Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.20.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2019
Income Tax Disclosure [Abstract]  
Schedule of Provision for Income Taxes Expenses

Income tax expense is comprised of the following:

 

    Year ended December 31,  
    2019     2018  
Current Tax                
Federal                
State   $ -     $ -  
Foreign     (17,072 )     (127,000 )
Total   $ (17,072 )   $ (127,000 )
                 
Deferred Tax                
Federal   $ (1,151,693 )   $ (1,024,000 )
State     (358,828 )     -  
Foreign   $ -       -  
Total   $ (1,510,521 )   $ (1,024,000 )
Less: Valuation Allowance     1,510,521       1,024,000  
Total Tax   $ (17,072 )   $ (127,000 )

Schedule of Reconciliation of Statutory U.S. Federal Rate

A reconciliation of the statutory U.S Federal rate to the Company’s effective tax rate is as follows:

 

    Year ended December 31,  
    2019     2018  
Federal income tax benefit at statutory rate     21.00 %     21.00 %
State income taxes, net of federal benefit     6.17 %     0.00 %
Foreign rate differential     -0.03 %     2.00 %
Permanent Items     -1.78 %     3.88 %
Change in valuation allowance     -25.99 %     -23.91 %
Other     0.92 %     0.00 %
Effective tax rate     0.29 %     2.97 %

Schedule of Income Before Taxes on Domestic and Foreign

Loss / (income) before taxes on income:

 

    Year ended December 31,  
    2019     2018  
             
Domestic   $ 5,853     $ 3,503  
Foreign     (42 )     779  
    $ 5,811     $ 4,282  

Schedule of Deferred Tax Assets

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets are as follows:

 

    Year ended December 31,  
    2019     2018  
Deferred tax assets:                
Net operating loss carry forward   $ 4,807     $ 3,746  
Stock Compensation and Other     484       35  
Deferred tax assets before valuation allowance     5,291       3,781  
Valuation allowance     (5,291 )     (3,781 )
Net deferred tax asset   $ -     $ -  

Schedule of Uncertain Tax Benefits

A reconciliation of the beginning and ending balances of uncertain tax benefits is as follows:

 

    Year ended December 31,  
    2019     2018  
Balance at beginning of the year   $ -     $ 168  
Increases related to tax positions from prior years     -       -  
Lapses of statutes of limitation     -       (168 )
Balance at the end of the year   $ -     $ -