Income Taxes

9 Months Ended

Mar. 31, 2019

Income Tax Disclosure [Abstract]

Income Taxes

Note 3 – Income Taxes

As of March 31, 2019, the Company has net operating loss carryforwards of approximately $117,000, to reduce future federal and state taxable income through 2038, which results in a deferred tax asset of approximately $25,000 against which a full valuation allowance has been recorded.

The provision for income taxes is as follows for the nine months ended March 31, 2019 and 2018:

	Nine Months Ended			Nine Months Ended
	March 31, 2019			March 31, 2018
Income tax expense (benefit) at statutory federal rate
Federal	$	-		$	-
State		-			-
Total current		-			-
Deferred:
Federal		7,400			3,000
State		-			-
Valuation allowance		(7,400	)		(3,000	)
Total deferred		-			-
Provision (benefit) for income taxes	$	-		$	-

As of March 31, 2019, there is no provision for federal income taxes because we have historically incurred operating losses and we maintain a full valuation allowance against our net deferred tax asset.

The differences between our effective income tax rate and the U.S. federal income tax rate for the nine months ended March 31, 2019 and 2018 are:

	Nine Months Ended			Nine Months Ended
	March 31, 2019			March 31, 2019
Expected income tax provision at the federal statutory rate		21.0	%		21.0	%
Valuation allowance		-21.0	%		-21.0	%
Effective income rate, net		-			-

Pursuant to Section 382 of the Internal Revenue Code of 1986, the annual utilization of a company’s net operating loss carryforwards could be limited if the Company experiences a change in ownership of more than 50 percentage points within a three-year period. An ownership change occurs with respect to a corporation if it is a loss corporation on a testing date and, immediately after the close of the testing date, the percentage of stock of the corporation owned by one or more five-percent stockholders has increased by more than 50 percentage points over the lowest percentage of stock of such corporation owned by such stockholders at any time during the testing period.

As of March 31, 2019, the Company has not had any ownership changes that may limit the use of the Company’s net operating loss carryforwards.

The Company currently has no federal or state tax examinations in progress nor has it had any federal or state examinations since its inception. All of the Company’s tax years are subject to federal and state tax examination.