TAXES (Tables)

9 Months Ended

Sep. 30, 2018

Income Tax Disclosure [Abstract]

Schedule of income tax provision (benefit)

(i) The Income tax provision (benefit) of the Company for the nine and three months ended September 30, 2018 and 2017 consists of the following:

	For the Nine Months Ended
	September 30, 2018			September 30, 2017
Current:
Federal	$	1,345,253		$	403,676
State		365,822			75,047
Current income tax provision		1,711,075			478,723
Deferred:
Federal		(120,728	)		(3,806)
State		(48,140)			1,707
Deferred income tax benefit		(168,868	)		(2,099)
Total income tax provision	$	1,542,207		$	476,624

	For the three Months Ended
	September 30, 2018		September 30, 2017
Current:
Federal	$	360,016	$	403,676
State		124,118		75,047
Current income tax provision		484,134		478,723
Deferred:
Federal		309,176		(8,221)
State		46,837		(1,856)
Deferred income tax provision (benefit)		356,013		(10,077)
Total income tax provision	$	840,147	$	468,646

Schedule of significant deferred tax assets and liabilities

(ii) Temporary differences and carryforwards of the Company that created significant deferred tax assets and liabilities are as follows:

	As of September 30, 2018			As of December 31, 2017
Deferred tax assets:
Allowance for doubtful accounts	$	158,404		$	139,947
Inventories		122,292			1,750
Section 481(a) adjustment		41,795			140,310
Other accrued expenses		671,395			237,550
Others		45,468			—
Total deferred tax assets		1,039,354			519,557
Deferred tax liabilities:
Property and equipment		(1,306,698	)		(955,769	)
Total deferred tax liabilities		(1,306,698	)		(955,769	)
Net deferred tax assets (liabilities)	$	(267,344	)	$	(436,212	)

Schedule of effective income tax rate

(iii) Reconciliations of the statutory income tax rate to the effective income tax rate are as follows:

	For the Nine Months Ended
	September 30, 2018			September 30, 2017
Federal statutory tax rate		21.0	%		34.0	%
State statutory tax rate		4.7	%		4.0	%
U.S. permanent difference		1.2	%		0.2	%
Others		2.1	%		(0.5	)%
Effect of flow-through entities		—			(31.2	)%
Effective tax rate		29	%		6.5	%

Schedule of pro forma Income tax provision

(i) The Pro forma Income tax provision of the Company for the nine and three months ended September 30, 2017 consists of the following:

	For the Nine Months Ended September 30, 2017		For the Three Months Ended September 30, 2017
Current:
Federal	$	2,479,849	$	881,604
State		315,392		136,450
Current income tax provision		2,795,241		1,018,054
Deferred:
Federal		40,358		12,832
State		8,837		976
Deferred income tax provision		49,195		13,808
Total income tax provision	$	2,844,436	$	1,031,862

Schedule of Pro forma earnings per share

(ii) The Pro forma earnings per share:

	For the Nine Months ended September 30, 2017		For the Three Months ended September 30, 2017
	(Unaudited)		(Unaudited)
Pro Forma Net Income	$	4,535,864		1,689,985
Less: net income (loss) attributable to noncontrolling interest		256,132		277,386
Pro Forma Net Income Attributable to HF Group Holding Corporation		4,279,732		1,412,599
Pro Forma Earnings per common share - basic and diluted	$	0.21		0.07
Pro Forma Weighted average shares - basic and diluted		19,969,831		19,969,831