Net operating loss carryforward	1,397,240		1,326,430
Valuation allowance	(1,397,240	)	(1,326,430	)
Net deferred income tax asset	–		–

- Definition

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.

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