Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

State Income Tax Expense

The components for state income tax expense resulting from the limitation on the use of net operating losses are:

	Year ended December 31
	2019		2018
Current state taxes	$	52,400	$	93,400
Deferred state taxes		–		108,800
	$	52,400	$	202,200

Reconciliation of the Statutory Fedreal Rate

The reconciliation of the statutory federal rate to our Company’s effective tax rate follows:

	2019					2018
	Amount			%		Amount			%
Income tax at U.S. federal income tax rate	$	158,600			21	$	398,200			21
State tax net of federal tax effect		52,300			7		202,200			7
Utilization of operating losses		(158,600	)		(21)		(398,200	)		(21	)
	$	52,300			7	$	202,200			7

Deferred Tax Assets and Liabilities

The components of deferred tax assets and liabilities as of December 31, 2019 and 2018 are as follows:

	2019			2018
Deferred tax asset for NOL carryforwards	$	454,200		$	693,800
Deferred tax liability - other		(47,400	)		(108,800	)
Valuation allowance		(454,200	)		(693,800	)
	$	(47,400	)	$	(108,800	)

Federal Income Tax Expense

The income tax provision consists of the following:

	2019			2018
Current	$	119,700		$	97,000
Deferred		(67,400	)		108,800
	$	52,300		$	205,800