INCOME TAX

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

INCOME TAX

NOTE 11 – INCOME TAX

The Company provides for income taxes using an asset and liability-based approach. Deferred income tax assets and liabilities are recorded to reflect the future tax consequences of temporary differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. The Tax Cuts and Jobs Act was enacted on December 22, 2017, which reduced the U.S. corporate statutory tax rate from 35% to 21%. The Company changed its effective federal rate to 21% as the expected rate for our deferred tax items.

The significant components of net deferred tax assets (liabilities) were as follows at December 31, 2023, and 2022:

	December 31,
	2023			2022
Net operating losses	$	1,657,095		$	850,050
Depreciation and amortization		(14,128	)		3,716
Stock option expense		304,978			324,528
Valuation allowance		(1,947,945	)		(1,178,294	)
Net Deferred Tax Asset	$	—		$	—

As of December 31, 2023, the Company had no unrecognized tax benefits that, if recognized, would affect the Company’s effective income tax rate over the next twelve (12) months. A reconciliation of the expected income tax benefit at the U.S. Federal income tax rate to the income tax benefit actually recognized for the years ended December 31, 2023, and 2022 is set forth below:

	For the Year Ended
	December 31,
	2023			2022
Tax at statutory federal rate	$	(850,623	)	$	(619,996	)
Non-deductible expenses and other		—			—
Change in valuation allowance		850,623			619,996
Benefit from income taxes	$	—		$	—

As of December 31, 2023, the Company has a net operating loss carry-forward for U.S. federal income tax purposes of approximately ($7,890,930). This carryforward is available to offset future taxable income, if any, and will expire, if not used, from 2037 through 2042. The utilization of the net operating loss carry-forward is dependent upon the tax laws in effect at the time the net operating loss carry-forward can be utilized and may be limited by changes in ownership control of the Company. The Company’s U.S. federal tax return, constituting the return of the major taxing jurisdictions, are subject to examination by the taxing authorities for all open years as prescribed by applicable statute. No income tax waivers have been executed that would extend the period subject to examination beyond the period prescribed by statute. The Company is no longer subject to U.S. federal tax examinations for tax years before and including December 31, 2019. During the years ended December 31, 2023, and 2022, the Company did not incur interest and penalties.

Expiration	NOL Amount
2037	$	759,300
2038	$	463,895
2039	$	484,495
2040	$	87,181
2041	$	2,045,473
2042	$	4,050,586
	$	7,890,930