17. CURRENT AND DEFERRED TAX

The Company reported current and deferred tax expense of $Nil during the year ended December 31, 2021 in the consolidated statements of operations and comprehensive loss.

The income tax expense differs from that computed by applying the applicable Canadian federal and provincial statutory rates before taxes as follows:

		December 31, 2021			December 31, 2020
Income/(loss) before income taxes	$	(32,933,645	)	$	(20,249,424	)
Applicable statutory rate		27.00%			27.00%
Income tax expense at statutory rate		(8,892,084	)		(5,467,344	)
Increase/(decrease) attributable to:
Change in deferred tax assets not recognized		8,122,508			5,337,431
Change in tax rate		530,940			-
Rate differential due to foreign operations		145,053			78,587
Share-based compensation		503,033			457,349
Reclamation		(419,666	)		(412,815	)
Non-deductible items		10,216			6,792
Income tax expense	$	-		$	-
Effective tax rate		0%			0%

In the consolidated statements of financial position, deferred tax assets and liabilities have been offset where they relate to income taxes within the same taxation jurisdiction and where the Company has the legal right and intent to offset. The composition of deferred tax assets (liabilities) recognized in the consolidated statements of financial position is as follows:

		December 31, 2021			December 31, 2020
Exploration and development expenditures	$	(50,964	)	$	(91,705	)
Non-capital losses		249,100			319,425
Right-of-use assets		(198,136	)		(227,720	)
Total	$	-		$	-

Management believes that sufficient uncertainty exists regarding the realization of certain deferred tax assets such that they have not been recognized. The tax benefits not recognized reflect management's assessment regarding the future realization of Canadian and foreign tax assets and estimates of future earnings and taxable income in these jurisdictions as of December 31, 2021.

The amounts of deductible temporary differences and unused tax losses for which the Company has not recognized a deferred tax asset in the consolidated statements of financial position are as follows:

		December 31, 2021		December 31, 2020
Exploration and development expenditures	$	41,236,815	$	24,472,852
Non-capital losses		42,063,515		25,908,177
Share-issuance costs		3,444,913		3,571,049
Reclamation and remediation liabilities		5,326,843		4,538,985
Finance leases under IFRS 16		932,700		1,006,040
Unrealized foreign exchange losses		1,180,161		795,080
Charitable contributions		14,277		8,718
Accrued liabilities		196,784		-
Total temporary differences and losses for which no deferred tax asset is recognized	$	94,396,007	$	60,300,901

As of December 31, 2021, and included in the above table, the Company and its subsidiaries had available Canadian non-capital loss carry forwards of approximately $16,737,600(C$21,220,000) which expire between the years 2037 and 2041 for which no deferred tax asset has been recognized and U.S. net operating loss carry forwards of approximately $886,500 which expire in 2037 and approximately $24,439,400 without expiration for which no deferred tax asset has been recognized.