Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.7.0.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2016
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit)

The following summarizes the income tax provision (benefit):

 

    For The Years/ Transitional Three Months Ended  
    As Of
December 31, 2016
    Transitional Three Months As Of December 31, 2015     As Of
September 30, 2015
 
Current:                        
Federal   $ -     $ -     $ -  
State and local     -       -       -  
Utilization of fully reserved net operating losses     -       -       -  
      -       -       -  
Deferred:                        
Federal     1,901,847       (196,481 )     (1,186,733 )
State and local     55,937       (5,779 )     98,834  
      1,957,784       (202,260 )     (1,087,899 )
Change in valuation allowance     (1,957,784 )     202,260       1,087,899  
Income tax provision (benefit)   $ -       -     $ -  

Schedule of Deferred Tax Assets and Liabilities

The Company has the following net deferred tax assets:

 

    For The Years/Transitional Three Months Ended  
    As Of
December 31, 2016
    Transitional Three Months As Of December 31, 2015     As Of
September 30, 2015
 
Net operating loss carryforwards   $ 4,936,966     $ 1,870,583     $ 1,445,277  
Accruals     800,443       1,425,039       2,007,371  
Other - reserves     52,500       301,631       301,631  
Deferred tax assets, gross     5,789,909       3,597,253       3,754,279  
Property and equipment     (507,728 )     (272,856 )     (192,219 )
Sub-total     5,282,181       3,324,397       3,562,060  
Valuation allowance     (5,282,181 )     (3,324,397 )     (3,562,060 )
                         
Deferred tax assets, net   $ -     $ -     $ -  

Schedule of Effective Income Tax Rate Reconciliation

The reconciliation of the expected tax expense (benefit), based on statutory rates, with the actual expense, is as follows:

 

    For The Years/Transitional Three Months Ended  
    Year Ended
December 31, 2016
   

Transitional

Three Months Ended December 31, 2015

   

Year Ended

September 30, 2015

 
Expected federal statutory rate     34.0 %     34.0 %     34.0 %
State tax rate, net of federal benefit     1.0 %     1.0 %     3.1 %
Permanent differences - meals & entertainment     (3.5 )%     2.0 %     0.8 %
Change in valuation allowance     (31.5 )%     (37.0 )%     (37.9 )%
                         
Income tax provision (benefit)     0.0 %     0.0 %     0.0 %