XML 24 R15.htm IDEA: XBRL DOCUMENT v3.20.2
Taxes on Income
 9 Months Ended
Sep. 30, 2020
Income Tax Disclosure [Abstract]  
Taxes on Income

NOTE 9 - TAXES ON INCOME

 

  A. Tax rates applicable to the income of the Company:

 

Viewbix Israel is taxed according to Israeli tax laws. The Israeli corporate tax rate is 23% in the years 2019 and onwards.

 

Viewbix Inc. is taxed according to U.S. tax laws. On December 22, 2017, the U.S. enacted the Tax Cuts and Jobs Act (the “Act”), which among other provisions, reduced the U.S. corporate tax rate from 35% to 21%, effective January 1, 2018.

 

  B. Deferred income taxes:

 

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets are as follows:

 

   

As of

September 30

     As of
December 31		  
    2 0 2 0     2 0 1 9  
             
Deferred R&D expenses     59       239  
Operating loss carryforward     31,764       32,443  
      31,823       32,682  
                 
Net deferred tax asset before valuation allowance     6,961       7,149  
Valuation allowance     (6,961 )     (7,149 )
Net deferred tax asset     -       -  

 

As of September 30, 2020, the Company has provided valuation allowances of $6,961 in respect of deferred tax assets resulting from tax loss carryforward and other temporary differences. Management currently believes that because the Company has a history of losses, it is more likely than not that the deferred tax regarding the loss carryforward and other temporary differences will not be realized in the foreseeable future.

 

  C. Available carryforward tax losses:

 

As of September 30, 2020, Viewbix Israel incurred operating losses in Israel of approximately $13,368 which may be carried forward and offset against taxable income in the future for an indefinite period.

 

As of September 30, 2020 the Company generated net operating losses in the U.S. of approximately $18,396 Net operating losses in the U.S. 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.

 

  D. Loss (income) from continuing operations, before taxes on income, consists of the following:

 

    For the nine months ended
September 30		     For the three months ended September 30  
      2 0 2 0       2 0 1 9       2 0 2 0       2 0 1 9  
                                 
USA     6       58       (4 )     9  
Israel     303       658       48       279  
      309       716       44       288