11.

Income Taxes

Income tax expense (benefit) attributable to income from continuing operations differed from the amounts computed by applying the U.S. Federal income tax of

21%

to pretax income from continuing operations as a result of the following:

	December 31, 2019			December 31, 2018
Provision (benefit) at statutory rate	$	(332,000	)	$	(281,000	)
Permanent differences		85,000			30,000
Change in valuation allowance		247,000			251,000
	$	-		$	-

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at

December 31, 2019

and

2018,

are presented below:

	December 31, 2019			December 31, 2018
Deferred tax assets:
Net operating loss carryforward	$	5,239,000		$	4,992,000
Deferred tax assets		5,239,000			4,992,000

Deferred tax liabilities:		-			-
Net deferred tax assets		5,239,000			4,992,000
Valuation allowance		(5,239,000	)		(4,992,000	)
	$	-		$	-

December 31, 2019,

the Company has estimated net operating loss carryforwards of approximately

$24,948,000

for federal income tax purposes expiring in

2019

through

2037.

The ability of the Company to utilize these carryforwards

may

be difficult and directly dependent upon many factors outside of the Company’s control, including, but

not

limited to, changes in the legal and regulatory framework and the operational and corporate structure of ABI and shareholders, or sales or transfers of stock by or among shareholders. For example, if ABI has experienced a change of control as defined in the relevant provisions of the IRC,

the use of any existing tax attributes could be severely limited. ABI does

not

believe the reorganization has or will impair any tax attributes; however, obtaining value from the tax attributes is a function of the Company’s return to profitable operations and the timeframe of that return. While we believe it is possible, there is

assurance that ABI will return to profitability in the future.

See

U.S.C. §

382

(known as Section

382

of the IRC) and related regulations.

As of

December 31, 2019,

the Company had open tax years of

2019,

2018

and

2017

which are subject to examination by tax authorities.