Registration of securities issued in business combination transactions

Income Taxes (Tables)

v3.19.3
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2018
Income Tax Disclosure [Abstract]  
Schedule of Income Before Income Tax, Domestic and Foreign

The breakout of the loss from continuing operations before income taxes between domestic and foreign operations is below:

 

    2018     2017  
Loss before income taxes                
United States   $ (6,550,167 )   $ (6,925,267 )
Foreign     (1,350,324 )     (885,397 )
    $ (7,900,491 )   $ (7,810,664 )

Schedule of Components of Income Tax Expense (Benefit)

The income tax benefit for the years ended December 31, 2018 and 2017 consists of the following:

 

    2018     2017  
Foreign            
Current   $ 1,803     $ 61,766  
Deferred     18,216       265,809  
Change in Valuation Allowance     (8,010 )     (277,126 )
U.S. Federal                
Current     -       -  
Deferred     (1,305,934 )     2,682,311  
Change in Valuation Allowance     291,721       (3,362,028 )
State and Local                
Current     -       -  
Deferred     (99,938 )     65,450  
Change in Valuation Allowance     400,918       (80,611 )
    $ (701,224 )   $ (644,429 )

Schedule of Effective Income Tax Rate Reconciliation

The benefit for income tax using statutory U.S. federal tax rate of 21% is reconciled to the Company’s effective tax rate as of December 31, 2018 and 2017 is as follows:

 

    2018     2017  
Computed “expected” income tax benefit   $ (1,659,103 )   $ (2,392,649 )
State income taxes, net of federal benefit     (99,938 )     (276,243 )
Noncontrolling interest     87,389       140,879  
Permanent Items     147,602       4,025  
Capital loss expiration     50,220       -  
Federal expense of tax rate change     -       4,836,697  
Foreign Tax Expense     1,803       61,766  
Other     86,174       169,244  
Change in valuation allowance     684,629       (3,188,148 )
    $ (701,224 )   $ (644,429 )

Schedule of Deferred Tax Assets and Liabilities

Major components of deferred tax assets at December 31, 2018 and 2017 were:

    2018     2017  
Net operating loss carryforwards   $ 11,106,000     $ 10,279,350  
Capital loss carryforwards     -       50,226  
Section 1231 loss carryforwards     79,869       78,176  
Charitable contribution carryforwards     23,770       22,618  
Section 163(j) limitation     479,264       -  
Other     91,764       10,154  
Restaurant startup expenses     23,369       -  
Accrued expenses     159,623       68,477  
Deferred occupancy liabilities     128,936       151,531  
Revenue recognition     243,059       -  
Total deferred tax assets     12,335,654       10,660,532  
                 
Property and equipment     -       (72,553 )
Other asset and liability impairment     (122,326 )     (62,008 )
Investments     (204,863 )     (114,519 )
Intangibles and Goodwill     (432,572 )     (465,841 )
Total deferred tax liabilities     (759,761 )     (714,921 )
                 
Net deferred tax assets     11,575,893       9,945,611  
Valuation allowance     (11,652,658 )     (10,724,970 )
    $ (76,765 )   $ (779,359 )