Note 5 - Income Tax Provision

3 Months Ended

Mar. 31, 2022

Notes to Financial Statements

Income Tax Disclosure [Text Block]

Note 5.    Income Tax Provision

No income tax expense or (benefit) has been reflected for the three months ended March 31, 2022 and 2021 due to the lack of taxable net income generated by the Company and a change in the valuation allowance pertaining to the deferred tax asset. 

The net operating loss carryforwards for the Company are $9,198,976 as of December 31, 2021 and estimated to be $9,500,000 as of March 31, 2022. The components of the deferred tax assets and liabilities due to book and tax differences are the following: fixed asset depreciation, net operating loss carryforward, net unrealized gains (losses) on investment securities, policyowner benefit reserves and deferred acquisition costs. The deferred tax asset net of valuation allowance is $1,560,767 as of March 31, 2022 and December 31, 2021, respectively.