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13. Income Taxes | 12 Months Ended
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Dec. 31, 2013
Related Party Transactions [Abstract] |
Income Taxes | The Company’s income tax provisions (benefit) for the years ended December 31, 2013, 2012, and 2011, were as follows:
|  | 2013 |  |  | 2012 |  |  | 2011 |
Federal |  |  |  |  |  |  |  |  |
Current |  | $ | - |  |  | $ | - |  |  | $ | - |
Deferred |  |  | 196,113 |  |  |  | 151,915 |  |  |  | 87,675 |
Total |  | $ | 196,113 |  |  | $ | 151,915 |  |  | $ | 87,675 |
State |  |  |  |  |  |  |  |  |  |  |  |
Current |  | $ | - |  |  | $ | - |  |  | $ | 9,168 |
Deferred |  |  | 33,338 |  |  |  | 15,192 |  |  |  | 8,767 |
Total |  | $ | 33,338 |  |  | $ | 15,192 |  |  | $ | 17,935 |
Foreign |  | $ | - |  |  | $ | - |  |  | $ | - |
Total provision (benefit) |  | $ | 229,451 |  |  | $ | 167,107 |  |  | $ | 105,610 |
Domestic and foreign components of income (loss) from operations before income taxes for the years ended December 31, 2013, 2012, and 2011 are as follows:
|  | 2013 |  |  | 2012 |  |  | 2011 |
Domestic |  | $ | 163,632 |  |  | $ | 301,391 |  |  | $ | 1,342,530 |
Foreign |  |  | (1,575,351 | ) |  |  | (692,820 | ) |  |  | (600,000 | )
Total |  | $ | (1,411,719 | ) |  | $ | (391,429 | ) |  | $ | 742,530 |
At December 31, 2013 and 2012, the Company had net deferred tax assets as follows:
|  | 2013 |  |  | 2012 |
Deferred tax asset: |  |  |  |  |  |
Other |  | $ | - |  |  | $ | 11,151 |
Foreign exploration costs |  |  | 168,401 |  |  |  | 208,855 |
Foreign net operating loss carry forward |  |  | 232,723 |  |  |  | 374,110 |
Foreign other |  |  | 42,612 |  |  |  | 217,887 |
Federal and state net operating |  |  |  |  |
loss carry forward |  |  | 35,424 |  |  |  | 39,824 |
Deferred tax asset |  |  | 479,160 |  |  |  | 851,827 |
Valuation allowance (foreign) |  |  | (279,235 | ) |  |  | (605,496 | )
Valuation allowance (federal) |  |  | (71,786 | ) |  |  | - |
Total deferred tax asset |  |  | 128,139 |  |  |  | 246,331 |
Deferred tax liability: |  |  |  |  |  |  |  |
Property, plant, and equipment |  |  | (128,139 | ) |  |  | (16,880 | )
Total deferred tax liability |  |  | (128,139 | ) |  |  | (16,880 | )
Net Deferred Tax Asset |  | $ | - |  |  | $ | 229,451 |
Using the guidelines contained in ASC 740, management believes that it is more likely than not that both the foreign and United States deferred tax assets will not be utilized. Therefore a valuation allowance equal to 100% of the deferred tax assets has been recorded. At December 31, 2013, the Company has United States net operating loss carry forwards of approximately $51,000 that expire at various dates between 2026 and 2029. In addition, the company has unexpired Montana state net operating loss carry forwards of approximately $479,000 which expire between 2016 and 2020, and unexpired Idaho state net operating loss carry forwards of approximately $23,000, which expire at various dates between 2026 and 2032. The company has approximately $776,000 of Mexican net operating loss carry forwards which expire between 2019 and 2022. The income tax provision (benefit) differs from the amount of income tax determined by applying the U.S. federal income tax rate to pretax income (loss) for the years ended December 31, 2013, 2012 and 2011 due to the following:
| 2013 |  |  | 2012 |  |  | 2011 |
Computed expected tax provision (benefit) | $ | (494,102 | ) |  | -35.0 | % |  | $ | (137,000 | ) | -35.0 | % |  | $ | 259,886 |  |  | 35.0 | %
Effect of permanent differences |  |  |  |  |  |  |  |  | - |  | 0.0 | % |  |  | 4,662 |  |  | 0.6 | %
Foreign taxes |  | 78,768 |  |  | 5.6 | % |  |  | 34,641 |  | 8.9 | % |  |  | 24,000 |  |  | 3.2 | %
Other (1) |  | 899,260 |  |  | 63.7 | % |  |  | 61,770 |  | 15.8 | % |  |  | 126,062 |  |  | 17.0 | %
Increase in valuation allowance foreign |  |  |  |  |  |  |  |  | 207,696 |  | 53.1 | % |  |  |  |  |  |  |
Increase in valuation allowance U.S. |  | 71,786 |  |  | 5.1 | % |  |  |  |  |  |  |  |  | - |  |  | - |
Release of valuation allowance U.S. |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (309,000 | ) |  | -41.6 | %
Release of valuation allowance Foreign |  | (326,261 | ) |  | -23.1 | % |  |  | - |  | 0.0 | % |  |  |  |  |  |  |
Total | $ | 229,451 |  |  | 16 | % |  | $ | 167,107 |  | 42.7 | % |  | $ | 105,610 |  |  | 14.2 | %
(1) In 2013 there were revisions to estimates of foreign net operating loss carry forwards. |  |  |  |  |  |  |  |
During the years ended December 31, 2013, 2012, and 2011, there were no material uncertain tax positions taken by the Company. The Company’s United States income tax filings are subject to examination for the years 2011 through 2013, and 2011 and 2013 in Mexico. In the event that the Company is assessed penalties and or interest, penalties will be charged to other operating expense and interest will be charged to interest expense.

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- 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
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