INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2013

INCOME TAXES [Abstract]

Reconciliation of Tax Rate

A reconciliation of our effective income tax rate compared to the U.S. federal statutory rate is as follows:

	Year ended December 31, 2013			Year ended December 31, 2012
Provision (benefit) at U.S. federal statutory rate		(35.0	)%		(35.0	)%
State provision (benefit), net of U.S. federal tax		(4.9	)		(4.8	)
Permanent differences		(0.3	)		(0.2	)
Other items		5.0			5.2
Deferred tax valuation allowance		(35.2	)		(34.8	)
Effective income tax rate		0.0	%		0.0	%

Schedule of Deferred Tax Assets

Net deferred tax assets consist of the following:

	December 31, 2013			December 31, 2012
Net federal and state operating loss carryforwards	$	15,748,253		$	14,785,650
Impairment of investments		531,470			531,470
Other, net		687,426			680,637
Deferred tax assets		16,967,149			15,997,757
Valuation allowance		(16,967,149	)		(15,997,757	)
Net deferred tax assets	$	-		$	-

Changes in the Valuation Allowance

Changes in the valuation allowance were as follows:

	Year ended December 31, 2013		Year ended December 31, 2012
Balance, beginning of year	$	15,997,757	$	14,651,435
Change in temporary differences		6,789		157,164
Change in net operating and capital losses		962,603		1,189,158
Balance, end of year	$	16,967,149	$	15,997,757