10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 10-Q

☒	QUARTERLY REPORT PURSANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the quarterly period ended June 30, 2022

Or

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the transition period from __________ to __________

Commission File Number: 001-35923

AUSCRETE CORPORATION

 (Exact name of registrant as specified in its charter)

Wyoming	27-1692457
(State of Incorporation)	(IRS Employer ID Number)

49 John Day Dam Rd

Goldendale, WA98620

(Address of principal executive office)

Registrant’s telephone number, including area code (509) 261-2525

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☒ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☒ Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated Filer	☒	Smaller reporting company	☒
		Emerging growth company	☒

If an emerging growth company, indicate by check mark if registrant has elected not to extended transition period for complying with any new of revise financial accounting standards provided pursuant to ‘Section 7(a)(2)(B) of the Security Act. ☐ Yes      ☒ No

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☒ No

APPLICABLE TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. ☐ Yes     ☐ No

APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares outstanding of each of the issuer’s classes of common stock. The number of shares outstanding as of August 18, 2022 of the Issuer’s Common Stock is 58,551,168

AUSCRETE CORPORATION

June 30, 2022

TABLE OF CONTENTS

		Page
PART I - FINANCIAL STATEMENTS
Item 1 -	Financial Statements
	Balance Sheets as at June 30, 2022 (unaudited) and December 31, 2021 (audited)	3
	Statements of Operations (unaudited) for the three and six months ended June 30, 2022 and 2021 respectively	4
	Statements of Stockholders Equity (unaudited) for the three and six months ended June 30, 2022 and 2021 respectively	5
	Statements of Cash Flows (unaudited) for the six months ended June 30, 2022 and 2021 respectively	6
	Notes to Financial Statements	7
Item 2 -	Management’s Discussion and Analysis of Financial Condition and Results of Operations	16
Item 3 -	Quantitive and Qualitive Disclosures about Market Risk	18
Item 4 -	Controls and Procedures	18
PART II - OTHER INFORMATION
Item 1 -	Legal Proceedings	19
Item 2 -	Unregistered Sales of Equity Securities and Use of Proceeds	19
Item 3 -	Defaults Upon Senior Securities	19
Item 4 -	Mine Safety Disclosures	19
Item 5 -	Other Information	19
Item 6 -	Exhibits - Exhibit 31.1 and 32.1	Attached

2

AUSCRETE CORPORATION

BALANCE SHEETS

	Un-Audited
	June 30,			December 31,
ASSETS	2022			2021
CURRENT ASSETS:
Cash	$	-		$	-
Accounts Receivable		8,000			8,000
Prepaid Expenses		4,721			6,202
Inventory		6,197			6,197
TOTAL CURRENT ASSETS		18,918			20,399
Property, Plant and Equipment (net)		34,223			40,193
Deposits		-			-
TOTAL ASSETS	$	53,141		$	60,592
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
CURRENT LIABILITIES:
Bank Overdraft	$	5,405		$	5,624
Accounts Payable and Accrued Expenses		148,158			121,170
Accrued Interest Payable		283,068			231,373
Notes Payable (net of discount)		961,648			890,139
Derivative Liability		204,843			295,306
Related Party Advances		-			-
TOTAL CURRENT LIABILITIES		1,603,122			1,543,612
TOTAL LIABILITIES		1,603,122			1,543,612
Commitments and Contingencies		-			-
STOCKHOLDERS' EQUITY (DEFICIT)
Common Stock, 0.0001 par value, authorized 2,000,000,000 shares 58,551,168 and 56,798,678 shares issued and outstanding as of  June 30, 2022 and December 31, 2021 respectively, restated to APIC below for the 40 for 1 reverse stock split.		5,854			5,679
Additional Paid In Capital		11,684,864			11,621,307
Shares to be issued		-			-
Accumulated deficit		(13,240,699	)		(13,110,006	)
TOTAL STOCKHOLDERS' EQUITY (DEFICIT)		(1,549,981	)		(1,483,020	)
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)	$	53,141		$	60,592

The accompanying notes are an integral part of these financial statements

3

AUSCRETE CORPORATION

STATEMENTS OF OPERATIONS

For the three and six months ended June 30,

Un-Audited

	Three months ended June 30,						Six months ended June 30,
	2022			2021			2022			2021
REVENUE	$	-		$	-		$	-		$	-
Cost of Goods sold		-			-			-			-
Gross Profit		-			-			-			-
EXPENSES
Accounting and Legal		17,750			5,000			25,750			7,900
Salaries and wages		9,926			59,405			55,716			110,181
Share based expense		-			-			-			-
G&A Expenses		11,895			29,363			34,794			53,456
Depreciation expense		2,985			2,985			5,970			5,970
TOTAL EXPENSES		42,556			96,753			122,230			177,507
Income (loss) from operations		(42,556	)		(96,753	)		(122,230	)		(177,507	)
OTHER INCOME (EXPENSES)
Gain / (Loss) on derivative		227,026			555			131,600			236,864
Financing cost		-			-			(41,868	)		(9,820	)
Interest Expense		(49,551	)		(26,754	)		(98,195	)		(61,739	)
TOTAL OTHER INCOME (EXPENSES)		177,475			(26,199	)		(8,463	)		165,305
INCOME (LOSS) BEFORE TAXES		134,919			(122,952	)		(130,693	)		(12,202	)
Provision for Income Taxes		-			-			-			-
NET INCOME (LOSS)	$	134,919		$	(122,952	)	$	(130,693	)	$	(12,202	)
NET INCOME (LOSS) PER COMMON SHARE - BASIC AND DILUTED	$	0.00		$	(0.03	)	$	(0.00	)	$	(0.00	)
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING - BASIC AND DILUTED		57,405,042			3,560,026			57,103,535			3,544,451
NET LOSS PER COMMON SHARE - DILUTED	$	0.00		$	(0.03	)	$	(0.00	)	$	(0.00	)
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING - DILUTED		72,773,521			3,560,026			57,103,535			3,544,451

The accompanying notes are an integral part of these financial statements

4

AUSCRETE CORPORATION

STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY

as of June 30, 2022

(Un-audited)

						Additional
	Common Stock					Paid in		Accumulated
	Shares		Amount			Capital		Deficit			TOTAL
Balance, December 31, 2020		3,428,652	$	372		$	8,897,873	$	(10,045,978	)	$	(1,147,733	)
Note conversion		130,409		13			45,502					45,515
Round up shares		965		(29	)		29
Net Loss									110,750			110,750
												-
Balance, March  31, 2021		3,560,026		356			8,943,404		(9,935,228	)		(991,468	)
Net Loss									(122,952	)		(122,952	)
												-
Balance, June 30, 2021		3,560,026		356			8,943,404		(10,058,180	)		(1,114,420	)
Net Loss									(110,873	)		(110,873	)
												-
Balance, September 30, 2021		3,560,026	$	356		$	8,943,404	$	(10,169,053	)	$	(1,225,293	)
Shares issued for services		53,238,652		5,323			2,677,903		-			2,683,226
Net Loss									(2,940,953	)		(2,940,953	)
												-
Balance, December 31, 2021		56,798,678	$	5,679		$	11,621,307	$	(13,110,006	)	$	(1,483,020	)
Net Loss									(265,612	)		(265,612	)
												-
Balance, March 31, 2022		56,798,678	$	5,679		$	11,621,307	$	(13,375,618	)	$	(1,748,632	)
Conversion		1,752,490		175			63,557					63,732
Net Profit (Loss)									134,919			134,919
												-
Balance, June 30, 2022		58,551,168	$	5,854		$	11,684,864	$	(13,240,699	)	$	(1,549,981	)

The accompanying notes are an integral part of these financial statements

5

AUSCRETE CORPORATION

 STATEMENT OF CASH FLOWS

for the six months ended June 30,

(unaudited)

	2022			2021
OPERATING ACTIVITIES
Net Income (Loss)	$	(130,693	)	$	(12,202	)
Finance Costs		41,868			9,820
Depreciation		5,970			5,970
Change in other assets		1,481			149
Change in Accounts Receivable		-			-
Share Based expense		-			-
Change in Accounts Payable and Accrued Expenses		78,683			57,581
Change in Related Party Advances		-			-
Change in Derivative and Note Discount		(85,090	)		(210,840	)
Net Cash Used by Operating Activities		(87,781	)		(149,522	)
INVESTING ACTIVITIES:
Purchase of Equipment		-			-
Net cash used by investing activities		-			-
FINANCING ACTIVITIES:
Bank Overdraft / (Repayment)		(219	)		-
Proceeds from notes payable		88,000			135,000
Net cash provided by financing activities		87,781			135,000
NET INCREASE (DECREASE) IN CASH		-			(14,522	)
CASH AT BEGINNING OF PERIOD		-			14,591
CASH AT END OF PERIOD	$	-		$	69
Supplemental Cashflow Information
Interest Paid	$	-		$	-
Taxes Paid	$	-		$	-

The accompanying notes are an integral part of these financial statements

6

AUSCRETE CORPORATION

UNAUDITED NOTES TO FINANCIAL STATEMENTS

June 30, 2022

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

HISTORY

Auscrete Corporation (“the Company”) was formed as an enterprise to take advantage of technologies developed for the construction of affordable, thermally efficient and structurally superior housing. This “GREEN” product is the culmination of design and development since the early 1980’s. The company’s Registration Statement outlines the result of the amalgamation of various material development stages, taking an idea to a product and further developing that product to address an ongoing problem in the world’s largest marketplace, the quest for affordable, efficient and enduring housing. Auscrete’s structures are monetarily highly competitive. A turnkey house, ready to move in sells for around $100-110 per square foot. That is very low in today’s market but is brought about by Auscrete’s ability to manufacture large panels in mass production format. The house is virtually “fastened” together on site to produce an attractive site-built home, a home that will stay where it is put through all kinds of adverse weather and age conditions. It will not burn, is not affected by bugs, termites or rot, it saves extensively on energy costs and has very low maintenance needs.

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:

The summary of significant accounting policies of Auscrete Corporation is presented to assist in the understanding of the Company’s financial statements. The financial statements and notes are representations of the Company’s management, who is responsible for their integrity and objectivity.

The financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). The financial statements are presented in condensed format and should be read in conjunction with the audited financial statement on the form 10-K for the year ended December 31, 2021.

INCOME TAXES

On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2018. The Company will compute its income tax expense for the year ended December 31, 2021 using a Federal Tax Rate of 21%.

Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25 Income Taxes – Recognition. Under this approach, deferred income taxes are recorded to reflect the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each year-end. A valuation allowance is recorded against deferred tax assets if management does not believe the Company has met the “more likely than not” standard required by ASC 740-10-25-5.

CASH AND CASH EQUIVALENTS

Cash and cash equivalents consist primarily of cash in banks and highly liquid investments with original maturities of 90 days or less. There were $0 cash equivalents as of June 30, 2022, and $0 as of December 31, 2021.

7

Fair Value Measurements

The Company adopted guidance which defines fair value, establishes a framework for using fair value to measure financial assets and liabilities on a recurring basis, and expands disclosures about fair value measurements. The guidance establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent sources. Unobservable inputs are inputs that reflect the Company’s assumptions of what market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of the inputs as follows:

Level 1 - Valuation is based upon unadjusted quoted market prices for identical assets or liabilities in accessible active markets.

Level 2 - Valuation is based upon quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; or valuations based on models where the significant inputs are observable in the market.

Level 3 - Valuation is based on models where significant inputs are not observable. The unobservable inputs reflect a company’s own assumptions about the inputs that market participants would use.

The Company’s financial instruments consist of cash, prepaid expenses, inventory, accounts payable, convertible notes payable, advances from related parties, and derivative liabilities. The estimated fair value of cash, prepaid expenses, investments, accounts payable, convertible notes payable and advances from related parties approximate their carrying amounts due to the short-term nature of these instruments.

The Company’s derivative liabilities have been valued as Level 3 instruments.

	Level 1		Level 2		Level 3		Total
Fair value of convertible notes derivative liability – June 30, 2022	$	-	$	-	$	204,843	$	204,843

Fair value of convertible notes derivative liability – June 30, 2022

	Level 1		Level 2		Level 3		Total
Fair value of convertible notes derivative liability – December 31, 2021	$	-	$	-	$	295,306	$	295,306

Fair value of convertible notes derivative liability – December 31, 2021

REVENUE RECOGNITION POLICY

The Company recognizes revenue under ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” (“ASC 606”). The core principle of the revenue standard is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods and services transferred to the customer. The following five steps are applied to achieve that core principle:

· Identify the contract with the customer

· Identify the performance obligations in the contract

· Determine the transaction price

· Allocate the transaction price to the performance obligations in the contract

· Recognize revenue when the company satisfies a performance obligation

For the three and six months ended June 30, 2022, our revenue was $0.

8

COST OF SALES

Amounts that will be recorded as cost of sales relate to direct expenses incurred in order to fulfill orders of our products. Such costs are recorded as incurred. Our cost of sales will consist primarily of the cost of product, labor and selling costs and and does not include G&A expenses.

PROPERTY AND EQUIPMENT

Property and Equipment was stated at historical cost less Accumulated depreciation and amortization. Cost represents the purchase price of the asset and other costs incurred to bring the asset into its existing use.

Depreciation is provided on a straight-line basis over the assets’ estimated useful lives. The useful lives of the assets are as follows: equipment 7-years, vehicles 7-years, and buildings 30-years. Additions and improvements are capitalized while routine repairs and maintenance are charged to expense as incurred. Upon sale or disposition, the historically recorded asset cost and Accumulated depreciation are removed from the Accounts and the net amount less proceeds from disposal is charged or credited to other income or expense.

IMPAIRMENT OF LONG-LIVED ASSETS

We evaluate long-lived assets for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate their net book value may not be recoverable. When these events occur, we compare the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amount. Impairment, if any, is based on the excess of the carrying amount over the fair value, based on market value when available, or discounted expected cash flows, of those assets and is recorded in the period in which the determination is made. There can be no assurance, however, that market conditions will not change or demand for the Company’s products will continue. Either of these could result in the future impairment of long-lived assets. Estimates of fair value are determined through various techniques, including discounted cash flow models and market approaches, as considered necessary.

LOSS PER COMMON SHARE

Basic loss per common share is computed based upon the weighted average number of common shares outstanding during the period. Diluted earnings per share consists of the weighted average number of common shares outstanding plus the dilutive effects of options and warrants calculated using the treasury stock method. In loss periods, dilutive common equivalent shares are excluded as the effect would be anti-dilutive. It is estimated that the Company will issue approximately ~15,400,000 as a result of conversion of notes. The company also has 2,000,000 in outstanding common stock warrants. Fully diluted weighted average common shares and equivalents were withheld from the calculation as they were considered anti-dilutive.

RECLASSIFICATION

Certain amounts in the prior period financial statements have been reclassified to conform to the current period presentation. These reclassifications had no effect on reported income, total assets, or stockholders’ equity as previously reported.

USE OF ESTIMATES

The preparation of the financial statements in conformity with generally Accepted Accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates and assumptions.

9

EMERGING GROWTH COMPANY

The Company qualifies as an Emerging Growth Company, thus takes advantage of the 1-year deferral period for the adoption of all new accounting standards updates.

NOTE 2 - GOING CONCERN AND PLAN OF OPERATION

The Company’s financial statements have been presented on the basis that it will continue as a going concern. The Company has not generated revenues from construction related operations to date. The Company has an Accumulated deficit of $13,240,699 as of June 30, 2022 which raises substantial doubt about the Company’s ability to continue as a going concern.

The Company will use additional funds through equity and debt financing, collaborative or other arrangements with corporate partners, licensees or others, and from other sources, which may have the effect of diluting the holdings of existing shareholders. The Company has subsequent current arrangements with respect to, or sources of, such additional financing and the Company does not anticipate that existing shareholders will be required to provide any portion of the Company’s future financing requirements.

No assurance can be given that additional financing will be available when needed or that such financing will be available on terms Acceptable to the Company. If adequate funds are not available, the Company may be required to delay or terminate expenditures for certain of its programs that it would otherwise seek to develop and commercialize. This would have a material adverse effect on the Company and raise doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that may result from the outcome of this uncertainty.

NOTE 3 - RECENT ACCOUNTING PRONOUNCEMENTS

Update 2020-06—Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. This was issued in August of 2020 and will become effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. We are in the process of evaluating the impact to the company.

NOTE 4 - RELATED PARTY TRANSACTIONS

Though the company has established banking credit cards to assist with the normal everyday purchases and payments of corporate needs such as utilities etc., The CEO and other involved parties often use their own cards for this purpose and, to represent this, the company has a continuous Related Party Advances section in its financial statements. This is adjusted typically at the end of each reporting period.

As of June 30, 2022, and December 31, 2021 the balance owed to John Sprovieri was $0 and $0 respectively.

NOTE 5 - PROPERTY, INVENTORY AND EQUIPMENT

Notes to Inventory Type and Value:

Inventory consists of Finished Product and Raw Materials that are valued at the lower of cost or market.

Raw Materials:

Raw materials consist of rebar, insulation, surfactant, powdered cement, threaded inserts and sundry items. The cost is based on the cost of purchase from a non-related supplier. As of June 30, 2022 and December 31, 2021 the inventory value was $6,197 and $6,197 respectively.

10

Property and Equipment at June 30, 2022 were comprised of the following at:

	June 30, 2022			December 31, 2021
Capital Equipment	$	80,554		$	80,554
Vehicles		6,344			6,344
Accumulated Depreciation		(52675	)		(46,705	)
Net Fixed Assets	$	34,223		$	40,193

Depreciation expense for the three months ended June 30, 2022 and 2021 was $2,985 and $2,985 respectively.

Depreciation expense for the six months ended June 30, 2022 and 2021 was $5,970 and $5,970 respectively.

NOTE 6 - EQUITY

Common Stock:

During the Period January 1, 2021 to June 30, 2022, the Company issued 1,882,899 shares for convertible note conversions.

On February 22 of 2021 the company performed a 40 for 1 reverse stock split. All share amounts have been adjusted retroactively to reflect the split and adjustments have been made to reflect the par value and adjusted to additional paid in capital.

The following table is a list of the foremost 6 shareholders of the Company as of June 30, 2022.

NAME ADDRESS	Number of Shares
1. John Sprovieri PO Box 813, Rufus, OR 97050		40,675,897
2. CEDE & Company 570 Washington Blvd. 5th. Floor, Jersey City, NJ 07310		2,084,557
3. Kathleen D Jett PO Box 846, 618 W. First Street, Rufus, OR 97050.		6,025,352
4. Kimberly Grimm 15011 SE Mt Royale Ct. Milwaukie, OR 97267.		3,275,120
5. Michael Young 4405 H’way 30, The Dalles, OR..		1,100,000
6. William S Beers PO Box 825, Rufus, OR 97058		1,110,200

Warrants

On May 28, 2019 we issued 2,000,000 in cashless warrants in connection with the issuance of the convertible promissory note dated May 29, 2019 with Crown Bridge Partners, LLC in the amount of $27,500.

		Warrants - Common Share Equivalents			Weighted Average Exercise price		Warrants exercisable - Common Share Equivalents			Weighted Average Exercise price
Outstanding December 31, 2020			-		$	-		-		$	-
Additions	Granted		2,000,000			0.30		2,000,000.00			0.30
Expired	Expired		-			-		-
Excercised	Exercised		-			-		-			-
Outstanding December 31, 2021			2,000,000		$	0.30		2,000,000		$	0.30
Additions	Granted		-			-		-
Expired	Expired		(2,000,000	)		-		(2,000,000	)
Excercised	Exercised		-			-		-			-
Outstanding June 30, 2022			-		$	-		-		$	-

11

The warrants contained a down round feature that were triggered during 2020, and the result $12,600 of deemed dividend recognized as a result.

NOTE 7 - INCOME TAXES

We currently have no current tax liability, as we have had limited revenue and incurred losses since inception.

On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2019. The Company will compute its income tax expense for the year ended December 31, 2022 using a Federal Tax Rate of 21%.

Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25 Income Taxes – Recognition. Under this approach, deferred income taxes are recorded to reflect the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each year-end. A valuation allowance is recorded against deferred tax assets if management does not believe the Company has met the “more likely than not” standard required by ASC 740-10-25-5.

Deferred income tax amounts reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax reporting purposes.

During the Period January 1, 2020 to December 31, 2020 there were 1,250,000 shares issued to these individuals to recompense post-split roll back numbers issued for service compensation to the Company. As a result the company recognized a share based expense of $1,150,000. This amount was eliminated from the net operating loss carry forward

During the Period January 1, 2021 to December 31, 2021 there were 53,238,652 shares issued to these individuals to recompense post-split roll back numbers issued for service compensation to the Company. As a result the company recognized a share based expense of $2,683,226. This amount was eliminated from the net operating loss carry forward

As of June 30, 2022, we had a net operating loss carry-forward of approximately $(9,361,691) and a deferred tax asset of approximately $1,965,955 using the statutory rate of 21%. The deferred tax asset may be recognized in future periods, not to exceed 20 years for 2020 and prior and post 2018 are indefinite.

However, due to the uncertainty of future events, we have booked valuation allowance of $(1,965,955). FASB ASC 740 prescribes recognition threshold and measurement attributes for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. FASB ASC 740 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. At December 31, 2021, the Company had not taken any tax positions that would require disclosure under FASB ASC 740.

	June 30, 2022			December 31, 2021
Deferred Tax Asset	$	1,965,955		$	1,948,124
Valuation Allowance		(1,965,955	)		(1,948,424	)
Deferred Tax Asset (net)	$	-		$	-

The Company is subject to tax in the U.S. federal and Washington jurisdictions. These filings are subject to a three-year statute of limitations unless the returns have not been filed at which point the statute of limitations becomes indefinite. No filings are currently under examination. No adjustments have been made to reduce the estimated income tax benefit at year end. Any valuations relating to these income tax provisions will comply with U.S. generally Accepted Accounting principles.

12

NOTE 8 - NOTES PAYABLE AND DERIVATIVE LIABILITIES

On February 2, 2018, the company issued a 12-month Convertible Note for the sum of $200,000 to RB Capital at 12%. Convertible at $0.004. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On May 8, 2018, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 12%. Convertible at $0.004. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On June 28, 2018, the company issued a 12-month Convertible Note for the sum of $10,000 to RB Capital at 12%. Convertible at $0.004. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On December 7, 2018, the company issued a 12-month Convertible Note for the sum of $25,000 to RB Capital at 12%. Convertible at $0.004. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On October 25, 2019, the company issued a 12-month Convertible Note for the sum of $15,000 to RB Capital at 12%. Convertible at $0.01. As a result we recognized a beneficial conversion cost of $45,000.

On November 15, 2019, the company issued a 12-month Convertible Note for the sum of $25,000 to RB Capital at 12%. Convertible at $0.01. As a result, we recognized a beneficial conversion cost of $7,500.

On December 13, 2019, the company issued a 12-month Convertible Note for the sum of $20,000 to RB Capital at 12%. Convertible at $0.03. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On January 13, 2020, the company issued a 12-month Convertible Note for the sum of $20,000 to RB Capital at 10%. Convertible at $0.10. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On February 10, 2020, the company issued a 12-month Convertible Note for the sum of $25,000 to RB Capital at 10%. Convertible at $0.15. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On April 7, 2020, the company issued a 12-month Convertible Note for the sum of $15,000 to RB Capital at 10%. Convertible at $0.05. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On June 5, 2020, the company issued a 12-month Convertible Note for the sum of $20,000 to RB Capital at 10%. Convertible at $0.10. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On June 25, 2020, the company issued a 12-month Convertible Note for the sum of $30,000 to Shmeul Rotbard at 8%. Convertible at $0.008. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On July 23, 2020, the company issued a 12-month Convertible Note for the sum of $15,000 to RB Capital at 10%. Convertible at $0.05. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On August 17, 2020, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.05. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On November 10, 2020, the company issued a 12-month Convertible Note for the sum of $25,000 to RB Capital at 10%. Convertible at $0.01. No beneficial conversion was recognized as the conversion price was higher than the stock price.

13

On December 14, 2020, the company issued a 12-month Convertible Note for the sum of $45,000 to RB Capital at 10%. Convertible at $0.01. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On January 29, 2021, the company issued a 12-month Convertible Note for the sum of $35,000 to RB Capital at 10%. Convertible at $0.01. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On March 16, 2021, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.20. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On May 10, 2021, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.20. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On July 6, 2021, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.10. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On August 16, 2021, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.10. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On November 5, 2021, the company issued a 12-month Convertible Note for the sum of $55,000 to Sixth Street Lending at 6%. Convertible at 65% of the averaged 3 lowest trading prices during the prior 15 day trading period. We recognized a derivative liability in the amount of $117,851 as a result.

On December 28, 2021, the company issued a 12-month Convertible Note for the sum of $38,000 to Sixth Street Lending at 10%. Convertible at 65% of the averaged 3 lowest trading prices during the prior 15 day trading period. We recognized a derivative liability in the amount of $79,868 as a result.

On March 18, 2022, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.06. No beneficial conversion was recognized as the conversion price was higher than the stock price.

As a result of the convertible notes we recognized the embedded derivative liability on the date that the note was convertible. We also revalued the remaining derivative liability on the outstanding note balance on the date of the balance sheet. The inputs used were a weighted volatility of 286% and a risk-free discount rate of 2.44%

The convertible notes have interest rates that range from 8% to 12% per annum and default rates that range from 12% to 24% per annum. The maturity dates range from six months to one year. The conversion rates range from 55% discount to the market to 62% discount to the market. As of June 30, 2022, there were twenty-three convertible notes outstanding,

The remaining derivative liabilities valued using the level 3 inputs in the fair value hierarchy were:

	June 30, 2022		December 31, 2021
Derivative Liabilities on Convertible Loans:
Outstanding Balance		204,843		295,306

NOTE 9 - COMMITMENTS

The company maintains a month-to-month lease agreement on a 8,000 sq. ft. facility located in outer Goldendale and monthly lease cost is $2,000. The total lease payments for the three and six months ended June 30, 2022 were $6,000 and 12,000 respectively.

As of June 30, 2022 the company has not remitted all of the backup withholdings, which could result in material trust-fund penalties from the internal revenue service.

14

NOTE 10 - SUBSEQUENT EVENTS

As of July 11^th the Company entered into an agreement with RB Capital Partners to consolidate all past Notes totaling 1,050,000 into one Note which amount represents the amount owed to the Holder as of July 15, 2022.

As of June 30, 2022, the Company has arranged financing of $200,000. These funds will provide adequate capital funds to operate its business going forward, as the Company works to fill its current housing orders. The Company drew down $50,000 in July.

Recently completed was building site foundation work and manufacturing of a 400 sq. ft. model home. This display home unit has been sold to a Real Estate developer whose plans include an extensive area marketing effort.

This quarter the company has additionally entered into an agreement to build two 1,500 square foot homes in the North Western part of Washington State. The building plan design phase is near completion and a goal of beginning site construction work is set for early of 2023.

Additionally, through working with this same contractor indications are that there may be as many as (50) 400 sq. ft. duplexes for a developer in the state of Utah.

Currently the Company is well into the manufacturing and building process of the first of two 400 sq. ft. homes located in The Dalles Oregon. The first home should be completed and ready for occupancy in the next few weeks.

In accordance with ASC 855, the Company has analyzed its operations subsequent to June 30, 2022 through the date these financial statements were issued, and has determined that there were no material subsequent events to disclose in these financial statements, other than referenced above.

15

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Forward Looking Statements

Readers of this discussion are advised that the discussion should be read in conjunction with the financial statements of Registrant (including related notes thereto) appearing elsewhere in this Form 10-Q. Certain statements in this discussion may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect Registrant’s current expectations regarding future results of operations, economic performance, financial condition and achievements of Registrant, and do not relate strictly to historical or current facts. Registrant has tried, wherever possible, to identify these forward-looking statements by using words such as “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate” or words of similar meaning.

Although Registrant believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, such statements are subject to risks and uncertainties, which may cause the actual results to differ materially from those anticipated in the forward-looking statements. Such factors include, but are not limited to, the following: general economic and business conditions, which will, among other things, affect demand for housing, the availability of prospective buyers; adverse changes in Registrant’s real estate and construction market; including, among other things, competition with other manufacturers, risks of real estate development and acquisitions; governmental actions and initiatives; and environmental/safety requirements.

Results of Operations

There were no material operational changes from the last financials of December 31, 2021. Revenue for the three and six months ended June 30, 2022 and 2021 was $0 and $0 respectively.

Net cash used in operating activities was $87,781 for the six months ended June 30, 2022 compared to net cash used in operating activity of $149,522 for the same period in 2021.

Net cash used in investing activities was $0 in the six months ended June 30, 2022, compared to net cash used in investing activity of $0 for the same period in 2021.

Net cash provided by financing activities was $87,781for the six months ended June 30, 2022, compared to $135,000 for same period in 2021.

We have had minimal operating activity since inception of the company in 2010. Our 2022 short-term obligations are being covered by funding received from convertible notes. with a total value of $88,000 issued in 2022.

As of June 30, 2022, the Company had inadequate cash to operate its business at the current level for the next three months and to achieve its business goals. The success of our business plan during and beyond the next three months will be provided by additional loan financing of a minimum of $300,000.

16

Overview

Auscrete Corporation was formed as an enterprise to take advantage of technologies developed for the construction of affordable, thermally efficient and structurally superior housing. This “GREEN” product is the culmination of design and development since the early 1980’s. The current technology is the amalgamation of various material stages of Company development, taking an idea to a product and further developing that product to address an ongoing problem in the world’s largest marketplace, the quest for affordable, efficient and enduring housing.

Auscrete’s structures are monetarily very competitive. A turnkey house, ready to move in sells for around $105 per square foot. That is very competitive in today’s market but is brought about by Auscrete’s ability to manufacture

large panels in mass production format. The house is very quickly constructed on site to produce an attractive and functional site-built home, a home that will stay where it is put through all kinds of adverse weather and age conditions. It will not burn, is not affected by insect infestation or rot, it saves extensively on energy costs and has very low maintenance needs.

Financing

Auscrete Corporation, a Wyoming public company was incorporated on December 31, 2009 and initially became effective with the SEC for an IPO on August 16, 2012. The IPO was never exercised and expired.

Subsequently the company had an S-1 become Effective on December 30, 2014. This was not an Offering and not used for fundraising.

The company has been quoted on the OTCQB Bulletin Board under the symbol “ASCK” since February 2019 and is DWAC registered.

Financial Statements in this document represent the full results of the company during the six month period to June 30, 2022. There are no “off balance sheet” arrangements.

Marketing

Principal marketing efforts will be initially aimed at leveraging specific contacts and relationships that have developed over the last 12 years since the inception of the founders’ pilot plant. The company has interviewed and chosen an experienced sales person who will have the luxury of dealing with existing contacts as well as the multitude of inquiries received every week.

Auscrete’s product is also extremely suitable for the construction of commercial and industrial structures. Company marketing will also explore the commercial world for applications and it is believed that such construction will become a large part of the company’s future direction.

Operations Management

The Auscrete Team will comprise of a minimal tiered management structure that enables control and knowledge to be firmly at the hands of senior management ensuring rapid and simplified direct reporting to action.

Under control of the CEO will be marketing, manufacturing operations, design architecture and engineering, administration and safety compliance. Additionally, the Construction Manager will oversee Auscrete’s own construction activities as well as liaise with contractors and developers.

Operations

Design and Engineering will prepare new design concepts and adapt customer’s designs, either residential or commercial, to the Auscrete style of construction as well as preparing all drawings for manufacturing on the production floor.

17

The construction manager will be responsible for liaising with contractors, developers and other customers to ensure the satisfactory completion of their contract. As well, the company will have its own construction division that will not conflict with other contractors but will enable the company the ability to carry out construction operations where no alternative exists. The construction manager will also oversee these operations.

Future Strategy

Auscrete Corporation intends to position itself as a major supplier in the affordable housing market. Housing is generally considered “affordable” when its cost does not exceed 30 percent of the median family income in a given area. In many parts of the country, housing costs have shown signs of adversely affecting corporations, workers and local economies. Yet, still the availability of affordable housing is becoming increasingly scarce.

The company is promoting a product that will not only make housing affordable but also offers some luxuries as well, such as incorporated heat pump/air conditioning units that would not be available in other houses at such comparable pricing. By constructing with the Auscrete Building System, those luxuries will result in lower cost utilities and a comfortable ‘feel’ to the living environment, as can be achieved with a product offering excellent thermal and soundproofing qualities as well as superb fire resistance.

Developers and contractors will offer the homes as complete ready constructed site-built units on suitable land. They are NOT and will not be offered under the banner of such categories as ‘pre-fabricated’, ‘modular” or ‘factory built’ homes. They are just plain good value masonry homes built of a time proven product, concrete.

Although Auscrete can economically deliver whole house panel sets as far away as New Mexico or Alberta, Canada, the Company will concentrate mostly on its home markets here in the Northwest where future growth will be achieved by servicing this fast-emerging market in this above average (for affordable housing) evolving area.

The company plans on selling most of its output to developers, contractors and builders who will purchase the complete set of wall, roof and interior panels from Auscrete and use their own construction crews to construct the houses.

The Plant’s specialized line equipment installation has been completed with end line product fabrication meeting the Company’s expectations in high construction standards. The Company has made further equipment purchases to support its machine shop which will allow it to build additional much needed casting tables amongst other production plant assets.

Housing construction planning is currently in a number of project stages. The Company’s Marketing efforts have recently diversified to also include designs of small dwellings sometimes referred to as “Tiny Homes.” These structures are 80 – 500 square feet housing units built to fill the gap in urban multi-unit homeless transitional housing. This additional new venture in fabrication fits well with Auscrete’s overall model in concrete panel construction for housing and commercial structures.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Not required for smaller reporting companies.

Item 4. Controls and Procedures

(a) Evaluation of Disclosure Controls and Procedures

Under the supervision and with the participation of our management, our Chief Executive and Financial Officer, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act, as of the end of the period covered by this quarterly report. Based on this evaluation, our Chief Executive and Financial Officer concluded as of June 30^st, that our disclosure controls and procedures are not effective such that the information required to be disclosed in our reports filed under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms, and is accumulated and communicated to our management, including our Chief Executive and Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

(b) Changes in internal controls

There were no changes in our internal control over financial reporting during the six months ended June 30, 2022 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

18

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

At present, the Company is not engaged in or the subject of any material pending legal proceedings.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

None.

Item 6. Exhibits

Number	Description
31.1*	Certification of Chief Executive Officer Pursuant to Sarbanes-Oxley Section 302
32.1*	Certification Pursuant To 18 U.S.C. Section 1350, as adopted to Section 906 of the Sarbanes-Oxley Act of 2002
101.INS*	Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document).
101.SCH*	Inline XBRL Taxonomy Extension Schema Document
101.CAL*	Inline XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF*	Inline XBRL Taxonomy Extension Definition Linkbase Document
101.LAB*	Inline XBRL Taxonomy Extension Label Linkbase Document
101.PRE*	Inline XBRL Taxonomy Extension Presentation Linkbase Document
104*	Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101).

* Filed herewith.

19

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	AUSCRETE CORPORATION
Date: August 18, 2022	By:	/s/ A. John Sprovieri
		A. John Sprovieri
		(Chief Executive and Financial Officer)

20

EX-31.1

EXHIBIT 31.1

SARBANES-OXLEY SECTION 302(a) CERTIFICATION

I, John Sprovieri, certify that:

1.	I have reviewed this Form 10-Q for the period ending June 30, 2022 of Auscrete Corporation;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a.	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b.	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c.	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and,
d.	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. I have disclosed, based on my most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a.	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b.	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 18, 2022	/s/ John Sprovieri
	John Sprovieri
	Principal Executive Officer and Principal Financial Officer

EX-32.1

EXHIBIT 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. Section 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Auscrete Corporation (the “Company’) on Form 10-Q for the period ended June 30, 2022 as filed with the Securities and Exchange Commission on the date here of (the “report”), I, John Sprovieri, Chief Executive Officer and Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in this Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated this 18th day of August, 2022.

/s/ John Sprovieri

John Sprovieri

Chief Executive Officer and Chief Financial Officer

XML

Cover - shares	6 Months Ended
	Jun. 30, 2022	Aug. 18, 2022
Cover [Abstract]
Entity Registrant Name	AUSCRETE CORPORATION
Entity Central Index Key	0001492091
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	true
Entity Current Reporting Status	Yes
Document Period End Date	Jun. 30, 2022
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2022
Entity Ex Transition Period	false
Entity Common Stock Shares Outstanding		58,551,168
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-35923
Entity Incorporation State Country Code	WY
Entity Tax Identification Number	27-1692457
Entity Interactive Data Current	Yes
Entity Address Address Line 1	49 John Day Dam Rd
Entity Address City Or Town	Goldendale
Entity Address State Or Province	WA
Entity Address Postal Zip Code	98620
City Area Code	509
Local Phone Number	261-2525

XML

BALANCE SHEETS - USD ($)	Jun. 30, 2022	Dec. 31, 2021
CURRENT ASSETS:
Cash	$ 0	$ 0
Accounts Receivable	8,000	8,000
Prepaid Expenses	4,721	6,202
Inventory	6,197	6,197
TOTAL CURRENT ASSETS	18,918	20,399
Property, Plant and Equipment (net)	34,223	40,193
Deposits	0	0
TOTAL ASSETS	53,141	60,592
CURRENT LIABILITIES:
Bank Overdraft	5,405	5,624
Accounts Payable and Accrued Expenses	148,158	121,170
Accrued Interest Payable	283,068	231,373
Notes Payable (net of discount)	961,648	890,139
Derivative Liability	204,843	295,306
Related Party Advances	0	0
TOTAL CURRENT LIABILITIES	1,603,122	1,543,612
TOTAL LIABILITIES	1,603,122	1,543,612
Commitments and Contingencies	0	0
STOCKHOLDERS' EQUITY (DEFICIT)
Common Stock, 0.0001 par value, authorized 2,000,000,000 shares 58,551,168 and 56,798,678 shares issued and outstanding as of June 30, 2022 and December 31, 2021 respectively, restated to APIC below for the 40 for 1 reverse stock split.	5,854	5,679
Additional Paid In Capital	11,684,864	11,621,307
Shares to be issued	0	0
Accumulated deficit	(13,240,699)	(13,110,006)
TOTAL STOCKHOLDERS' EQUITY (DEFICIT)	(1,549,981)	(1,483,020)
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)	$ 53,141	$ 60,592

XML

BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2022	Dec. 31, 2021
BALANCE SHEETS
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	2,000,000,000	2,000,000,000
Common stock, shares issued	58,551,168	56,798,678
Common stock, shares outstanding	58,551,168	56,798,678

XML

STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
STATEMENTS OF OPERATIONS (UNAUDITED)
REVENUE	$ 0	$ 0	$ 0	$ 0
Cost of Goods sold	0	0	0	0
Gross Profit	0	0	0	0
EXPENSES
Accounting and Legal	17,750	5,000	25,750	7,900
Salaries and wages	9,926	59,405	55,716	110,181
Share based expense	0	0	0	0
G&A Expenses	11,895	29,363	34,794	53,456
Depreciation expense	2,985	2,985	5,970	5,970
TOTAL EXPENSES	42,556	96,753	122,230	177,507
Income (loss) from operations	(42,556)	(96,753)	(122,230)	(177,507)
OTHER INCOME (EXPENSES)
Gain / (Loss) on derivative	227,026	555	131,600	236,864
Financing cost	0	0	(41,868)	(9,820)
Interest Expense	(49,551)	(26,754)	(98,195)	(61,739)
TOTAL OTHER INCOME (EXPENSES)	177,475	(26,199)	(8,463)	165,305
INCOME (LOSS) BEFORE TAXES	134,919	(122,952)	(130,693)	(12,202)
Provision for Income Taxes	0	0	0	0
NET INCOME (LOSS)	$ 134,919	$ (122,952)	$ (130,693)	$ (12,202)
NET INCOME (LOSS) PER COMMON SHARE - BASIC AND DILUTED	$ 0.00	$ (0.03)	$ (0.00)	$ (0.00)
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING - BASIC AND DILUTED	57,405,042	3,560,026	57,103,535	3,544,451
NET LOSS PER COMMON SHARE - DILUTED	$ 0.00	$ (0.03)	$ (0.00)	$ (0.00)
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING - DILUTED	72,773,521	3,560,026	57,103,535	3,544,451

XML

STATEMENT OF CHANGES IN SHAREHOLDERS EQUITY (UN-AUDITED) - USD ($)	Total	Common Stock	Additional Paid-In Capital	Retained Earnings (Accumulated Deficit)
Balance, shares at Dec. 31, 2020		3,428,652
Balance, amount at Dec. 31, 2020	$ (1,147,733)	$ 372	$ 8,897,873	$ (10,045,978)
Note conversion, shares		130,409
Note conversion, amount	45,515	$ 13	45,502
Round up shares, shares		965
Round up shares, amount		$ (29)	29
Net Loss	110,750			110,750
Balance, shares at Mar. 31, 2021		3,560,026
Balance, amount at Mar. 31, 2021	(991,468)	$ 356	8,943,404	(9,935,228)
Balance, shares at Dec. 31, 2020		3,428,652
Balance, amount at Dec. 31, 2020	(1,147,733)	$ 372	8,897,873	(10,045,978)
Net Loss	(12,202)
Net Profit (Loss)	(12,202)
Balance, shares at Jun. 30, 2021		3,560,026
Balance, amount at Jun. 30, 2021	(1,114,420)	$ 356	8,943,404	(10,058,180)
Balance, shares at Mar. 31, 2021		3,560,026
Balance, amount at Mar. 31, 2021	(991,468)	$ 356	8,943,404	(9,935,228)
Net Loss	(122,952)			(122,952)
Balance, shares at Jun. 30, 2021		3,560,026
Balance, amount at Jun. 30, 2021	(1,114,420)	$ 356	8,943,404	(10,058,180)
Net Loss	(110,873)			(110,873)
Balance, shares at Sep. 30, 2021		3,560,026
Balance, amount at Sep. 30, 2021	(1,225,293)	$ 356	8,943,404	(10,169,053)
Net Loss	(2,940,953)			(2,940,953)
Shares issued for services, shares		53,238,652
Shares issued for services, amount	2,683,226	$ 5,323	2,677,903	0
Balance, shares at Dec. 31, 2021		56,798,678
Balance, amount at Dec. 31, 2021	(1,483,020)	$ 5,679	11,621,307	(13,110,006)
Net Loss	(265,612)			(265,612)
Balance, shares at Mar. 31, 2022		56,798,678
Balance, amount at Mar. 31, 2022	(1,748,632)	$ 5,679	11,621,307	(13,375,618)
Balance, shares at Dec. 31, 2021		56,798,678
Balance, amount at Dec. 31, 2021	(1,483,020)	$ 5,679	11,621,307	(13,110,006)
Net Loss	(130,693)
Net Profit (Loss)	(130,693)
Balance, shares at Jun. 30, 2022		58,551,168
Balance, amount at Jun. 30, 2022	(1,549,981)	$ 5,854	11,684,864	(13,240,699)
Balance, shares at Mar. 31, 2022		56,798,678
Balance, amount at Mar. 31, 2022	(1,748,632)	$ 5,679	11,621,307	(13,375,618)
Net Loss	134,919
Conversion, shares		1,752,490
Conversion, amount	63,732	$ 175	63,557
Net Profit (Loss)	134,919			134,919
Balance, shares at Jun. 30, 2022		58,551,168
Balance, amount at Jun. 30, 2022	$ (1,549,981)	$ 5,854	$ 11,684,864	$ (13,240,699)

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STATEMENT OF CASH FLOWS (unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
OPERATING ACTIVITIES
Net Income (Loss)	$ (130,693)	$ (12,202)
Finance Costs	41,868	9,820
Depreciation	5,970	5,970
Change in other assets	1,481	149
Change in Accounts Receivable	0	0
Share Based expense	0	0
Change in Accounts Payable and Accrued Expenses	78,683	57,581
Change in Related Party Advances	0	0
Change in Derivative and Note Discount	(85,090)	(210,840)
Net Cash Used by Operating Activities	(87,781)	(149,522)
INVESTING ACTIVITIES:
Purchase of Equipment	0	0
Net cash used by investing activities	0	0
FINANCING ACTIVITIES:
Bank Overdraft / (Repayment)	(219)	0
Proceeds from notes payable	88,000	135,000
Net cash provided by financing activities	87,781	135,000
NET INCREASE (DECREASE) IN CASH	0	(14,522)
CASH AT BEGINNING OF PERIOD	0	14,591
CASH AT END OF PERIOD	0	69
Supplemental Cashflow Information
Interest Paid	0	0
Taxes Paid	$ 0	$ 0

XML

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

6 Months Ended

Jun. 30, 2022

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

HISTORY

Auscrete Corporation (“the Company”) was formed as an enterprise to take advantage of technologies developed for the construction of affordable, thermally efficient and structurally superior housing. This “GREEN” product is the culmination of design and development since the early 1980’s. The company’s Registration Statement outlines the result of the amalgamation of various material development stages, taking an idea to a product and further developing that product to address an ongoing problem in the world’s largest marketplace, the quest for affordable, efficient and enduring housing. Auscrete’s structures are monetarily highly competitive. A turnkey house, ready to move in sells for around $100-110 per square foot. That is very low in today’s market but is brought about by Auscrete’s ability to manufacture large panels in mass production format. The house is virtually “fastened” together on site to produce an attractive site-built home, a home that will stay where it is put through all kinds of adverse weather and age conditions. It will not burn, is not affected by bugs, termites or rot, it saves extensively on energy costs and has very low maintenance needs.

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:

The summary of significant accounting policies of Auscrete Corporation is presented to assist in the understanding of the Company’s financial statements. The financial statements and notes are representations of the Company’s management, who is responsible for their integrity and objectivity.

The financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). The financial statements are presented in condensed format and should be read in conjunction with the audited financial statement on the form 10-K for the year ended December 31, 2021.

INCOME TAXES

On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2018. The Company will compute its income tax expense for the year ended December 31, 2021 using a Federal Tax Rate of 21%.

Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25 Income Taxes – Recognition. Under this approach, deferred income taxes are recorded to reflect the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each year-end. A valuation allowance is recorded against deferred tax assets if management does not believe the Company has met the “more likely than not” standard required by ASC 740-10-25-5.

CASH AND CASH EQUIVALENTS

Cash and cash equivalents consist primarily of cash in banks and highly liquid investments with original maturities of 90 days or less. There were $0 cash equivalents as of June 30, 2022, and $0 as of December 31, 2021.

Fair Value Measurements

The Company adopted guidance which defines fair value, establishes a framework for using fair value to measure financial assets and liabilities on a recurring basis, and expands disclosures about fair value measurements. The guidance establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent sources. Unobservable inputs are inputs that reflect the Company’s assumptions of what market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of the inputs as follows:

Level 1 - Valuation is based upon unadjusted quoted market prices for identical assets or liabilities in accessible active markets.

Level 2 - Valuation is based upon quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; or valuations based on models where the significant inputs are observable in the market.

Level 3 - Valuation is based on models where significant inputs are not observable. The unobservable inputs reflect a company’s own assumptions about the inputs that market participants would use.

The Company’s financial instruments consist of cash, prepaid expenses, inventory, accounts payable, convertible notes payable, advances from related parties, and derivative liabilities. The estimated fair value of cash, prepaid expenses, investments, accounts payable, convertible notes payable and advances from related parties approximate their carrying amounts due to the short-term nature of these instruments.

The Company’s derivative liabilities have been valued as Level 3 instruments.

	Level 1		Level 2		Level 3		Total
Fair value of convertible notes derivative liability – June 30, 2022	$	-	$	-	$	204,843	$	204,843

Fair value of convertible notes derivative liability – June 30, 2022

	Level 1		Level 2		Level 3		Total
Fair value of convertible notes derivative liability – December 31, 2021	$	-	$	-	$	295,306	$	295,306

Fair value of convertible notes derivative liability – December 31, 2021

REVENUE RECOGNITION POLICY

The Company recognizes revenue under ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” (“ASC 606”). The core principle of the revenue standard is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods and services transferred to the customer. The following five steps are applied to achieve that core principle:

· Identify the contract with the customer

· Identify the performance obligations in the contract

· Determine the transaction price

· Allocate the transaction price to the performance obligations in the contract

· Recognize revenue when the company satisfies a performance obligation

For the three and six months ended June 30, 2022, our revenue was $0.

COST OF SALES

Amounts that will be recorded as cost of sales relate to direct expenses incurred in order to fulfill orders of our products. Such costs are recorded as incurred. Our cost of sales will consist primarily of the cost of product, labor and selling costs and and does not include G&A expenses.

PROPERTY AND EQUIPMENT

Property and Equipment was stated at historical cost less Accumulated depreciation and amortization. Cost represents the purchase price of the asset and other costs incurred to bring the asset into its existing use.

Depreciation is provided on a straight-line basis over the assets’ estimated useful lives. The useful lives of the assets are as follows: equipment 7-years, vehicles 7-years, and buildings 30-years. Additions and improvements are capitalized while routine repairs and maintenance are charged to expense as incurred. Upon sale or disposition, the historically recorded asset cost and Accumulated depreciation are removed from the Accounts and the net amount less proceeds from disposal is charged or credited to other income or expense.

IMPAIRMENT OF LONG-LIVED ASSETS

We evaluate long-lived assets for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate their net book value may not be recoverable. When these events occur, we compare the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amount. Impairment, if any, is based on the excess of the carrying amount over the fair value, based on market value when available, or discounted expected cash flows, of those assets and is recorded in the period in which the determination is made. There can be no assurance, however, that market conditions will not change or demand for the Company’s products will continue. Either of these could result in the future impairment of long-lived assets. Estimates of fair value are determined through various techniques, including discounted cash flow models and market approaches, as considered necessary.

LOSS PER COMMON SHARE

Basic loss per common share is computed based upon the weighted average number of common shares outstanding during the period. Diluted earnings per share consists of the weighted average number of common shares outstanding plus the dilutive effects of options and warrants calculated using the treasury stock method. In loss periods, dilutive common equivalent shares are excluded as the effect would be anti-dilutive. It is estimated that the Company will issue approximately ~15,400,000 as a result of conversion of notes. The company also has 2,000,000 in outstanding common stock warrants. Fully diluted weighted average common shares and equivalents were withheld from the calculation as they were considered anti-dilutive.

RECLASSIFICATION

Certain amounts in the prior period financial statements have been reclassified to conform to the current period presentation. These reclassifications had no effect on reported income, total assets, or stockholders’ equity as previously reported.

USE OF ESTIMATES

The preparation of the financial statements in conformity with generally Accepted Accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates and assumptions.

EMERGING GROWTH COMPANY

The Company qualifies as an Emerging Growth Company, thus takes advantage of the 1-year deferral period for the adoption of all new accounting standards updates.

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GOING CONCERN AND PLAN OF OPERATION

6 Months Ended

Jun. 30, 2022

GOING CONCERN AND PLAN OF OPERATION

GOING CONCERN AND PLAN OF OPERATION

NOTE 2 - GOING CONCERN AND PLAN OF OPERATION

The Company’s financial statements have been presented on the basis that it will continue as a going concern. The Company has not generated revenues from construction related operations to date. The Company has an Accumulated deficit of $13,240,699 as of June 30, 2022 which raises substantial doubt about the Company’s ability to continue as a going concern.

The Company will use additional funds through equity and debt financing, collaborative or other arrangements with corporate partners, licensees or others, and from other sources, which may have the effect of diluting the holdings of existing shareholders. The Company has subsequent current arrangements with respect to, or sources of, such additional financing and the Company does not anticipate that existing shareholders will be required to provide any portion of the Company’s future financing requirements.

No assurance can be given that additional financing will be available when needed or that such financing will be available on terms Acceptable to the Company. If adequate funds are not available, the Company may be required to delay or terminate expenditures for certain of its programs that it would otherwise seek to develop and commercialize. This would have a material adverse effect on the Company and raise doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that may result from the outcome of this uncertainty.

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RECENT ACCOUNTING PRONOUNCEMENTS

6 Months Ended

Jun. 30, 2022

RECENT ACCOUNTING PRONOUNCEMENTS

RECENT ACCOUNTING PRONOUNCEMENTS

NOTE 3 - RECENT ACCOUNTING PRONOUNCEMENTS

Update 2020-06—Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. This was issued in August of 2020 and will become effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. We are in the process of evaluating the impact to the company.

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RELATED PARTY TRANSACTIONS

6 Months Ended

Jun. 30, 2022

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS

NOTE 4 - RELATED PARTY TRANSACTIONS

Though the company has established banking credit cards to assist with the normal everyday purchases and payments of corporate needs such as utilities etc., The CEO and other involved parties often use their own cards for this purpose and, to represent this, the company has a continuous Related Party Advances section in its financial statements. This is adjusted typically at the end of each reporting period.

As of June 30, 2022, and December 31, 2021 the balance owed to John Sprovieri was $0 and $0 respectively.

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PROPERTY, INVENTORY AND EQUIPMENT

6 Months Ended

Jun. 30, 2022

PROPERTY, INVENTORY AND EQUIPMENT

PROPERTY, INVENTORY AND EQUIPMENT

NOTE 5 - PROPERTY, INVENTORY AND EQUIPMENT

Notes to Inventory Type and Value:

Inventory consists of Finished Product and Raw Materials that are valued at the lower of cost or market.

Raw Materials:

Raw materials consist of rebar, insulation, surfactant, powdered cement, threaded inserts and sundry items. The cost is based on the cost of purchase from a non-related supplier. As of June 30, 2022 and December 31, 2021 the inventory value was $6,197 and $6,197 respectively.

Property and Equipment at June 30, 2022 were comprised of the following at:

	June 30, 2022			December 31, 2021
Capital Equipment	$	80,554		$	80,554
Vehicles		6,344			6,344
Accumulated Depreciation		(52675	)		(46,705	)
Net Fixed Assets	$	34,223		$	40,193

Depreciation expense for the three months ended June 30, 2022 and 2021 was $2,985 and $2,985 respectively.

Depreciation expense for the six months ended June 30, 2022 and 2021 was $5,970 and $5,970 respectively.

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EQUITY

6 Months Ended

Jun. 30, 2022

EQUITY

EQUITY

NOTE 6 - EQUITY

Common Stock:

During the Period January 1, 2021 to June 30, 2022, the Company issued 1,882,899 shares for convertible note conversions.

On February 22 of 2021 the company performed a 40 for 1 reverse stock split. All share amounts have been adjusted retroactively to reflect the split and adjustments have been made to reflect the par value and adjusted to additional paid in capital.

The following table is a list of the foremost 6 shareholders of the Company as of June 30, 2022.

NAME ADDRESS	Number of Shares
1. John Sprovieri PO Box 813, Rufus, OR 97050		40,675,897
2. CEDE & Company 570 Washington Blvd. 5th. Floor, Jersey City, NJ 07310		2,084,557
3. Kathleen D Jett PO Box 846, 618 W. First Street, Rufus, OR 97050.		6,025,352
4. Kimberly Grimm 15011 SE Mt Royale Ct. Milwaukie, OR 97267.		3,275,120
5. Michael Young 4405 H’way 30, The Dalles, OR..		1,100,000
6. William S Beers PO Box 825, Rufus, OR 97058		1,110,200

Warrants

On May 28, 2019 we issued 2,000,000 in cashless warrants in connection with the issuance of the convertible promissory note dated May 29, 2019 with Crown Bridge Partners, LLC in the amount of $27,500.

		Warrants - Common Share Equivalents			Weighted Average Exercise price		Warrants exercisable - Common Share Equivalents			Weighted Average Exercise price
Outstanding December 31, 2020			-		$	-		-		$	-
Additions	Granted		2,000,000			0.30		2,000,000.00			0.30
Expired	Expired		-			-		-
Excercised	Exercised		-			-		-			-
Outstanding December 31, 2021			2,000,000		$	0.30		2,000,000		$	0.30
Additions	Granted		-			-		-
Expired	Expired		(2,000,000	)		-		(2,000,000	)
Excercised	Exercised		-			-		-			-
Outstanding June 30, 2022			-		$	-		-		$	-

The warrants contained a down round feature that were triggered during 2020, and the result $12,600 of deemed dividend recognized as a result.

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INCOME TAXES

6 Months Ended

Jun. 30, 2022

INCOME TAXES

INCOME TAXES

NOTE 7 - INCOME TAXES

We currently have no current tax liability, as we have had limited revenue and incurred losses since inception.

On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2019. The Company will compute its income tax expense for the year ended December 31, 2022 using a Federal Tax Rate of 21%.

Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25 Income Taxes – Recognition. Under this approach, deferred income taxes are recorded to reflect the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each year-end. A valuation allowance is recorded against deferred tax assets if management does not believe the Company has met the “more likely than not” standard required by ASC 740-10-25-5.

Deferred income tax amounts reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax reporting purposes.

During the Period January 1, 2020 to December 31, 2020 there were 1,250,000 shares issued to these individuals to recompense post-split roll back numbers issued for service compensation to the Company. As a result the company recognized a share based expense of $1,150,000. This amount was eliminated from the net operating loss carry forward

During the Period January 1, 2021 to December 31, 2021 there were 53,238,652 shares issued to these individuals to recompense post-split roll back numbers issued for service compensation to the Company. As a result the company recognized a share based expense of $2,683,226. This amount was eliminated from the net operating loss carry forward

As of June 30, 2022, we had a net operating loss carry-forward of approximately $(9,361,691) and a deferred tax asset of approximately $1,965,955 using the statutory rate of 21%. The deferred tax asset may be recognized in future periods, not to exceed 20 years for 2020 and prior and post 2018 are indefinite.

However, due to the uncertainty of future events, we have booked valuation allowance of $(1,965,955). FASB ASC 740 prescribes recognition threshold and measurement attributes for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. FASB ASC 740 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. At December 31, 2021, the Company had not taken any tax positions that would require disclosure under FASB ASC 740.

	June 30, 2022			December 31, 2021
Deferred Tax Asset	$	1,965,955		$	1,948,124
Valuation Allowance		(1,965,955	)		(1,948,424	)
Deferred Tax Asset (net)	$	-		$	-

The Company is subject to tax in the U.S. federal and Washington jurisdictions. These filings are subject to a three-year statute of limitations unless the returns have not been filed at which point the statute of limitations becomes indefinite. No filings are currently under examination. No adjustments have been made to reduce the estimated income tax benefit at year end. Any valuations relating to these income tax provisions will comply with U.S. generally Accepted Accounting principles.

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NOTES PAYABLE AND DERIVATIVE LIABILITIES

6 Months Ended

Jun. 30, 2022

NOTES PAYABLE AND DERIVATIVE LIABILITIES

NOTES PAYABLE AND DERIVATIVE LIABILITIES

NOTE 8 - NOTES PAYABLE AND DERIVATIVE LIABILITIES

On February 2, 2018, the company issued a 12-month Convertible Note for the sum of $200,000 to RB Capital at 12%. Convertible at $0.004. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On May 8, 2018, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 12%. Convertible at $0.004. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On June 28, 2018, the company issued a 12-month Convertible Note for the sum of $10,000 to RB Capital at 12%. Convertible at $0.004. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On December 7, 2018, the company issued a 12-month Convertible Note for the sum of $25,000 to RB Capital at 12%. Convertible at $0.004. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On October 25, 2019, the company issued a 12-month Convertible Note for the sum of $15,000 to RB Capital at 12%. Convertible at $0.01. As a result we recognized a beneficial conversion cost of $45,000.

On November 15, 2019, the company issued a 12-month Convertible Note for the sum of $25,000 to RB Capital at 12%. Convertible at $0.01. As a result, we recognized a beneficial conversion cost of $7,500.

On December 13, 2019, the company issued a 12-month Convertible Note for the sum of $20,000 to RB Capital at 12%. Convertible at $0.03. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On January 13, 2020, the company issued a 12-month Convertible Note for the sum of $20,000 to RB Capital at 10%. Convertible at $0.10. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On February 10, 2020, the company issued a 12-month Convertible Note for the sum of $25,000 to RB Capital at 10%. Convertible at $0.15. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On April 7, 2020, the company issued a 12-month Convertible Note for the sum of $15,000 to RB Capital at 10%. Convertible at $0.05. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On June 5, 2020, the company issued a 12-month Convertible Note for the sum of $20,000 to RB Capital at 10%. Convertible at $0.10. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On June 25, 2020, the company issued a 12-month Convertible Note for the sum of $30,000 to Shmeul Rotbard at 8%. Convertible at $0.008. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On July 23, 2020, the company issued a 12-month Convertible Note for the sum of $15,000 to RB Capital at 10%. Convertible at $0.05. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On August 17, 2020, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.05. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On November 10, 2020, the company issued a 12-month Convertible Note for the sum of $25,000 to RB Capital at 10%. Convertible at $0.01. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On December 14, 2020, the company issued a 12-month Convertible Note for the sum of $45,000 to RB Capital at 10%. Convertible at $0.01. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On January 29, 2021, the company issued a 12-month Convertible Note for the sum of $35,000 to RB Capital at 10%. Convertible at $0.01. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On March 16, 2021, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.20. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On May 10, 2021, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.20. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On July 6, 2021, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.10. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On August 16, 2021, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.10. No beneficial conversion was recognized as the conversion price was higher than the stock price.

On November 5, 2021, the company issued a 12-month Convertible Note for the sum of $55,000 to Sixth Street Lending at 6%. Convertible at 65% of the averaged 3 lowest trading prices during the prior 15 day trading period. We recognized a derivative liability in the amount of $117,851 as a result.

On December 28, 2021, the company issued a 12-month Convertible Note for the sum of $38,000 to Sixth Street Lending at 10%. Convertible at 65% of the averaged 3 lowest trading prices during the prior 15 day trading period. We recognized a derivative liability in the amount of $79,868 as a result.

On March 18, 2022, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.06. No beneficial conversion was recognized as the conversion price was higher than the stock price.

As a result of the convertible notes we recognized the embedded derivative liability on the date that the note was convertible. We also revalued the remaining derivative liability on the outstanding note balance on the date of the balance sheet. The inputs used were a weighted volatility of 286% and a risk-free discount rate of 2.44%

The convertible notes have interest rates that range from 8% to 12% per annum and default rates that range from 12% to 24% per annum. The maturity dates range from six months to one year. The conversion rates range from 55% discount to the market to 62% discount to the market. As of June 30, 2022, there were twenty-three convertible notes outstanding,

The remaining derivative liabilities valued using the level 3 inputs in the fair value hierarchy were:

	June 30, 2022		December 31, 2021
Derivative Liabilities on Convertible Loans:
Outstanding Balance		204,843		295,306

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COMMITMENTS

6 Months Ended

Jun. 30, 2022

COMMITMENTS

COMMITMENTS

NOTE 9 - COMMITMENTS

The company maintains a month-to-month lease agreement on a 8,000 sq. ft. facility located in outer Goldendale and monthly lease cost is $2,000. The total lease payments for the three and six months ended June 30, 2022 were $6,000 and 12,000 respectively.

As of June 30, 2022 the company has not remitted all of the backup withholdings, which could result in material trust-fund penalties from the internal revenue service.

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SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2022

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

NOTE 10 - SUBSEQUENT EVENTS

As of July 11^th the Company entered into an agreement with RB Capital Partners to consolidate all past Notes totaling 1,050,000 into one Note which amount represents the amount owed to the Holder as of July 15, 2022.

As of June 30, 2022, the Company has arranged financing of $200,000. These funds will provide adequate capital funds to operate its business going forward, as the Company works to fill its current housing orders. The Company drew down $50,000 in July.

Recently completed was building site foundation work and manufacturing of a 400 sq. ft. model home. This display home unit has been sold to a Real Estate developer whose plans include an extensive area marketing effort.

This quarter the company has additionally entered into an agreement to build two 1,500 square foot homes in the North Western part of Washington State. The building plan design phase is near completion and a goal of beginning site construction work is set for early of 2023.

Additionally, through working with this same contractor indications are that there may be as many as (50) 400 sq. ft. duplexes for a developer in the state of Utah.

Currently the Company is well into the manufacturing and building process of the first of two 400 sq. ft. homes located in The Dalles Oregon. The first home should be completed and ready for occupancy in the next few weeks.

In accordance with ASC 855, the Company has analyzed its operations subsequent to June 30, 2022 through the date these financial statements were issued, and has determined that there were no material subsequent events to disclose in these financial statements, other than referenced above.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

6 Months Ended

Jun. 30, 2022

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

HISTORY

Auscrete Corporation (“the Company”) was formed as an enterprise to take advantage of technologies developed for the construction of affordable, thermally efficient and structurally superior housing. This “GREEN” product is the culmination of design and development since the early 1980’s. The company’s Registration Statement outlines the result of the amalgamation of various material development stages, taking an idea to a product and further developing that product to address an ongoing problem in the world’s largest marketplace, the quest for affordable, efficient and enduring housing. Auscrete’s structures are monetarily highly competitive. A turnkey house, ready to move in sells for around $100-110 per square foot. That is very low in today’s market but is brought about by Auscrete’s ability to manufacture large panels in mass production format. The house is virtually “fastened” together on site to produce an attractive site-built home, a home that will stay where it is put through all kinds of adverse weather and age conditions. It will not burn, is not affected by bugs, termites or rot, it saves extensively on energy costs and has very low maintenance needs.

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The summary of significant accounting policies of Auscrete Corporation is presented to assist in the understanding of the Company’s financial statements. The financial statements and notes are representations of the Company’s management, who is responsible for their integrity and objectivity.

The financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). The financial statements are presented in condensed format and should be read in conjunction with the audited financial statement on the form 10-K for the year ended December 31, 2021.

INCOME TAXES

On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2018. The Company will compute its income tax expense for the year ended December 31, 2021 using a Federal Tax Rate of 21%.

Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25 Income Taxes – Recognition. Under this approach, deferred income taxes are recorded to reflect the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each year-end. A valuation allowance is recorded against deferred tax assets if management does not believe the Company has met the “more likely than not” standard required by ASC 740-10-25-5.

CASH AND CASH EQUIVALENTS

Cash and cash equivalents consist primarily of cash in banks and highly liquid investments with original maturities of 90 days or less. There were $0 cash equivalents as of June 30, 2022, and $0 as of December 31, 2021.

Fair Value Measurements

The Company adopted guidance which defines fair value, establishes a framework for using fair value to measure financial assets and liabilities on a recurring basis, and expands disclosures about fair value measurements. The guidance establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent sources. Unobservable inputs are inputs that reflect the Company’s assumptions of what market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of the inputs as follows:

Level 1 - Valuation is based upon unadjusted quoted market prices for identical assets or liabilities in accessible active markets.

Level 2 - Valuation is based upon quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; or valuations based on models where the significant inputs are observable in the market.

Level 3 - Valuation is based on models where significant inputs are not observable. The unobservable inputs reflect a company’s own assumptions about the inputs that market participants would use.

The Company’s financial instruments consist of cash, prepaid expenses, inventory, accounts payable, convertible notes payable, advances from related parties, and derivative liabilities. The estimated fair value of cash, prepaid expenses, investments, accounts payable, convertible notes payable and advances from related parties approximate their carrying amounts due to the short-term nature of these instruments.

The Company’s derivative liabilities have been valued as Level 3 instruments.

	Level 1		Level 2		Level 3		Total
Fair value of convertible notes derivative liability – June 30, 2022	$	-	$	-	$	204,843	$	204,843

Fair value of convertible notes derivative liability – June 30, 2022

	Level 1		Level 2		Level 3		Total
Fair value of convertible notes derivative liability – December 31, 2021	$	-	$	-	$	295,306	$	295,306

Fair value of convertible notes derivative liability – December 31, 2021

REVENUE RECOGNITION POLICY

The Company recognizes revenue under ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” (“ASC 606”). The core principle of the revenue standard is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods and services transferred to the customer. The following five steps are applied to achieve that core principle:

· Identify the contract with the customer

· Identify the performance obligations in the contract

· Determine the transaction price

· Allocate the transaction price to the performance obligations in the contract

· Recognize revenue when the company satisfies a performance obligation

For the three and six months ended June 30, 2022, our revenue was $0.

COST OF SALES

Amounts that will be recorded as cost of sales relate to direct expenses incurred in order to fulfill orders of our products. Such costs are recorded as incurred. Our cost of sales will consist primarily of the cost of product, labor and selling costs and and does not include G&A expenses.

PROPERTY AND EQUIPMENT

Property and Equipment was stated at historical cost less Accumulated depreciation and amortization. Cost represents the purchase price of the asset and other costs incurred to bring the asset into its existing use.

Depreciation is provided on a straight-line basis over the assets’ estimated useful lives. The useful lives of the assets are as follows: equipment 7-years, vehicles 7-years, and buildings 30-years. Additions and improvements are capitalized while routine repairs and maintenance are charged to expense as incurred. Upon sale or disposition, the historically recorded asset cost and Accumulated depreciation are removed from the Accounts and the net amount less proceeds from disposal is charged or credited to other income or expense.

IMPAIRMENT OF LONG-LIVED ASSETS

We evaluate long-lived assets for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate their net book value may not be recoverable. When these events occur, we compare the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amount. Impairment, if any, is based on the excess of the carrying amount over the fair value, based on market value when available, or discounted expected cash flows, of those assets and is recorded in the period in which the determination is made. There can be no assurance, however, that market conditions will not change or demand for the Company’s products will continue. Either of these could result in the future impairment of long-lived assets. Estimates of fair value are determined through various techniques, including discounted cash flow models and market approaches, as considered necessary.

LOSS PER COMMON SHARE

Basic loss per common share is computed based upon the weighted average number of common shares outstanding during the period. Diluted earnings per share consists of the weighted average number of common shares outstanding plus the dilutive effects of options and warrants calculated using the treasury stock method. In loss periods, dilutive common equivalent shares are excluded as the effect would be anti-dilutive. It is estimated that the Company will issue approximately ~15,400,000 as a result of conversion of notes. The company also has 2,000,000 in outstanding common stock warrants. Fully diluted weighted average common shares and equivalents were withheld from the calculation as they were considered anti-dilutive.

RECLASSIFICATION

Certain amounts in the prior period financial statements have been reclassified to conform to the current period presentation. These reclassifications had no effect on reported income, total assets, or stockholders’ equity as previously reported.

USE OF ESTIMATES

The preparation of the financial statements in conformity with generally Accepted Accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates and assumptions.

EMERGING GROWTH COMPANY

The Company qualifies as an Emerging Growth Company, thus takes advantage of the 1-year deferral period for the adoption of all new accounting standards updates.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

6 Months Ended

Jun. 30, 2022

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Schedule of Fair Value Measurement

	Level 1		Level 2		Level 3		Total
Fair value of convertible notes derivative liability – June 30, 2022	$	-	$	-	$	204,843	$	204,843

	Level 1		Level 2		Level 3		Total
Fair value of convertible notes derivative liability – December 31, 2021	$	-	$	-	$	295,306	$	295,306

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PROPERTY, INVENTORY AND EQUIPMENT (Tables)

6 Months Ended

Jun. 30, 2022

PROPERTY, INVENTORY AND EQUIPMENT

Schedule of Property and Equipment

	June 30, 2022			December 31, 2021
Capital Equipment	$	80,554		$	80,554
Vehicles		6,344			6,344
Accumulated Depreciation		(52675	)		(46,705	)
Net Fixed Assets	$	34,223		$	40,193

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EQUITY (Tables)

6 Months Ended

Jun. 30, 2022

EQUITY

Schedule of shares outstanding

NAME ADDRESS	Number of Shares
1. John Sprovieri PO Box 813, Rufus, OR 97050		40,675,897
2. CEDE & Company 570 Washington Blvd. 5th. Floor, Jersey City, NJ 07310		2,084,557
3. Kathleen D Jett PO Box 846, 618 W. First Street, Rufus, OR 97050.		6,025,352
4. Kimberly Grimm 15011 SE Mt Royale Ct. Milwaukie, OR 97267.		3,275,120
5. Michael Young 4405 H’way 30, The Dalles, OR..		1,100,000
6. William S Beers PO Box 825, Rufus, OR 97058		1,110,200

Schedule of warrants issued

		Warrants - Common Share Equivalents			Weighted Average Exercise price		Warrants exercisable - Common Share Equivalents			Weighted Average Exercise price
Outstanding December 31, 2020			-		$	-		-		$	-
Additions	Granted		2,000,000			0.30		2,000,000.00			0.30
Expired	Expired		-			-		-
Excercised	Exercised		-			-		-			-
Outstanding December 31, 2021			2,000,000		$	0.30		2,000,000		$	0.30
Additions	Granted		-			-		-
Expired	Expired		(2,000,000	)		-		(2,000,000	)
Excercised	Exercised		-			-		-			-
Outstanding June 30, 2022			-		$	-		-		$	-

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INCOME TAXES (Tables)

6 Months Ended

Jun. 30, 2022

INCOME TAXES

Schedule of Shares Issued for service compensation

	June 30, 2022			December 31, 2021
Deferred Tax Asset	$	1,965,955		$	1,948,124
Valuation Allowance		(1,965,955	)		(1,948,424	)
Deferred Tax Asset (net)	$	-		$	-

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NOTES PAYABLE AND DERIVATIVE LIABILITIES (Tables)

6 Months Ended

Jun. 30, 2022

NOTES PAYABLE AND DERIVATIVE LIABILITIES

Schedule of derivative liabilities

	June 30, 2022		December 31, 2021
Derivative Liabilities on Convertible Loans:
Outstanding Balance		204,843		295,306

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Fair value of convertible notes derivative liability	$ 204,843	$ 295,306
Level 1
Fair value of convertible notes derivative liability	0	0
Level 2
Fair value of convertible notes derivative liability	0	0
Level 3
Fair value of convertible notes derivative liability	$ 204,843	$ 295,306

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021	Dec. 31, 2020
Cash and cash equivalents	$ 0	$ 69	$ 0	$ 69	$ 0	$ 14,591
Federal Statutory Income Tax Rate, Percent			21.00%
Shares issuable upon conversion of note, shares	15,400,000		15,400,000
Warrants outstanding	2,000,000		2,000,000
Description of federal corporate income tax rate			On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2018
Revenue	$ 0	$ 0	$ 0	$ 0
Equipment
Estimated useful life of asset			7 years
Vehicle
Estimated useful life of asset			7 years
Buildings
Estimated useful life of asset			30 years

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GOING CONCERN AND PLAN OF OPERATION (Details Narrative) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
GOING CONCERN AND PLAN OF OPERATION (Details Narrative)
Accumulated deficit	$ (13,240,699)	$ (13,110,006)

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RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
John Sprovieri [Member]
Due to related party	$ 0	$ 0

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PROPERTY INVENTORY AND EQUIPMENT (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Accumulated Depreciation	$ (52,675)	$ (46,705)
Net Fixed Assets	34,223	40,193
Vehicle
Property and Equipment	6,344	6,344
Capital Equipments
Property and Equipment	$ 80,554	$ 80,554

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PROPERTY INVENTORY AND EQUIPMENT (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
PROPERTY, INVENTORY AND EQUIPMENT
Depreciation expenses	$ 2,985	$ 2,985	$ 5,970	$ 5,970
Inventory	$ 6,197		$ 6,197		$ 6,197

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EQUITY (Details)	6 Months Ended
	Jun. 30, 2022 shares
John Sprovieri [Member]
Number of Shares	40,675,897
Description of number of shares address	PO Box 813, Rufus, OR 97050
CEDE & Company [Member]
Number of Shares	2,084,557
Description of number of shares address	570 Washington Blvd. 5th. Floor, Jersey City, NJ 07310
Kathleen D Jett [Member]
Number of Shares	6,025,352
Description of number of shares address	PO Box 846, 618 W. First Street, Rufus, OR 97050
Kimberly Grimm [Member]
Number of Shares	3,275,120
Description of number of shares address	15011 SE Mt Royale Ct. Milwaukie, OR 97267
Michael Young [Member]
Number of Shares	1,100,000
Description of number of shares address	4405 H’way 30, The Dalles, OR
William S Beers [Member]
Number of Shares	1,110,200
Description of number of shares address	PO Box 825, Rufus, OR 97058

XML

EQUITY (Details 1) - Warrants [Member] - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Warrants - Common Share Equivalents Beginning	2,000,000	0
Warrants - Common Share Equivalents Granted	0	2,000,000
Warrants - Common Share Equivalent Expired	2,000,000	0
Warrants - Common Share Equivalents Exercised	0	0
Warrants - Common Share Equivalents Ending	0	2,000,000
Weighted Average Exercise price begninng	$ 0.30	$ 0
Weighted Average Exercise price Granted	0	0.30
Weighted Average Exercise price expired	0	0
Weighted Average Exercise price Exercised	0	0
Weighted Average Exercise price Ending	$ 0	$ 0.30
Warrants exercisable - Common Share Equivalents Beginning	2,000,000	0
Warrants exercisable - Common Share Equivalents Granted	0	2,000,000.00
Warrants exercisable - Common Share Equivalents Expired	(2,000,000)	0
Warrants exercisable - Common Share Equivalents Exercised	0	0
Warrants exercisable - Common Share Equivalents Ending	0	2,000,000
Weighted Average Exercise price (Exercisable) Beginning	$ 0.30	$ 0
Weighted Average Exercise price (Exercisable) Granted	0	0.30
Weighted Average Exercise price (Exercisable) Expired	0	0
Weighted Average Exercise price (Exercisable) Exercised	0	0
Weighted Average Exercise price (Exercisable) Ending	$ 0	$ 0.30

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EQUITY (Details Narrative) - USD ($)	1 Months Ended		6 Months Ended	12 Months Ended
	Feb. 22, 2021	May 28, 2019	Jun. 30, 2022	Dec. 31, 2020
Deemed dividend				$ 12,600
Note conversion, shares			1,882,899
Reverse stock split	40 for 1
Crown Bridge Partners, LLC [Member]
Number of shares issuance of concertible promissory note Shares		2,000,000
Number of shares issuance of concertible promissory note Amount		$ 27,500

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INCOME TAXES (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
INCOME TAXES
Deferred Tax Asset	$ 1,965,955	$ 1,948,124
Valuation Allowance	(1,965,955)	(1,948,424)
Deferred Tax Asset (net)	$ 0	$ 0

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INCOME TAXES (Details Narrative) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021	Dec. 31, 2020
INCOME TAXES
Shares issued under post-split roll back numbers issued for service compensation, shares		53,238,652	1,250,000
statutory rate	21.00%
Net operating loss carryforward	$ (9,361,691)
Deferred tax assets	$ 1,965,955
Description of deffered tax asset	The deferred tax asset may be recognized in future periods, not to exceed 20 years for 2020 and prior and post 2018 are indefinite
Valuation allowances	$ (1,965,955)
Share based compensation expense		$ 2,683,226	$ 1,150,000

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NOTES PAYABLE AND DERIVATIVE LIABILITIES (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
NOTES PAYABLE AND DERIVATIVE LIABILITIES
Outstanding Balance	$ 204,843	$ 295,306

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NOTES PAYABLE AND DERIVATIVE LIABILITIES (Details Narrative)	6 Months Ended
	Jun. 30, 2022 USD ($) $ / shares
Volatility rate	286.00%
Risk free rate	2.44%
Terms of maturity conversation	The conversion rates range from 55% discount to the market to 62% discount to the market
Minimum [Member]
Convertible notes interest rates	8.00%
Default rates range	12.00%
Maximum [Member]
Convertible notes interest rates	12.00%
Default rates range	24.00%
February 2, 2018 [Member] | RB Capital [Member]
Converted instrument rate	12.00%
Convertible notes payable	$ 200,000
Debt convertible conversation price | $ / shares	$ 0.004
May 8, 2018 [Member] | RB Capital [Member]
Converted instrument rate	12.00%
Convertible notes payable	$ 50,000
Debt convertible conversation price | $ / shares	$ 0.004
June 28, 2018 [Member] | RB Capital [Member]
Converted instrument rate	12.00%
Convertible notes payable	$ 10,000
Debt convertible conversation price | $ / shares	$ 0.004
December 7, 2018 [Member] | RB Capital [Member]
Converted instrument rate	12.00%
Convertible notes payable	$ 25,000
Debt convertible conversation price | $ / shares	$ 0.004
October 25, 2019 [Member] | RB Capital [Member]
Converted instrument rate	12.00%
Convertible notes payable	$ 15,000
Debt convertible conversation price | $ / shares	$ 0.01
Beneficial conversion cost	$ 45,000
November 15, 2019 [Member] | RB Capital [Member]
Converted instrument rate	12.00%
Convertible notes payable	$ 25,000
Debt convertible conversation price | $ / shares	$ 0.01
Beneficial conversion cost	$ 7,500
December 13, 2019 [Member] | RB Capital [Member]
Converted instrument rate	12.00%
Convertible notes payable	$ 20,000
Debt convertible conversation price | $ / shares	$ 0.03
January 13, 2020 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 20,000
Debt convertible conversation price | $ / shares	$ 0.10
February 10, 2020 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 25,000
Debt convertible conversation price | $ / shares	$ 0.15
April 7, 2020 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 15,000
Debt convertible conversation price | $ / shares	$ 0.05
June 5, 2020 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 20,000
Debt convertible conversation price | $ / shares	$ 0.10
June 25, 2020 [Member] | Shmeul Rotbard [Member]
Converted instrument rate	8.00%
Convertible notes payable	$ 30,000
Debt convertible conversation price | $ / shares	$ 0.008
July 23, 2020 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 15,000
Debt convertible conversation price | $ / shares	$ 0.05
August 17, 2020 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 50,000
Debt convertible conversation price | $ / shares	$ 0.05
November 10, 2020 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 25,000
Debt convertible conversation price | $ / shares	$ 0.01
December 14, 2020 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 45,000
Debt convertible conversation price | $ / shares	$ 0.01
January 29, 2021 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 35,000
Debt convertible conversation price | $ / shares	$ 0.01
March 16, 2021 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 50,000
Debt convertible conversation price | $ / shares	$ 0.20
May 10, 2021 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 50,000
Debt convertible conversation price | $ / shares	$ 0.20
July 6, 2021 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 50,000
Debt convertible conversation price | $ / shares	$ 0.10
August 16, 2021 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 50,000
Debt convertible conversation price | $ / shares	$ 0.10
March 18, 2022 [Member] | RB Capital [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 50,000
Debt convertible conversation price | $ / shares	$ 0.06
December 28, 2021 [Member] | Sixth Street Lending [Member]
Converted instrument rate	10.00%
Convertible notes payable	$ 38,000
Debt convertible conversation	65.00%
Derivative liability	$ 79,868
November 5, 2021 [Member] | Sixth Street Lending [Member]
Converted instrument rate	6.00%
Convertible notes payable	$ 55,000
Debt convertible conversation	65.00%
Derivative liability	$ 117,851

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COMMITMENTS (Details Narrative) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022
COMMITMENTS
Total lease payment	$ 6,000	$ 12,000
Description of lease agreement		The company maintains a month-to-month lease agreement on a 8,000 sq. ft. facility located in outer Goldendale and monthly lease cost is $2,000

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SUBSEQUENT EVENTS (Details Narrative)	1 Months Ended	6 Months Ended
	Jul. 31, 2022 USD ($)	Jun. 30, 2022 USD ($) ft²	Jul. 15, 2022 USD ($)
Arranged financing to provide adequate capital funds to operate busines		$ 200,000
Completed building site foundation work and manufacturing of model home | ft²		400
Discription of agreement		the company has additionally entered into an agreement to build two 1,500 square foot homes in the North Western part of Washington State. The building plan design phase is near completion and a goal of beginning site construction work is set for early of 2023
Description of working with this same contractor		through working with this same contractor indications are that there may be as many as (50) 400 sq. ft. duplexes for a developer in the state of Utah
Decription of manufacturing and building process		Currently the Company is well into the manufacturing and building process of the first of two 400 sq. ft. homes located in The Dalles Oregon. The first home should be completed and ready for occupancy in the next few weeks
Subsequent Event [Member]
Drew down capiatl fund	$ 50,000
Subsequent Event [Member] | RB Capital Partners [Member]
Consolidated amount of notes			$ 1,050,000