INCOME TAXES

12 Months Ended

Dec. 31, 2016

The Company has generated taxable losses for the periods presented. Accordingly, no provisions for income taxes have been recorded.

The Company’s effective tax rate differs from the United States Federal income tax rate as follows:

	2016			2015

Corporate Federal income tax at 35%	$	(333,929	)	$	19,934
Non-deductible stock-based compensation		303,448			15,400
Non-deductible (non-taxable) foreign exchange (gain) loss		6,536			(39,811	)
Change in valuation allowance		23,945			4,477
Provision for Income Taxes	$	-		$	-

At December 31, 2016, the Company has net operating loss carryforwards which expire from 2028 to 2036. The deferred tax asset relating to these net operating loss carryforwards has been fully reserved for at December 31, 2016 and December 31, 2015 since management’s assessment has not yet determined it to be more likely than not that the net operating loss carryforwards will be realized.

Current United States income tax laws limit the amount of loss available to be offset against future taxable income when a substantial change in ownership occurs. Therefore, the amount available to offset future taxable income may be limited.

Evergreen-Agra, Inc. 10-K