| ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 1.
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Organization Sino
Green Land Corporation (“SGLA”), formerly known as Go Silver Toprich Holding Inc., is a corporation organized under the laws
of the State of Nevada on March 6, 2008. Sunshine
Green Land Corp., (“SGL”) a Labuan corporation, was formed on December 8, 2021. On June 30, 2023, SGL consummated a share
exchange agreement with the shareholders of Tian Li Eco Holdings Sdn. Bhd (“Tian Li”), a Malaysian corporation, in which
all the shares of Tian Li were exchanged for shares of SGL, and Tian Li became a wholly-owned subsidiary of SGL. On
October 1, 2023, SGLA completed a merger with SGL. After the merger, SGLA, SGL, and Tian Li, are collectively referred to as the “Company.” Upon
completion of the merger, SGLA acquired SGL in exchange for 160,349,203 1,781,658 161,809,738 1,784,178 Prior
to the merger, Luo Xiong and spouse Wo Kuk Ching and their immediate family members controlled 65.7 90 89.78 As
SGLA and SGL were under common control at the time of the share exchange, the transaction is accounted for as a combination of entities
under common control in a manner similar to the pooling-of-interests method of accounting. In pooling-of-interests accounting, the financial
statements of the previously separate companies for periods before the combination are recast on a combined basis for all prior periods
that the entities are under common control. The accompanying combined financial statements for all periods presented are referred to
as the “consolidated” financial statements. Accordingly, the Company’s consolidated financial statements as of September
30, 2024 and June 30, 2023, and for the three-month ended September 30, 2024 and 2023, include SGLA’s, SGL’s, and Tian Li’s
historical assets, liabilities, and results of operations, including the issuance of 160,349,203 1,781,658 The
Company conducts its business through its subsidiary Tian Li, which operates in Malaysia as an environmental technology company and recycler
of plastic waste bottles and plastic packaging materials. Going
concern The
accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the
settlement of liabilities and commitments in the normal course of business. As reflected in the accompanying financial statements,
for the three months ended September 30, 2024, the Company incurred a net loss of $ 333,331 228,941 3,224,890 3,182,084 The
ability of the Company to continue as a going concern is dependent on raising capital to fund its initial business plan and ultimately
to attain profitable operations. Management believes additional cash required to meet the Company’s obligations as they become
due will be provided by way of advances from related parties. No assurance can be given that any future financing, if needed, will be
available or, if available, that it will be on terms that are satisfactory to the Company. Even if the Company is able to obtain additional
financing, if needed, it may contain undue restrictions on its operations, in the case of debt financing, or cause substantial dilution
for its stockholders, in the case of equity financing. Basis
of presentation The
Company’s financial statements have been prepared in accordance with accounting principles generally accepted in the United States
of America (“U.S. GAAP”). The
unaudited condensed consolidated financial statements are prepared in conformity with accounting principles generally accepted in the
United States of America (“GAAP”) pursuant to the applicable rules and regulations of the Securities and Exchange Commission
(“SEC”) for interim financial information. The unaudited condensed consolidated financial statements have been prepared on
the same basis as the Company’s Transition Report Form 10-KT for the three months transition period ended June 30, 2023, and, in
the opinion of management, reflect all adjustments, which consist of normal recurring adjustments, considered necessary for a fair presentation
of the periods presented. The results of operations for the interim periods presented are not necessarily indicative of the results of
operations to be expected for the full fiscal year ending June 30, 2024. These unaudited condensed consolidated financial statements
should be read in conjunction with the Company’s audited financial statements and accompanying notes, included in the Company’s
Transition Report on Form 10-KT, filed with the SEC. The condensed consolidated balance sheet as of September 30, 2024, was derived from
the audited financial statements as of that date, but does not include all disclosures, including notes, required by GAAP. Use
of estimates The
preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires
management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent
assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting
period. Actual results could differ from those estimates. Significant estimates include estimates for the valuation of inventory and
accruals of potential liabilities. Revenue
recognition The
Company recognizes revenue in accordance with Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with
Customers (“ASC 606”). The underlying principle of ASC 606 is to recognize revenue to depict the transfer of goods or services
to customers at the amount expected to be collected. ASC 606 creates a five-step model that requires entities to exercise judgment when
considering the terms of contract(s), which includes (1) identifying the contract(s) or agreement(s) with a customer, (2) identifying
the Company’s performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction
price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied. The
Company generates revenue primarily from the sales of plastic recycle products directly to customers. The Company recognizes revenue
at a point in time when the control of the products has been transferred to customers. The transfer of control is considered complete
when products have been picked up by our customers or delivered to our customers. The Company recognizes revenues net of sales discount
and relevant charges, and accounts for packaging, shipping and handling fees as a fulfilment cost. SCHEDULE
OF REVENUE RECOGNITION
2024 2023
Three months ended
2024 2023
Sale of plastic recycle products $ 457,247 $ 545,878 Cash
and cash equivalents Cash
and cash equivalents consist of cash on hand, demand deposits placed with banks or other financial institutions and have original maturities
of less than three months. The Company’s primary bank deposits are located in Malaysia. SCHEDULE
OF CASH
AND CASH EQUIVALENT
September
30, 2024 June
30, 2024
Cash,
cash equivalents, and restricted cash
Denominated
in United States Dollars $ 36,472 $ 2,396
Denominated
in Chinese Renminbi 2,516 1,001
Denominated
in Malaysian Ringgit 612 25,461
Cash
and cash equivalents $ 39,599 $ 28,858 Accounts
Receivable Accounts
receivables are recorded at net realizable value consisting of the carrying amount less an allowance for uncollectible accounts, as needed.
The Company uses the allowance method to account for uncollectible trade receivable balances. Under the allowance method, if needed,
an estimate of uncollectible customer balances is made based upon specific account balances that are considered uncollectible. Factors
used to establish an allowance include the credit quality and payment history of the customer. The Company did not deem it necessary
to provide an allowance for doubtful accounts as of September 30, 2024 and June 30, 2024. Inventories Inventories
are stated at the lower of cost or net realizable value, with cost determined on a first-in, first-out (“FIFO”) basis. The
Company records adjustments to its inventory based on an estimated forecast of the inventory demand, taking into consideration, among
others, inventory turnover, inventory quantities on hand, unfilled customer order quantities, forecasted demand, current prices, competitive
pricing, and trends and performance of similar products. If the estimated net realizable value is determined to be less than the recorded
cost of the inventory, the difference is recognized as a loss in the period in which it occurs. Once inventory has been written down,
it creates a new cost basis for inventory that may not be subsequently written up. Property,
plant and equipment, net Property
and equipment are stated at cost less accumulated depreciation and amortization. Depreciation is calculated on the straight-line basis
over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated
residual values: SCHEDULE
OF ESTIMATED USEFUL LIVES
Categories Expected
useful life
Factory
building 20
Factory
equipment 7
Office
equipment 3 10
Computer
and Software 3 10
Leasehold
improvement Over
the shorter of estimated useful life or term of lease
Motor
vehicles 3 10 Management
assesses the carrying value of property and equipment whenever events or changes in circumstances indicate that the carrying value may
not be recoverable. If there is indication of impairment, management prepares an estimate of future cash flows expected to result from
the use of the asset and its eventual disposition. If these cash flows are less than the carrying amount of the asset, an impairment
loss is recognized to write down the asset to its estimated fair value. For the three and nine months ended September 30, 2024 and 2023,
the Company determined there were no indicators of impairment of its property and equipment. Leases The
Company accounts for its leases in accordance with the guidance of ASC 842, Leases. The Company determines whether a contract is, or
contains, a lease at inception. Right-of-use assets represent the Company’s right to use an underlying asset during the lease term,
and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Right-of-use assets and
lease liabilities are recognized at lease commencement based upon the estimated present value of unpaid lease payments over the lease
term. The Company uses its incremental borrowing rate based on the information available at lease commencement in determining the present
value of unpaid lease payments. Income
taxes The
Company accounts for income taxes using the asset and liability method whereby deferred tax assets are recognized for deductible temporary
differences, and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences
between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance
when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized
before the Company is able to realize their benefits, or that future deductibility is uncertain. Tax
benefits from an uncertain tax position are recognized only if it more likely than not that the tax position will be sustained on examination
by the taxing authorities based on technical merits of the position. The tax benefits recognized in the financial statements from such
a position are measured based on the largest benefit that has greater than 50 percent likelihood of being realized upon ultimate resolution.
Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. Foreign
currency translation The
reporting currency of the Company is the United States Dollars (“US$”) and the accompanying consolidated financial statements
have been expressed in US$. In addition, the Company’s operating subsidiary maintains its books and records in their respective
local currency, which consists of the Malaysian Ringgit (“MYR”). In
general, for consolidation purposes, assets and liabilities of its subsidiaries whose functional currency is not the US$ are translated
into US$ using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the
period. The gains and losses resulting from translation of financial statements of a foreign subsidiary are recorded as a separate component
of accumulated other comprehensive loss within equity. Translation
of amounts from the local currencies of the Company into US$ has been made at the following exchange rates for the respective periods: SCHEDULE
OF FOREIGN EXCHANGE RATES
As of As of
Spot USD: MYR exchange rate $ 4.1250 $ 4.7172
Average USD: MYR exchange rate $ 4.3947 $ 4.6941 The
MYR is not freely convertible into foreign currency and all foreign exchange transactions must take place through authorized institutions.
No representation is made that the MYR amounts could have been, or could be, converted into US Dollars at the rates used in translation. Net
loss per share The
Company calculates net loss per share in accordance with ASC Topic 260, “Earnings per Share.” Basic net loss per share is
computed by dividing the net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per
share is computed like basic net loss per share except that the denominator is increased to include the number of additional common shares
that would have been outstanding if the potential common stock equivalents had been issued and if the additional common shares were dilutive.
As of September 30, 2024, the Company had convertible notes payable that were convertible into 937,500 Fair
value measurements The
Company follows the guidance of ASC 820-10, “Fair Value Measurements and Disclosures”, with respect to financial assets and
liabilities that are measured at fair value. ASC 820-10 establishes a three-tier fair value hierarchy that prioritizes the inputs used
in measuring fair value as follows: Level
1 : Level
2 : Level
3 : The
Company believes the carrying amounts reported in the balance sheets for accrued expenses and due to related party, approximate their
fair values because of the short-term nature of these financial instruments. Segment
Information Under
ASC 280, Segment Reporting, operating segments are defined as components of an enterprise where discrete financial information is available
that is evaluated regularly by the chief operating decision maker (“CODM”), in deciding how to allocate resources and in
assessing performance. The Company’s operation segment consists of one component, and the Company’s Chief Executive Officer,
who is also the CODM, makes decisions and manages the Company’s operations as a single operating segment. Recent
accounting pronouncements In
June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial
Instruments, which replaces the existing incurred loss impairment model with an expected credit loss model and requires a financial asset
measured at amortized cost to be presented at the net amount expected to be collected. This new standard is effective for the Company
in the fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, and will be applied as a
cumulative-effect adjustment to retained earnings. The Company adopted ASU 2016-03 as of July 1, 2023, with no impact on our condensed
consolidated financial statements or the related disclosures. Other
recent accounting pronouncements and guidance issued by the FASB, its Emerging Issues Task Force, the American Institute of Certified
Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on
the Company’s present or future financial statements. |
