Income Tax

12 Months Ended

Jun. 30, 2022

Income Tax Disclosure [Abstract]

Income Tax

29. Income Tax

The deferred tax asset as of June 30, 2022 and 2021 consisted of the following:

	2022			2021
Net Operating Loss Carryforwards	$	16,122,226		$	13,021,807
Less Valuation Allowance		(16,122,226	)		(13,021,807	)
	$	—		$	—

Management provided a deferred tax asset valuation allowance equal to the potential benefit due to the Company’s loss. When the Company demonstrates the ability to generate taxable income, management will re-evaluate the allowance.

As of June 30, 2022, the Company has net operating loss carryforward of $85,437,392 which is available to offset future taxable income that expires by year 2038.

TCJA modified net operating loss (NOL) rules. For most taxpayers, NOLs arising in tax years ending after 2017 can only be carried forward. Exceptions apply to certain farming losses and NOLs of insurance companies other than a life insurance company.

For losses arising in taxable years beginning after December 31, 2017, the new law limits the NOL deduction to 80% of taxable income.

Reconciliation between the provision for income taxes and the expected tax benefit using the federal statutory rate of 21% for 2022 and 2021 is as follows:

	2022			2021
US federal statutory income tax rate		(21	)%		(21	)%
State tax – net of benefit		(7	)%		(7	)%
Non-deductible expenses, net of federal benefit		7	%		7	%
Increase in valuation allowance		21	%		21	%
Income tax expense		—			—