XML 49 R18.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Income Taxes | 12 Months Ended
--- | ---
Sep. 30, 2014
Income Taxes [Text Block] |
Note 10 | Income Taxes
| The tax effects of the temporary differences that give rise to the Company’s estimated deferred tax assets and liabilities are as follows:
|  |  | 2014 |  |  | 2013 |
| Tax rate |  | 34% |  |  | 34% |
| Net operating loss carry forwards | $ | 8,270,000 |  | $ | 7,141,000 |
| Research and development tax credits |  | 745,000 |  |  | 705,000 |
| Foreign exchange |  | (23,000 | ) |  | (19,000 | )
| Accrued bonuses |  | 170,000 |  |  | 34,000 |
| Intangible asset costs |  | 70,000 |  |  | 51,000 |
| Stock–based compensation |  | 441,000 |  |  | 633,000 |
| Valuation allowance for deferred tax assets |  | (9,673,000 | ) |  | (8,545,000 | )
| Net deferred tax assets | $ | – |  | $ | – |
The provision for income taxes differ from the amount established using the statutory income tax rate as follows:
|  |  | 2014 |  |  | 2013 |
| Income benefit at statutory rate of 34% | $ | (3,865,000 | ) | $ | (1,258,000 | )
| Foreign income taxed at other rates |  | 13,000 |  |  | – |
| Permanent differences |  |  |  |  |  |
| Effect of stock based compensation |  | 202,000 |  |  | – |
| Debt extinguishment |  | 2,736,000 |  |  | 501,000 |
| Mark–to–market deriative liability adjustment |  | (994,000 | ) |  | 7,000 |
| Non–deductible finance and accretion expenses |  | 808,000 |  |  | – |
| Other permanent differences |  | (16,000 | ) |  | (5,000 | )
| Research and development tax credit |  | (26,000 | ) |  | (17,000 | )
| Adjustment and true up to prior years' tax provision |  | 14,000 |  |  | (161,000 | )
| Change in valuation allowance |  | 1,128,000 |  |  | 933,000 |
| Income Tax Expense | $ | – |  | $ | – |
As of September 30, 2014, the Company had net operating loss carry-forwards of approximately $24,000,000 (2013: $21,000,000) available to offset future taxable income. The carry-forwards will begin to expire in 2027 unless utilized in earlier years. The Company has not yet filed any tax returns in France or Australia.
| The Company evaluates its valuation allowance requirements based on projected future operations. When circumstances change and this causes a change in management’s judgment about the recoverability of deferred tax assets, the impact of the change on the valuation allowance is reflected in current income. Because management of the Company does not currently believe that it is more likely than not that the Company will receive the benefit of these assets, a valuation allowance equal to the deferred tax asset has been established at both September 30, 2014 and 2013.
| Uncertain Tax Positions
| The Company files income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. The Company’s tax returns are subject to tax examinations by U.S. federal and state tax authorities, or examinations by foreign tax authorities until the respective statutes of limitation expire. The Company is subject to tax examinations by tax authorities for all taxation years commencing on or after 2006.

X
- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph h -Article 4 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration