Note 10 - Accounts Payable and Accrued Expenses

9 Months Ended

12 Months Ended

Sep. 30, 2016

Dec. 31, 2015

Notes to Financial Statements

Accounts Payable and Accrued Liabilities Disclosure [Text Block]

Note

Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses included the following:

	December 31,		September 30,
	2015		2016
Accounts payable and accrued expenses	$	174,539	$	52,576
Payroll tax liability		137,500		137,500
Accrued interest		12,944		36,113
Total accounts payable and accrued expenses	$	324,983	$	226,189

The payroll tax liability is our estimate of payroll taxes due on the past services of independent contractors. We are currently attempting to reduce the liability to approximately

$5,000

through the IRS Voluntary Classification Settlement Program.

September

27,

2016,

the board approved a

$120,000

bonus for our CTO and CEO, each will receive

$60,000

As of

September

30,

2016,

$100,000

of this bonus remains to be paid.

Note

10.

Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses included the following:

	December 31,		December 31,
	2014		2015
Accounts payable	$	219,182	$	63,578
Payable in dispute		106,000		106,000
Uncertain tax liability		137,500		142,461
Accrued interest		32,256		12,944
Total Accounts Payable and Accrued Expenses	$	494,938	$	324,983

Issuance of Common Stock in exchange for payment of payables

Payment of Officer Salaries

During

2015

we issued

738,837

shares of our common stock at a range of

$0.35

$0.36

per share in lieu of

$309,975

of accrued and unpaid obligations to our officers.

During

2014

we issued

664,410

shares of our common stock at a range of

$0.35

$0.65

per share in lieu of

$294,579

of accrued and unpaid obligations to our officers.

All of these offerings and sales were made in reliance on the exemption from registration contained in

Section4(2)

of the Securities Exchange Act and/or Regulation D promulgated thereunder as not involving a public offering of securities.

Payment of Consultant Fees and Accrued Interest

During

2015

we issued

631,643

shares of our common stock at a range of

$0.35

$0.36

per share in lieu of

$360,364

of accrued and unpaid obligations to consultants.

During

2014,

we issued

590,476

shares of our common stock at a range of

$0.25

$0.80

per share in lieu of

$331,794

of accrued and unpaid obligations to consultants.

All of these offerings and sales were made in reliance on the exemption from registration contained in Section

4(2)

of the Securities Exchange Act and/or Regulation D promulgated thereunder as not involving a public offering of securities.