4. Income taxes

6 Months Ended

Jun. 30, 2013

Income Tax Disclosure [Abstract]

Note 4. Income taxes

The Company is incorporated in the United States, and is subject to United States federal and state income taxes. The Company did not generate taxable income in the United States for the period ended June 30, 2013 and 2012.

The Company’s operations are carried out in Hong Kong, the PRC, and is subject to Hong Kong profit tax at 16.5% in 2013 (2012: 16.5%). No provision for Hong Kong income or profit tax has been made as the Company has no assessable profit for the period. The cumulative tax losses will represent a deferred tax asset. The Company will provide a valuation allowance in full amount of the deferred tax asset since there is no assurance of future taxable income.

The cumulative net operating loss carry forward is approximately $329,793 and $284,530 as at June 30, 2013 and December 31, 2012 respectively, and will expire beginning in the year 2026. Annual use of the net operating loss may be limited by Internal Revenue Code section 382 due to an ownership change.

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

	For the Six months ended June 30,						For the period January 23, 2006 (inception) through June 30, 2013
	2013			2012
	$					$	$
Deferred tax asset attributable to Net operating loss carryover		15,389			17,531			112,129
Valuation allowance		(15,389	)		(17,531	)		(112,129	)
Net deferred tax assets		–			–			–