Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Income Taxes (Tables)

v3.8.0.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2017
Disclosure of income tax [Abstract]  
Provision for income taxes
The provision for income taxes recorded in the consolidated financial statements differs from the amount which would be obtained by applying the statutory income tax rate to the loss before income taxes as follows:

 
2017
2016
2015
Loss before income taxes
(15,475,353
)
(15,130,605
)
(13,719,842
)
Statutory Canadian corporate tax rate
27.00
%
27.00
%
26.00
%
Anticipated tax recovery
(4,178,345
)
(4,085,263
)
(3,567,159
)
Foreign jurisdiction tax rate difference
2,899,190

2,184,796

2,659,145

Employee stock based compensation
156,250

109,641

111,680

Change in tax rate


(1,336,941
)
Adjustment to opening tax pools
162,162

(39,569
)
(1,339,467
)
Other permanent differences
53,039

100,525

23,620

Change in deferred tax benefits deemed not probable to
be recovered
1,051,725

1,739,557

3,455,622

Current income taxes
144,021

9,687

6,500

Adjustment in respect to prior periods
(2,523
)
(313
)
(3,347
)
Net current tax expense
141,498

9,374

3,153

Schedule of unrecognized non-capital losses, non-refundable credits and deferred tax assets
As at December 31, 2017, we have the following non-capital losses for income tax purposes in Canada:
Expiry
$
2026
9,809,000

2027
12,170,000

2029
4,009,000

2030
4,774,000

2031
4,343,000

2032
2,873,000

2033
2,457,000

2034
2,472,000

2035
3,125,000

2036
6,430,000

2037
4,846,000

 
57,308,000













As at December 31, 2017, we have the following non-refundable federal investment tax credits for income tax purposes in Canada:

Expiry
$
2020
189,000

2021
471,000

2022
465,000

2023
361,000

2024
228,000

2025
271,000

2026
520,000

2027
596,000

2028
622,000

2029
173,000

2030
91,000

2031
114,000

2032
381,000

2033
487,000

2034
270,000

2035
183,000

2036
41,000

2037
600


5,463,600

Deferred tax assets are recognized, to the extent that it is probable that taxable income will be available, against which the deductible temporary differences and the carry-forward of unused tax credits and unused tax losses can be utilized. The components of our unrecognized deferred tax asset are as follows:
 
2017
$
2016
$
2015
$
Net operating losses carried forward
19,160,218

17,821,631

15,950,044

Scientific research and experimental development
7,406,099

7,394,707

7,278,284

Investment tax credits
3,988,325

3,990,664

3,987,214

Undepreciated capital costs in excess of book value of property and equipment and intellectual property
1,927,640

1,908,654

1,839,107

Share issue costs
493,343

432,659

619,066

Net capital losses carried forward
7,598

7,598

7,598

Unrecognized deferred tax asset
32,983,223

31,555,913

29,681,313