CytoDyn Inc. General form of registration statement for all companies including face-amount certificate companies

Income Taxes (Tables)

12 Months Ended

May 31, 2014

Reconciliation of the federal statutory income tax rate of 34% to the effective income tax rate is as follows for all periods presented:


	2014			2013
Income tax provision at statutory rate		34.0	%		34.0	%
State income taxes, net		0.4			5.1
Rate change		(9.6	)		0.0
Other		0.0			0.0
Valuation allowance		(24.8	)		(39.1	)

		0.0	%		0.0	%

Net deferred tax assets and liabilities are comprised of the following as of May 31, 2014 and 2013:


	2014			2013
Deferred tax asset (liability) current:
Accrued salary and expenses	$	159,300		$	291,100
Debt discount amortization		—			(118,100	)
Valuation allowance		(159,300	)		(173,000	)

	$	—		$	—

Deferred tax asset (liability) non-current:
Net operating loss	$	9,957,400		$	8,256,000
Debt discount		(663,700	)		(1,659,300	)
Expense on non-qualified stock options		2,893,300			2,928,000
Other		176,200			155,500

Valuation allowance		(12,363,200	)		(9,680,200	)

	$	—		$	—