NOTE 2 - Income Tax

12 Months Ended

Sep. 30, 2025

Notes

NOTE 2 - Income Tax

NOTE 2 – Income Tax

Deferred taxes are provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and operating loss, and tax credit carry-forwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax basis. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company’s corporate tax rate is 21%.

Deferred tax asset and valuation allowance are as follows at September 30:

	2025		2024
Approximate net operating loss carryforward	$	56,567	$	46,376
Valuation allowance		(56,567)		(46,376)
Deferred tax asset	$	-	$	-

The components of income tax expense (benefit) are as follows:

	2025		2024
Current federal tax (21%)	$	(10,191)	$	(9,149)
Change in valuation allowance		10,191		9,149
	$	-	$	-

At September 30, 2025, the Company had net operating loss carryforwards of approximately $295,000 that may be offset against future taxable income as long as the “continuity of ownership” test is met. No tax benefit has been reported in the September 30, 2025 financial statements since the potential tax benefit is offset by a valuation allowance of the same amount. The years 2022-2025 are open to examination by the IRS. No reserves for uncertain tax positions have been recorded.

The Company adopted changes issued by FASB which prescribed a recognition threshold and measurement attribute for financial statement recognition and measurement of an uncertain tax position taken or expected to be taken in a tax return. Under the guidance, an uncertain income tax position must be recognized at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant taxing authority.