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NOTE 8: INCOME TAXES
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Dec. 31, 2012
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| Income Tax Disclosure [Text Block] |
NOTE
8: INCOME TAXES
Clean
Coal uses the liability method, where deferred tax assets and
liabilities are determined based on the expected future tax
consequences of temporary differences between the carrying
amounts of assets and liabilities for financial and income
tax reporting purposes. During 2012 and 2011, Clean Coal
incurred net losses and, therefore, has no tax liability. The
net deferred tax asset generated by the loss carry-forward
has been fully reserved. The cumulative net operating loss
carry-forward is approximately $10,120,000 at December 31,
2012, and will begin to expire in the year 2025. Section 382
of the Internal Revenue code limits the use of net operating
losses where a change of control has occurred. The Company
has changed control multiple times since inception resulting
in such limitations.
At
December 31, 2012 and 2011, deferred tax assets consisted of
the following:
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