Income Tax

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Income Tax

NOTE 11 – INCOME TAX

For the years ending December 31, 2020, and December 31, 2019, there was no provision for income taxes and deferred tax assets have been entirely offset by valuation allowances.

The tax effect of significant components of the Company’s deferred tax assets and liabilities at December 31, 2020, and 2019, respectively, are as follows:

	December 31,
	2020			2019
Deferred tax assets:
Net operating loss carryforward	$	333,393		$	460,374
Total gross deferred tax assets		333,393			460,374
Less: Deferred tax asset valuation allowance		(333,393	)		(460,374	)
Total net deferred tax assets		—			—
Deferred tax liabilities:
Federal	$	—		$	—
State - California		—			—
Total net deferred taxes	$	—		$	—

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment.

Because of the historical earnings history of the Company, the net deferred tax assets for 2020 and 2019 were fully offset by a 100% valuation allowance. The total NOL as of December 31, 2020, is $1,587,111. On December 22, 2017, the United States Government passed new tax legislation that, among other provisions, will lower the corporate tax rate from 35% to 21%.  In addition to applying the new lower corporate tax rate in 2018 and thereafter to any taxable income the Company may have, the legislation affects the way the Company can use and carry forward net operating losses previously accumulated and results in a revaluation of deferred tax assets recorded on our balance sheet.  Given that the deferred tax assets are offset by a full valuation allowance, these changes did not have an impact on the Company’s financial position and net loss. As long as the Company continues to be profitable, the Company will receive a reduced benefit from such deferred tax assets.