Annual report pursuant to Section 13 and 15(d)

Income Taxes

v2.4.0.6
Income Taxes
 12 Months Ended
Dec. 31, 2012
Income Taxes  
Note 10. Income Taxes

The Company has estimated net operating losses as of December 31, 2012 and 2011 of $2,999,658 and $2,201,421, respectively, available to offset taxable income in future years.

 

The Company is subject to Singapore income taxes at a rate of 17 percent, Belgium income taxes at a rate of 34 percent, and US taxes at a rate of 34 percent, for a weighted average of 29 and 26 percent, respectively. The reconciliation of the provision for income taxes at the weighted average rate compared to the Company’s income tax expense as reported is as follows:

 

     

2012

$

      

2011

$

  
                 
Net loss     (4,083,053 )     (2,608,458 )
Tax adjustments     1,083,395       310,660  
      (2,999,658 )     (2,297,798 )
                 
Tax rate     29 %     26 %
                 
Income tax recovery at statutory rate     (873,550 )     (603,269 )
                 
Valuation allowance     873,550       603,269  
                 
Provision for income taxes     –       –  

 

The significant components of deferred income taxes and assets as at December 31, 2012 are as follows:

 

     

2012

$

      

2011

$

  
                 
Net operating losses carried forward     1,583,092       709,541  
                 
Valuation allowance     (1,583,092 )     (709,541 )
                 
Net deferred income tax asset     –       –