INCOME TAXES

9 Months Ended

Sep. 30, 2016

Notes to Financial Statements

Note 6 - INCOME TAXES

The Company did not have income tax expense or income tax payable due to the use of net loss carryover from prior years.

As of September 30, 2016, the Company had net taxable operating loss carry forwards of approximately $1,616,776. The PRC Income Tax allows the enterprises to offset their future taxable income with taxable operating losses carried forward in a 5-year period. The Management believes that the Company’s cumulative losses arising from recurring business in recent years constituted significant negative evidence that most of the deferred tax assets would not be realizable and this evidence outweighed the expectations that the Company would generate future taxable income. The valuation allowance of $404,194 was recorded.

Components of the Company’s net deferred tax assets are set forth below:

	September 30, 2016			December 31, 2015
Deferred tax assets
Net operating loss carry-forward	$	404,194		$	376,415
Total of Deferred tax assets	$	404,194		$	376,415
Less: valuation allowance	$	(404,194	)	$	(376,415	)
Net deferred assets	$	-		$	-