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INCOME TAX
6 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]  
INCOME TAX

NOTE 8 - INCOME TAX

 

The Company and its subsidiaries are subject to income taxes on an entity basis on income arising in, or derived from, the tax jurisdiction in which they operate. The Company is a Nevada incorporated company and subject to United State Federal Income Tax. The Tax Cuts and Jobs Act of ( ''TCJ Act'' ) was signed into law in December 2017, and among its many provisions, it imposed a mandatory one-time transition tax on undistributed international earnings and reduced the U.S. corporate income tax rate to 21%, effective January 1, 2018. No provision for income taxes in the United States has been made as the Company had no taxable income for the periods ended September 30, 2019 and 2018. GBL is a British Virgin Islands incorporated company and not required to pay income tax on corporate income. CSB is a Malaysia incorporated company and required to pay corporate income tax at 25% of taxable income.

 

A reconciliation between the income tax computed at the relevant statutory rate and the Company's provision for income tax is as follows:

 

 

 

 

Period ended

 

 

 

December 31,

 

 

June 30,

 

 

 

2020

 

 

2020

 

US Federal Income Tax Rate.

 

 

21%

 

 

21%

Valuation allowance - US Rate

 

 

(21)%

 

 

(21)%

BVI Income Tax Rate

 

 

0%

 

 

0%

Valuation allowance - BVI Rate

 

 

(0)%

 

 

(0)%

Malaysia Income Tax Rate

 

 

25%

 

 

25%

Valuation allowance - Malaysia Rate

 

 

(25)%

 

 

(25)%

Provision for income tax

 

 

 

 

 

 

 

Summary of the Company’s net deferred tax liabilities and assets are as follows:

 

 

 

December 31,

2020

 

 

June 30,

2020

 

Deferred tax assets:

 

(Unaudited)

 

 

 

 

Tax attribute carryforwards

 

$22,609

 

 

$67,840

 

Valuation allowances

 

 

(22,609)

 

 

(67,840)

Total

 

$

 

 

$

 

 

The Company has recorded valuation allowances for certain tax attribute carry forwards and other deferred tax assets due to uncertainty that exists regarding future realizability. If in the future the Company believes that it is more likely than not that these deferred tax benefits will be realized, the majority of the valuation allowances will be recognized in the consolidated statement of operations. The Company did not have any interest and penalty provided or recognized in the income statements for period December 31, 2020 and June 30, 2020 or balance sheet as of December 31, 2020 and June 30, 2020. The Company did not have uncertainty tax positions or events leading to uncertainty tax position within the next 12 months.