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Taxes on Income | 12 Months Ended
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Dec. 31, 2018
Income Tax Disclosure [Abstract] |
Taxes on Income | NOTE 15 TAXES ON INCOME The Company is subject to income taxes under the Israeli and U.S. tax laws: Corporate tax rates The Company’s Israeli subsidiary is subject to Israeli corporate tax rate of 25% in the year 2016, 24% in 2017 and 23% from 2018. The Company was subject to a blended U.S. tax rate (Federal as well as state corporate tax) of 35% for the year ended December 31, 2018. On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was signed into law in the United States. The Tax Act, among other provisions, introduces changes in the U.S. corporate tax rate, business related exclusions and deductions and credits, and has internationally tax consequences for companies that operate international. Most of the changes introduced in the Tax Act are effective beginning on January 1, 2018. The Tax Act introduces a reduced federal tax rate of 21% from January 1, 2018 and onward. The provisions of the Tax Act did not have a material impact on the Company. A. For the year ended December 31, 2018, the Company generated net operating losses in Israel of approximately $3,966 which may be carried forward and offset against taxable income in the future for an indefinite period. For the year ended December 31, 2018, the Company generated net operating losses in the U.S. of approximately $3,274. Net operating losses in the United States are available through 2035. Utilization of U.S. net operating losses may be subject to substantial annual limitation due to the “change in ownership” provisions of the Internal Revenue Code of 1986 and similar state provisions. The annual limitation may result in the expiration of net operating losses before utilization. B. The Company is still in its development stage and has not yet generated revenues, therefore, it is more likely than not that sufficient taxable income will not be available for the tax losses to be utilized in the future. Therefore, a valuation allowance was recorded to reduce the deferred tax assets to its recoverable amounts.
|  | As of December 31,
|  | 2018 |  | 2017
Net operating loss carry-forward |  | $ | 495,844 |  |  | $ | 488,603 |
Total deferred tax assets |  |  | 114,044 |  |  |  | 112,380 |
Valuation allowance |  |  | (114,044 | ) |  |  | (112,380 | )
Net deferred tax assets |  | $ | - |  |  | $ | - |
The Company has not determined whether any or all of the above net loss carryforwards will be allowed for future tax deductions, even if the Company generates revenues. Reconciliation of Income Taxes: The following is a reconciliation of the taxes on income assuming that all income is taxed at the ordinary statutory corporate tax rate in Israel and the effective income tax rate:
|  | As of December 31,
|  | 2018 |  | 2017
Net loss as reported in the statements of operations |  | $ | 7,240 |  |  | $ | 7,589 |
Statutory tax rate |  |  | 23 | % |  |  | 24 | %
Income Tax under statutory tax rate |  |  | 1,655 |  |  |  | 1,821 |
Change in valuation allowance |  |  | (1,655 | ) |  |  | (1,821 | )
Actual income tax |  | $ | - |  |  | $ | - |

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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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 + Details
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