INCOME TAXES

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

INCOME TAXES

6. INCOME TAXES

On December 22, 2017 U.S. tax reform legislation known as the Tax Cuts and Jobs Act (the “2017 Act”) was signed into law. The 2017 Act made substantial changes to U.S. tax law, including a reduction in the corporate tax rate from 34% to 21%, a limitation on deductibility of interest expense, a limitation on the use of net operating losses to offset future taxable income, the allowance of immediate expensing of capital expenditures, deemed repatriation of foreign earnings through a transition tax and significant changes to the taxation of foreign earnings going forward. These provisions are effective for tax years beginning after December 31, 2017.

The composition of deferred tax assets at December 31, 2019 and 2018 were as follows:

	2019			2018
Deferred tax assets
Benefit from carryforward of net operating loss	$	2,115,000		$	2,030,000
Less valuation allowance		(2,115,000	)		(2,030,000	)
Net deferred tax asset	$	—		$	—

The difference between the income tax benefit in the accompanying statement of operations and the amount that would result if the U.S. Federal statutory rate of 21% were applied to pre-tax loss for 2019 and 2018, is attributable to the valuation allowance.

At December 31, 2019, for federal income tax reporting purposes, the Company has $10,072,000 in unused net operating losses available for carryforward to future years which will expire in various years through 2039.