Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.21.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2020
Income Taxes  
Schedule of current and deferred income tax expense (benefit)

 

 

December 31,

2020

 

 

December 31,

2019

 

 

 

 

 

 

 

 

Current

 

 

 

 

 

 

Federal

 

$

(3,430,038

)

 

$

(3,174,242

)

State

 

 

 

 

 

 

-

 

Total current tax expense (benefit)

 

 

(3,430,038

)

 

 

(3,174,242

)

 

 

 

 

 

 

 

 

 

Deferred tax timing differences

 

 

 

 

 

 

 

 

Federal

 

 

(10,004,343

)

 

 

(894,687

)

State

 

 

 

 

 

 

-

 

 

 

 

 

 

 

 

 

 

Increase (decrease) in valuation allowance

 

 

13,434,381

 

 

 

4,068,929

 

 

 

 

 

 

 

 

 

 

Income tax expense (benefit)

 

$

-

 

 

$

-

)

Schedule of deferred tax assets and liabilities

 

 

December 31,

2020

 

 

December 31,

2019

 

 

 

 

 

 

 

 

Deferred tax assets:

 

 

 

 

 

 

NOL carry forwards

 

$

9,273,296

 

 

$

5,843,257

 

Bad debt reserves

 

 

77,896

 

 

 

77,896

 

Impairment of oil and gas assets

 

 

8,278,289

 

 

 

403,289

 

Unrealized loss

 

 

695

 

 

 

695

 

Derivative losses

 

 

149,982

 

 

 

1,301,952

 

Book tax depletion difference

 

 

4,333,842

 

 

 

2,233,842

 

Share based compensation

 

 

3,637,737

 

 

 

2,456,423

 

 

 

 

 

 

 

 

 

 

Total deferred tax assets

 

 

25,751,736

 

 

 

12,317,354

 

 

 

 

 

 

 

 

 

 

Deferred tax liabilities:

 

 

 

 

 

 

 

 

Derivative gains

 

 

(121,947

)

 

 

(121,947

)

Bargain purchase gain

 

 

(5,674,498

)

 

 

(5,674,498

)

 

 

 

 

 

 

 

 

 

Total deferred tax liabilities

 

 

(5,796,445

)

 

 

(5,796,445

)

 

 

 

 

 

 

 

 

 

Deferred tax assets - before valuation allowance

 

 

19,955,291

 

 

 

6,520,909

 

Less valuation allowance

 

 

(19,955,291

)

 

 

(6,520,909

)

 

 

 

 

 

 

 

 

 

Deferred tax asset (liability) - net

 

$

-

 

 

$

-

 

Summary of reconciliation of federal and state statutory income tax rates

 

 

December 31,

2020

 

 

December 31,

2019

 

 

 

 

 

 

 

 

Continuing operations

 

 

 

 

 

 

Expected provision at US statutory rate

 

 

21.00

%

 

 

21.00

%

State income tax net of federal benefit

 

 

0.00

%

 

 

0.00

%

Other items effecting timing differences

 

 

0.00

%

 

 

0.00

%

Valuation allowance

 

 

21.00

%

 

 

21.00

%

 

 

 

 

 

 

 

 

 

Effective income tax rate

 

 

0.00

%

 

 

0.00

%