Note 10 - Income Taxes

12 Months Ended

Dec. 31, 2020

Notes to Financial Statements

Income Tax Disclosure [Text Block]

10. INCOME TAXES   

As of

December 31, 2020,

the Company had deferred tax assets resulting primarily from net operating loss carry forwards of approximately

$31,116,000.,

which are available to offset future taxable income, if any, through

2040.

As utilization of the net operating loss carryforwards is

not

assured, a

100%

valuation allowance has been provided (tax rates have been adjusted for Tax Cuts and Job Act).

The components of the net deferred tax assets are as follows:

December 31,	2020			2019
Net operating loss carry-forwards	$	6,755,000		$	6,586,000
Valuation allowance		(6,755,000	)		(6,586,000	)
Net deferred tax assets	$	-		$	-

The reconciliation of the effective income tax rate to the federal statutory rate are as follows:

Year Ended December 31,	2020			2019
Federal statutory tax rate		21	%		21	%
Valuation allowance on net operating loss carryforwards		(21	)		(21	)
Effective income tax rate		0	%		0	%

As of

December 31, 2020,

open Federal income tax years subjected to examination, include the tax years ended

December 31, 2019

through

December 31, 2018.

Tax carry forwards began to expire in

2019.