The Company has $1,122,314 of net operating losses carried forward to offset taxable income in future years which expire commencing in fiscal 2032. The income tax benefit differs from the amount computed by applying the US federal income tax rate of 30% to net loss before income taxes. As at September 30, 2016 and 2015, the Company had no uncertain tax positions. The Company has three open tax years for federal income tax purposes.


	September 30, 2016 $	September 30, 2015 $

Net loss before taxes	28,331,180	37,988
Statutory rate	30%	30%

Computed expected tax recovery	8,499,354	11,397
Permanent differences and other	(8,213,876)	–
Change in valuation allowance	(285,478)	(11,397)

Income tax provision	–	–

The significant components of deferred income tax assets and liabilities as at September 30, 2016 and 2015 after applying enacted corporate income tax rates are as follows:


	2016 $	2015 $

Net operating losses carried forward	336,694	51,216
Valuation allowance	(336,694)	(51,216)

Net deferred tax asset	–	–