v3.21.2
Income Tax Provision (Tables)
12 Months Ended
May 31, 2021
Income Tax Disclosure [Abstract]  
Schedule of Income Tax Provision

The income tax provision consists of the following:

 

    May 31, 2021     May 31, 2020  
Federal                
Current   $ 521,293       -  
Deferred     (208,560 )     -  
State and Local                
Current     262,576       -  
Deferred     (55,440 )     -  
Income tax benefit   $ 519,869     $ -  
Schedule of Deferred Tax Assets (Liabilities)

The Company’s deferred tax assets (liabilities) consisted of the effects of temporary differences attributable to the following:

 

Deferred Tax Assets   Year Ended
May 31, 2021
   

For the Period October 28, 2019 (Inception) through

May 31, 2020

 
Net Operating Loss   $ -     $ 40,000  
Debt discount liability     288,555          
Allowance for doubtful accounts     39,414          
Goodwill     19,513          
Total deferred tax assets     347,482       40,000  
Valuation allowance     -       (40,000 )
Deferred tax asset, net of valuation allowance     347,482       -  
                 
Deferred Tax Liabilities                
Fixed assets     (84,261 )        
Net deferred tax asset (liability)   $ 263,221     $ -  
Schedule of Expected Tax Expense (Benefit)

The expected tax expense (benefit) based on the statutory rate is reconciled with actual tax expense benefit as follows:

 

    Year Ended
May 31, 2021
   

For the Period October 28, 2019 (Inception) through

May 31, 2020

 
US Federal statutory rate (%)     21.0       21.0  
State income tax, net of federal benefit     8.4       9.0  
Change in valuation allowance     (1.7 )     (30.0 )
Other permanent differences, net     (4.5 )        
Income tax provision (benefit) (%)     23.2       -