The
income tax expense consists of the following:
SCHEDULE OF INCOME TAX EXPENSE
|
|
August 31, 2021 |
|
|
August 31, 2020 |
|
Federal |
|
|
|
|
|
|
|
|
Current |
|
$ |
457,000 |
|
|
$ |
- |
|
Deferred |
|
|
65,448 |
|
|
|
- |
|
State and Local |
|
|
|
|
|
|
- |
|
Current |
|
|
102,000 |
|
|
|
- |
|
Deferred |
|
|
14,552 |
|
|
|
- |
|
Income tax expense |
|
$ |
639,000 |
|
|
$ |
- |
|
The
expected tax expense based on the statutory rate is reconciled with actual tax expense benefit as follows:
SCHEDULE OF EXPECTED TAX EXPENSE (BENEFIT)
|
|
For the Three Months Ended August 31, 2021 |
|
|
For the
Three Months Ended
August 31, 2020
|
|
US Federal statutory rate (%) |
|
|
21 |
% |
|
|
21 |
% |
State income tax, net of federal benefit |
|
|
7 |
% |
|
|
4 |
% |
Change in valuation allowance |
|
|
(2 |
)% |
|
|
(25 |
)% |
Other permanent differences, net |
|
|
5 |
% |
|
|
- |
|
Income tax provision (%) |
|
|
31 |
% |
|
|
- |
|
|