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

Income Taxes (Tables)

v3.3.1.900
Income Taxes (Tables)
12 Months Ended
May. 31, 2015
Reconciliation of Federal Statutory Income Tax

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

 

                                       
          2015               2014       

Income tax provision at statutory rate

     34.0     34.0

State income taxes, net

     0.0        0.4   

Rate change

     (0.6     (9.6

Derivative gain/loss

     (1.2     —     

Valuation allowance

     (32.2     (24.8
  

 

 

   

 

 

 
     0.0     0.0
  

 

 

   

 

 

 
Net Deferred Tax Assets and Liabilities

Net deferred tax assets and liabilities are comprised of the following as of May 31, 2015 and 2014:

 

     2015      2014  

Deferred tax asset (liability) current:

     

Accrued expenses

   $ 219,100       $ 159,300   

Debt discount and amortization

        —     

Valuation allowance

     (219,100      (159,300
  

 

 

    

 

 

 
   $ —         $ —     
  

 

 

    

 

 

 

Deferred tax asset (liability) non-current:

     

Net operating loss

   $ 16,857,600       $ 9,957,400   

Debt discount

     (902,700      (663,700

Expense on non-qualified stock options

     3,073,500         2,893,300   

Other

     211,700         176,200   
  

 

 

    

 

 

 

Valuation allowance

     (19,240,100      12,363,200   
  

 

 

    

 

 

 
   $ —         $ —