NOTE 6 - INCOME TAXES

3 Months Ended

Mar. 31, 2014

NOTE 6 - INCOME TAXES

As of March 31, 2013, the Company had Federal net tax operating loss carry forwards of approximately $8,712 available to offset future taxable income. However, the Company had reserved a full deferred tax assets valuation allowance so its balance sheet reported no deferred tax assets as of March 31, 2013 on the basis of the Company’s history of losses that more likely than not the Company will not realize operating loss carry forwards in the foreseeable future. As a result of the full deferred tax assets valuation allowance in the previous periods, the Company’s effective tax rate at December 31, 2013 was 0% because after utilizing the net operating loss carry forwards, the Company recorded no income taxes.

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets at March 31, 2014 and 2013 are presented below:

	Three Months Ended March 31 (Unaudited)
	2014			2013
Net operating loss	$	(3,470	)	$	(110,801	)
Total deferred tax assets		(3,470	)		(110,801	)
Reversal of valuation allowance		3,470			110,801
Net deferred tax assets	$	-		$	-

The Company had historically carried a full deferred tax assets valuation allowance so its balance sheet reported no deferred tax assets. At March 31, 2014 and 2013, the Company reversed deferred tax assets valuation allowance by $3,470 and $110,801, respectively, to reflect the effect of net operating loss actually utilized to reduce the tax liabilities for the respective periods.

Uncertain Tax Positions

Interest associated with unrecognized tax benefits are classified as income tax and penalties are classified in selling, general and administrative expenses in the statements of operations and comprehensive income.

For the three months ended March 31, 2014 and 2013, the Company had no unrecognized tax benefits and related interest and penalties expenses. Currently, the Company is not subject to examination by major tax jurisdictions.

- 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.

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