NOTE 3 - PROVISION FOR INCOME TAXES

12 Months Ended

Dec. 31, 2023

Notes

NOTE 3 - PROVISION FOR INCOME TAXES

NOTE 3 - PROVISION FOR INCOME TAXES

Realization of deferred tax assets is dependent upon sufficient future taxable income during the period that deductible temporary differences and carry-forwards are expected to be available to reduce taxable income. As the achievement of required future taxable income is uncertain, the Company recorded a valuation allowance. As of December 31, 2023 the Company had a net loss of $232,156. Net operating loss carry-forward, expires twenty years from the date the loss was incurred.

		December 31,		December 31,
		2023		2022
Net operating profit (loss) Carry Forward	$	(232,156)	$	(2,761,312)
Valuation allowance		-	$	-

The Company is subject to United States federal and state income taxes at an approximate rate of 34%. The reconciliation of the provision for income taxes at the United States federal statutory rate compared to the Company's income tax expense as reported is as follows (the taxes are filed on Cash basis):

Free Flow, Inc.
Tax Calculations
		December 31,		December 31,
		2023		2022
Net profit (loss) before taxes per financial statement	$	(232,156)	$	(2,761,312)
Income tax rate		34%		34%
Income tax benefit		78,933		938,846
Valuation allowance change		(78,933)		938,846
Provision for income tax		0		0

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Deferred income taxes arise from temporary differences in the recognition of income and expenses for financial reporting and tax purposes. The significant components of deferred income tax assets and liabilities at December 31, 2022 and December 31, 2021 are as follows:

Net deferred income tax asset - The Company has recognized a valuation allowance for the deferred income tax asset since the Company cannot be assured that it is more likely than not that such benefit will be utilized in future years. The valuation allowance is reviewed annually. When circumstances change, and which cause a change in management's judgment about the realizability of deferred income tax assets, the impact of the change on the valuation allowance is generally reflected in current income.