Income Taxes

12 Months Ended

Dec. 31, 2018

6.	Income Taxes

Effective Tax Rate Reconciliation

A reconciliation of the statutory federal income tax expense to the income tax expense from continuing operations provided at December 31, 2018 and December 31, 2017 as follows:

				For the period from
				October 23, 2017
	Year Ended			(inception) to
	December 31,			December 31,
	2018			2017
Income tax expense at the federal statutory rate	$	461,662		$	(4,846	)
State income taxes - net of federal income tax benefits		(14,907	)		(844	)
Change in valuation allowance		14,907			5,690
Total income tax expense (benefit)	$	461,662		$	-

Current/Deferred Taxes

The provision for income taxes consisted of the following for the year ended December 31, 2018 and the year ended December 31, 2017:

			For the period from
			October 23, 2017
	Year Ended		(inception) to
	December 31,		December 31,
	2018		2017
Current income tax expense
Federal	$	461,662	$	—
State		—		—
Total Current income tax expense	$	461,662	$	—
Deferred income tax expense
Federal	$	—	$	—
State		—		—
Total Deferred income tax expense	$	—	$	—
Total income tax expense	$	461,662	$	—

Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2018, and December 31, 2017 are as follows:

				For the period from
				October 23, 2017
	Year Ended			(inception) to
	December 31,			December 31,
	2018			2017
Deferred Tax Assets (Liabilities):
Tax Attribute Carryovers	$	20,597		$	5,690
Valuation Allowance		(20,597	)		(5,690	)
Net Deferred Tax Asset (Liability)	$	-		$	-

On December 22, 2017, the Tax Cuts and Jobs Act of 2017 (the “Act”) was signed into law making significant changes to the Internal Revenue Code. The Act contains reform to the corporate tax law including reducing the corporate tax rate to 21%, eliminating the 2-year carryback for net operating losses, and creating an indefinite carryforward period for the net operating losses limited to 80% of taxable income. Due to the Act, the deferred tax balances were calculated using a federal effective tax rate of 21%.