Income Taxes

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Note 12 – Income Taxes

A reconciliation of differences between the effective income tax rates and the statutory federal rates is as follows:

	2022						2021
	Rate			Amount			Rate			Amount
Tax benefit at U.S. federal statutory rate		21	%	$	1,434,387			21	%	$	1,302,121
State taxes, net of federal benefit		5	%		341,521			5	%		310,029
Change in valuation allowance		(26	)%		(1,775,908	)		(26	)%		(1,612,150	)
		—		$	—			—		$	—

The tax effect of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at December 31, 2022 and 2021 consisted of the following:

	2022			2021
Net Operating Loss Carryforward	$	6,101,137		$	4,836,093
Share-based compensation		1,472,849			961,985
Valuation Allowance		(7,573,986	)		(5,798,078	)
Total Net Deferred Tax Assets	$	—		$	—

As of December 31, 2022, the Company had a net operating loss carry forward for income tax reporting purposes of approximately $27.6 million. These carryforwards will begin to expire in 2033. During the years ended December 31, 2022 and 2021, the Company assessed its earnings history and trend over the past year and its estimate of future earnings and determined that it was more likely than not that the deferred tax assets would not be realized in the near term. Accordingly, a valuation allowance was recorded and maintained against the net deferred tax asset for the amount not expected to be realized in the future. The Company is no longer subject to examination by taxing authorities for the years before 2019.