DEFERRED INCOME TAXES (Tables)

12 Months Ended

Sep. 30, 2020

Significant components of the Company's net deferred income tax assets at September 30, 2020 and 2019, respectively are as follows:



	2020		2019
Amortization and impairment of license agreement	$	-	$	424,296
Allowance for doubtful account		9,797		13,177
Net operating loss carryforward		3,693,736		3,735,719
Net deferred income tax asset		3,703,533		4,173,192
Less: valuation allowance		(3,703,533)		(4,173,192)
Total deferred income tax assets	$	-	$	-

A reconciliation of the Federal and respective State income tax rate as a percentage of income before taxes is as follows:



	2020		2019

Federal statutory taxes	$	32,798	$	(35,046)
State income taxes, net of federal benefit		9,090		(9,713)
Change in tax rate estimates		427,325		-
Less: Valuation allowance, non-deductible items		445		496
Change in valuation allowance		469,658		44,263
	$	-0-	$	-0-



	2020		2019

Federal statutory Income tax rate		21.00%		21.00%
State taxes, net of federal benefit		4.35%		4.35%
Effective rate of deferred tax asset		25.35%		25.35%
Less: Valuation allowance		(25.35%)		(25.35%)
Effective income tax rate		0.00%		0.00%