INCOME TAXES

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

INCOME TAXES

NOTE K - INCOME TAXES

The provision for (benefit from) income taxes differs from the amount computed by applying the statutory United States federal income tax rate for the periods presented to income (loss) before income taxes. The income tax rate was 21% for the years ended December 31, 2021 and 2020. The sources of the difference are as follows:

	Year Ended
	December 31, 2021			December 31, 2020
Expected tax at 21%	$	(714,181	)	$	(153,840	)
Non-deductible stock-based compensation		83,391			57,151
Non-deductible (non-taxable) derivative liability expense (income)		190,957			(16,077	)
Non-deductible loss on conversions of convertible notes payable		193,994			28,982
Non-deductible amortization of debt discounts		177,882			24,495
Increase (decrease) in Valuation allowance		67,957			59,289
Provision for (benefit from) income taxes	$	-		$	-

All tax years remain subject to examination by the Internal Revenue Service.

Based on management’s present assessment, the Company has not yet determined it to be more likely than not that a deferred tax asset attributable to the future utilization of the net operating loss carryforward as of December 31, 2021 will be realized. Accordingly, the Company has provided a 100% allowance against the deferred tax asset in the financial statements at December 31, 2021. The Company will continue to review this valuation allowance and make adjustments as appropriate.

The net operating loss carryforward at December 31, 2021 for the years 2001 to 2017 expires in varying amounts from year 2021 to year 2037.

Current tax laws limit the amount of loss available to be offset against future taxable income when a substantial change in ownership occurs. Therefore, the amount available to offset future taxable income may be limited.

DEEP GREEN WASTE & RECYCLING, INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the years ended December 31, 2021 and 2020