Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2022 | Nov. 11, 2022 | |
Cover [Abstract] | ||
Entity Registrant Name | AUSCRETE CORPORATION | |
Entity Central Index Key | 0001492091 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Small Business | true | |
Entity Shell Company | false | |
Entity Emerging Growth Company | true | |
Entity Current Reporting Status | Yes | |
Document Period End Date | Sep. 30, 2022 | |
Entity Filer Category | Non-accelerated Filer | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2022 | |
Entity Ex Transition Period | false | |
Entity Common Stock Shares Outstanding | 58,551,168 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-35923 | |
Entity Incorporation State Country Code | WY | |
Entity Tax Identification Number | 27-1692457 | |
Entity Interactive Data Current | Yes | |
Entity Address Address Line 1 | 49 John Day Dam Rd | |
Entity Address City Or Town | Goldendale | |
Entity Address State Or Province | WA | |
Entity Address Postal Zip Code | 98620 | |
City Area Code | 509 | |
Local Phone Number | 261-2525 |
BALANCE SHEETS
BALANCE SHEETS - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
CURRENT ASSETS: | ||
Cash | $ 17,781 | $ 0 |
Accounts Receivable | 11,251 | 8,000 |
Prepaid Expenses | 1,543 | 6,202 |
Inventory | 6,197 | 6,197 |
TOTAL CURRENT ASSETS | 36,772 | 20,399 |
Property, Plant and Equipment (net) | 31,237 | 40,193 |
Deposits | 0 | 0 |
TOTAL ASSETS | 68,009 | 60,592 |
CURRENT LIABILITIES: | ||
Bank Overdraft | 0 | 5,624 |
Accounts Payable and Accrued Expenses | 156,657 | 121,170 |
Accrued Interest Payable | 49,221 | 231,373 |
Deferred Revenue | 11,250 | 0 |
Notes Payable (net of discount) | 1,305,050 | 890,139 |
Derivative Liability | 113,948 | 295,306 |
Related Party Advances | 0 | 0 |
TOTAL CURRENT LIABILITIES | 1,636,126 | 1,543,612 |
TOTAL LIABILITIES | 1,636,126 | 1,543,612 |
Commitments and Contingencies | 0 | 0 |
STOCKHOLDERS' EQUITY (DEFICIT) | ||
Common Stock, 0.0001 par value, authorized 2,000,000,000 shares 58,551,168 and 56,798,678 shares issued and outstanding as of September 30, 2022 and December 31, 2021 respectively, restated to APIC below for the 40 for 1 reverse stock split | 5,854 | 5,679 |
Additional Paid In Capital | 11,684,864 | 11,621,307 |
Shares to be issued | 0 | 0 |
Accumulated deficit | (13,258,835) | (13,110,006) |
TOTAL STOCKHOLDERS' EQUITY (DEFICIT) | (1,568,117) | (1,483,020) |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) | $ 68,009 | $ 60,592 |
BALANCE SHEETS (Parenthetical)
BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2022 | Dec. 31, 2021 |
BALANCE SHEETS | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 2,000,000,000 | 2,000,000,000 |
Common stock, shares issued | 58,551,168 | 56,798,678 |
Common stock, shares outstanding | 58,551,168 | 56,798,678 |
STATEMENTS OF OPERATIONS (UNAUD
STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
STATEMENTS OF OPERATIONS (UNAUDITED) | ||||
REVENUE | $ 0 | $ 0 | $ 0 | $ 0 |
Cost of Goods sold | 5,845 | 0 | 5,845 | 0 |
Gross Profit | (5,845) | 0 | (5,845) | 0 |
EXPENSES | ||||
Accounting and Legal | 9,659 | 22,000 | 35,409 | 29,900 |
Salaries and wages | 44,102 | 44,286 | 99,818 | 154,467 |
G&A Expenses | 29,887 | 32,961 | 64,681 | 86,417 |
Depreciation expense | 2,985 | 2,985 | 8,955 | 8,955 |
TOTAL EXPENSES | 86,633 | 102,232 | 208,863 | 279,739 |
Income (loss) from operations | (92,478) | (102,232) | (214,708) | (279,739) |
OTHER INCOME (EXPENSES) | ||||
Gain / (Loss) on derivative | 90,895 | (10,104) | 222,495 | 226,760 |
Gain / (Loss) on debt forgiveness | 21,279 | 24,120 | 21,279 | 24,120 |
Financing cost | 0 | 0 | (41,868) | (9,820) |
Interest Expense | (37,832) | (22,657) | (136,027) | (84,396) |
TOTAL OTHER INCOME (EXPENSES) | 74,342 | (8,641) | 65,879 | 156,664 |
INCOME (LOSS) BEFORE TAXES | (18,136) | (110,873) | (148,829) | (123,075) |
Provision for Income Taxes | 0 | 0 | 0 | 0 |
NET INCOME (LOSS) | $ (18,136) | $ (110,873) | $ (148,829) | $ (123,075) |
NET INCOME (LOSS) PER COMMON SHARE - BASIC AND DILUTED | $ 0 | $ (0.03) | $ 0 | $ (0.03) |
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING - BASIC AND DILUTED | 58,551,168 | 3,560,026 | 57,591,382 | 3,549,700 |
NET LOSS PER COMMON SHARE - DILUTED | $ 0 | $ 1 | $ 0 | $ 1 |
STATEMENT OF CHANGES IN SHAREHO
STATEMENT OF CHANGES IN SHAREHOLDERS EQUITY (UN-AUDITED) - USD ($) | Total | Common Stock | Additional Paid-In Capital | Retained Earnings (Accumulated Deficit) |
Balance, shares at Dec. 31, 2020 | 3,428,652 | |||
Balance, amount at Dec. 31, 2020 | $ (1,147,733) | $ 372 | $ 8,897,873 | $ (10,045,978) |
Note conversion, shares | 130,409 | |||
Note conversion, amount | 45,515 | $ 13 | 45,502 | |
Round up shares, shares | 965 | |||
Round up shares, amount | $ (29) | 29 | ||
Net Loss | 110,750 | 110,750 | ||
Balance, shares at Mar. 31, 2021 | 3,560,026 | |||
Balance, amount at Mar. 31, 2021 | (991,468) | $ 356 | 8,943,404 | (9,935,228) |
Balance, shares at Dec. 31, 2020 | 3,428,652 | |||
Balance, amount at Dec. 31, 2020 | (1,147,733) | $ 372 | 8,897,873 | (10,045,978) |
Net Loss | (123,075) | |||
Balance, shares at Sep. 30, 2021 | 3,560,026 | |||
Balance, amount at Sep. 30, 2021 | (1,225,293) | $ 356 | 8,943,404 | (10,169,053) |
Balance, shares at Mar. 31, 2021 | 3,560,026 | |||
Balance, amount at Mar. 31, 2021 | (991,468) | $ 356 | 8,943,404 | (9,935,228) |
Net Loss | (122,952) | (122,952) | ||
Balance, shares at Jun. 30, 2021 | 3,560,026 | |||
Balance, amount at Jun. 30, 2021 | (1,114,420) | $ 356 | 8,943,404 | (10,058,180) |
Net Loss | (110,873) | (110,873) | ||
Balance, shares at Sep. 30, 2021 | 3,560,026 | |||
Balance, amount at Sep. 30, 2021 | (1,225,293) | $ 356 | 8,943,404 | (10,169,053) |
Net Loss | (2,940,953) | (2,940,953) | ||
Shares issued for services, shares | 53,238,652 | |||
Shares issued for services, amount | 2,683,226 | $ 5,323 | 2,677,903 | 0 |
Balance, shares at Dec. 31, 2021 | 56,798,678 | |||
Balance, amount at Dec. 31, 2021 | (1,483,020) | $ 5,679 | 11,621,307 | (13,110,006) |
Net Loss | (265,612) | (265,612) | ||
Balance, shares at Mar. 31, 2022 | 56,798,678 | |||
Balance, amount at Mar. 31, 2022 | (1,748,632) | $ 5,679 | 11,621,307 | (13,375,618) |
Balance, shares at Dec. 31, 2021 | 56,798,678 | |||
Balance, amount at Dec. 31, 2021 | (1,483,020) | $ 5,679 | 11,621,307 | (13,110,006) |
Net Loss | (148,829) | |||
Balance, shares at Sep. 30, 2022 | 58,551,168 | |||
Balance, amount at Sep. 30, 2022 | (1,568,117) | $ 5,854 | 11,684,864 | (13,258,835) |
Balance, shares at Mar. 31, 2022 | 56,798,678 | |||
Balance, amount at Mar. 31, 2022 | (1,748,632) | $ 5,679 | 11,621,307 | (13,375,618) |
Net Loss | 134,919 | 134,919 | ||
Conversion, shares | 1,752,490 | |||
Conversion, amount | 63,732 | $ 175 | 63,557 | |
Balance, shares at Jun. 30, 2022 | 58,551,168 | |||
Balance, amount at Jun. 30, 2022 | (1,549,981) | $ 5,854 | 11,684,864 | (13,240,699) |
Net Loss | (18,136) | (18,136) | ||
Balance, shares at Sep. 30, 2022 | 58,551,168 | |||
Balance, amount at Sep. 30, 2022 | $ (1,568,117) | $ 5,854 | $ 11,684,864 | $ (13,258,835) |
STATEMENT OF CASH FLOWS (unaudi
STATEMENT OF CASH FLOWS (unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
OPERATING ACTIVITIES | ||
Net Income (Loss) | $ (148,829) | $ (123,075) |
Finance Costs | 41,868 | 9,820 |
Depreciation | 5,970 | 8,955 |
Gain on Debt Forgiveness | (21,279) | (24,120) |
Change in other assets | 4,659 | (256) |
Change in Accounts Receivable | (3,251) | 0 |
Change in Inventory | 0 | 0 |
Change in Accounts Payable and Accrued Expenses | 87,165 | 81,427 |
Change in Deferred Revenue | 11,250 | 0 |
Change in Derivative and Note Discount | (142,148) | (203,470) |
Net Cash Used by Operating Activities | (164,595) | (250,719) |
INVESTING ACTIVITIES: | ||
Purchase of Equipment | 0 | (918) |
Net cash used by investing activities | 0 | (918) |
FINANCING ACTIVITIES: | ||
Bank Overdraft / (Repayment) | (5,624) | 2,115 |
Proceeds from notes payable | 188,000 | 235,000 |
Net cash provided by financing activities | 182,376 | 237,115 |
NET INCREASE (DECREASE) IN CASH | 17,781 | (14,522) |
CASH AT BEGINNING OF PERIOD | 0 | 14,591 |
CASH AT END OF PERIOD | 17,781 | 69 |
Supplemental Cashflow Information | ||
Interest Paid | 0 | 0 |
Taxes Paid | $ 0 | $ 0 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES HISTORY Auscrete Corporation (“the Company”) was formed as an enterprise to take advantage of technologies developed for the construction of affordable, thermally efficient and structurally superior housing. This “GREEN” product is the culmination of design and development since the early 1980’s. The company’s Registration Statement outlines the result of the amalgamation of various material development stages, taking an idea to a product and further developing that product to address an ongoing problem in the world’s largest marketplace, the quest for affordable, efficient and enduring housing. Auscrete’s structures are monetarily highly competitive. A turnkey house, ready to move in sells for around $100-110 per square foot. That is very low in today’s market but is brought about by Auscrete’s ability to manufacture large panels in mass production format. The house is virtually “fastened” together on site to produce an attractive site-built home, a home that will stay where it is put through all kinds of adverse weather and age conditions. It will not burn, is not affected by bugs, termites or rot, it saves extensively on energy costs and has very low maintenance needs. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: The summary of significant accounting policies of Auscrete Corporation is presented to assist in the understanding of the Company’s financial statements. The financial statements and notes are representations of the Company’s management, who is responsible for their integrity and objectivity. The financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). The financial statements are presented in condensed format and should be read in conjunction with the audited financial statement on the form 10-K for the year ended December 31, 2021. INCOME TAXES On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2018. The Company will compute its income tax expense for the year ended December 31, 2021 using a Federal Tax Rate of 21%. Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25 Income Taxes – Recognition. CASH AND CASH EQUIVALENTS Cash and cash equivalents consist primarily of cash in banks and highly liquid investments with original maturities of 90 days or less. There were $17,781 cash equivalents as of September 30, 2022, and $0 as of December 31, 2021. Fair Value Measurements The Company adopted guidance which defines fair value, establishes a framework for using fair value to measure financial assets and liabilities on a recurring basis, and expands disclosures about fair value measurements. The guidance establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent sources. Unobservable inputs are inputs that reflect the Company’s assumptions of what market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of the inputs as follows: Level 1 - Valuation is based upon unadjusted quoted market prices for identical assets or liabilities in accessible active markets. Level 2 - Valuation is based upon quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; or valuations based on models where the significant inputs are observable in the market. Level 3 - Valuation is based on models where significant inputs are not observable. The unobservable inputs reflect a company’s own assumptions about the inputs that market participants would use. The Company’s financial instruments consist of cash, prepaid expenses, inventory, accounts payable, convertible notes payable, advances from related parties, and derivative liabilities. The estimated fair value of cash, prepaid expenses, investments, accounts payable, convertible notes payable and advances from related parties approximate their carrying amounts due to the short-term nature of these instruments. The Company’s derivative liabilities have been valued as Level 3 instruments. Level 1 Level 2 Level 3 Total Fair value of convertible notes derivative liability – September 30, 2022 $ - $ - $ 113,948 $ 113,948 Fair value of convertible notes derivative liability – September 30, 2022 Level 1 Level 2 Level 3 Total Fair value of convertible notes derivative liability – December 31, 2021 $ - $ - $ 295,306 $ 295,306 Fair value of convertible notes derivative liability – December 31, 2021 REVENUE RECOGNITION POLICY The Company recognizes revenue under ASU No. 2014-09, ”Revenue from Contracts with Customers (Topic 606),” · Identify the contract with the customer · Identify the performance obligations in the contract · Determine the transaction price · Allocate the transaction price to the performance obligations in the contract · Recognize revenue when the company satisfies a performance obligation For the three and nine months ended September 30, 2022, the Company received a deposit from a customer resulting in a deferred revenue balance of $11,250. COST OF SALES Amounts that will be recorded as cost of sales relate to direct expenses incurred in order to fulfill orders of our products. Such costs are recorded as incurred. Our cost of sales will consist primarily of the cost of product, labor and selling costs and and does not include G&A expenses. PROPERTY AND EQUIPMENT Property and Equipment was stated at historical cost less Accumulated depreciation and amortization. Cost represents the purchase price of the asset and other costs incurred to bring the asset into its existing use. Depreciation is provided on a straight-line basis over the assets’ estimated useful lives. The useful lives of the assets are as follows: equipment 7-years, vehicles 7-years, and buildings 30-years. Additions and improvements are capitalized while routine repairs and maintenance are charged to expense as incurred. Upon sale or disposition, the historically recorded asset cost and Accumulated depreciation are removed from the Accounts and the net amount less proceeds from disposal is charged or credited to other income or expense. IMPAIRMENT OF LONG-LIVED ASSETS We evaluate long-lived assets for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate their net book value may not be recoverable. When these events occur, we compare the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amount. Impairment, if any, is based on the excess of the carrying amount over the fair value, based on market value when available, or discounted expected cash flows, of those assets and is recorded in the period in which the determination is made. There can be no assurance, however, that market conditions will not change or demand for the Company’s products will continue. Either of these could result in the future impairment of long-lived assets. Estimates of fair value are determined through various techniques, including discounted cash flow models and market approaches, as considered necessary. LOSS PER COMMON SHARE Basic loss per common share is computed based upon the weighted average number of common shares outstanding during the period. Diluted earnings per share consists of the weighted average number of common shares outstanding plus the dilutive effects of options and warrants calculated using the treasury stock method. In loss periods, dilutive common equivalent shares are excluded as the effect would be anti-dilutive. It is estimated that the Company will issue approximately 76,000 as a result of conversion of notes. The company also has 2,000,000 in outstanding common stock warrants. Fully diluted weighted average common shares and equivalents were withheld from the calculation as they were considered anti-dilutive. RECLASSIFICATION Certain amounts in the prior period financial statements have been reclassified to conform to the current period presentation. These reclassifications had no effect on reported income, total assets, or stockholders’ equity as previously reported. USE OF ESTIMATES The preparation of the financial statements in conformity with generally Accepted Accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates and assumptions. EMERGING GROWTH COMPANY The Company qualifies as an Emerging Growth Company, thus takes advantage of the 1-year deferral period for the adoption of all new accounting standards updates. |
GOING CONCERN AND PLAN OF OPERA
GOING CONCERN AND PLAN OF OPERATION | 9 Months Ended |
Sep. 30, 2022 | |
GOING CONCERN AND PLAN OF OPERATION | |
GOING CONCERN AND PLAN OF OPERATION | NOTE 2 - GOING CONCERN AND PLAN OF OPERATION The Company’s financial statements have been presented on the basis that it will continue as a going concern. The Company has not generated revenues from construction related operations to date. The Company has an Accumulated deficit of $13,258,835 as of September 30, 2022 which raises substantial doubt about the Company’s ability to continue as a going concern. The Company will use additional funds through equity and debt financing, collaborative or other arrangements with corporate partners, licensees or others, and from other sources, which may have the effect of diluting the holdings of existing shareholders. The Company has subsequent current arrangements with respect to, or sources of, such additional financing and the Company does not anticipate that existing shareholders will be required to provide any portion of the Company’s future financing requirements. No assurance can be given that additional financing will be available when needed or that such financing will be available on terms Acceptable to the Company. If adequate funds are not available, the Company may be required to delay or terminate expenditures for certain of its programs that it would otherwise seek to develop and commercialize. This would have a material adverse effect on the Company and raise doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that may result from the outcome of this uncertainty. |
RECENT ACCOUNTING PRONOUNCEMENT
RECENT ACCOUNTING PRONOUNCEMENTS | 9 Months Ended |
Sep. 30, 2022 | |
RECENT ACCOUNTING PRONOUNCEMENTS | |
RECENT ACCOUNTING PRONOUNCEMENTS | NOTE 3 - RECENT ACCOUNTING PRONOUNCEMENTS Update 2020-06—Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. This was issued in August of 2020 and will become effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. We are in the process of evaluating the impact to the company. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 9 Months Ended |
Sep. 30, 2022 | |
RELATED PARTY TRANSACTIONS | |
RELATED PARTY TRANSACTIONS | NOTE 4 - RELATED PARTY TRANSACTIONS Though the company has established banking credit cards to assist with the normal everyday purchases and payments of corporate needs such as utilities etc., The CEO and other involved parties often use their own cards for this purpose and, to represent this, the company has a continuous Related Party Advances section in its financial statements. This is adjusted typically at the end of each reporting period. As of September 30, 2022, and December 31, 2021 the balance owed to John Sprovieri was $0 and $0 respectively. |
PROPERTY, INVENTORY AND EQUIPME
PROPERTY, INVENTORY AND EQUIPMENT | 9 Months Ended |
Sep. 30, 2022 | |
PROPERTY, INVENTORY AND EQUIPMENT | |
PROPERTY, INVENTORY AND EQUIPMENT | NOTE 5 - PROPERTY, INVENTORY AND EQUIPMENT Notes to Inventory Type and Value: Inventory consists of Finished Product and Raw Materials that are valued at the lower of cost or market. Raw Materials: Raw materials consist of rebar, insulation, surfactant, powdered cement, threaded inserts and sundry items. The cost is based on the cost of purchase from a non-related supplier. As of September 30, 2022 and December 31, 2021 the inventory value was $6,197 and $6,197 respectively. Property and Equipment at September 30, 2022 were comprised of the following at: September 30, 2022 December 31, 2021 Capital Equipment $ 80,554 $ 80,554 Vehicles 6,344 6,344 Accumulated Depreciation (55,661 ) (46,705 ) Net Fixed Assets $ 31,237 $ 40,193 Depreciation expense for the three months ended September 30, 2022 and 2021 was $2,985 and $2,985 respectively. Depreciation expense for the nine months ended September 30, 2022 and 2021 was $8,955 and $8,955 respectively. |
EQUITY
EQUITY | 9 Months Ended |
Sep. 30, 2022 | |
EQUITY | |
EQUITY | NOTE 6 - EQUITY Common Stock: During the Period January 1, 2021 to September 30, 2022, the Company issued 1,882,899 shares for convertible note conversions. On February 22 of 2021 the company performed a 40 for 1 reverse stock split. All share amounts have been adjusted retroactively to reflect the split and adjustments have been made to reflect the par value and adjusted to additional paid in capital. The following table is a list of the foremost 6 shareholders of the Company as of September 30, 2022. NAME ADDRESS Number of Shares 1. John Sprovieri PO Box 813, Rufus, OR 97050 40,675,897 2. CEDE & Company 570 Washington Blvd. 5th. Floor, Jersey City, NJ 07310 2,084,557 3. Kathleen D Jett PO Box 846, 618 W. First Street, Rufus, OR 97050. 6,025,352 4. Kimberly Grimm 15011 SE Mt Royale Ct. Milwaukie, OR 97267. 3,275,120 5. Michael Young 4405 H’way 30, The Dalles, OR.. 1,100,000 6. William S Beers PO Box 825, Rufus, OR 97058 1,110,200 Warrants On May 28, 2019 we issued 2,000,000 in cashless warrants in connection with the issuance of the convertible promissory note dated May 29, 2019 with Crown Bridge Partners, LLC in the amount of $27,500. Warrants - Common Share Equivalents Weighted Average Exercise price Warrants exercisable - Common Share Equivalents Weighted Average Exercise price Outstanding December 31, 2020 - $ - - $ - Additions Granted 2,000,000 0.30 2,000,000.00 0.30 Expired - - - Exercised - - - - Outstanding December 31, 2021 2,000,000 $ 0.30 2,000,000 $ 0.30 Additions Granted - - - Expired (2,000,000 ) - (2,000,000 ) Exercised - - - - Outstanding September 30, 2022 - $ - - $ - The warrants contained a down round feature that were triggered during 2020, and the result $12,600 of deemed dividend recognized as a result. |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2022 | |
INCOME TAXES | |
INCOME TAXES | NOTE 7 - INCOME TAXES We currently have no current tax liability, as we have had limited revenue and incurred losses since inception. On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2019. The Company will compute its income tax expense for the year ended December 31, 2022 using a Federal Tax Rate of 21%. Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25 Income Taxes – Recognition. Deferred income tax amounts reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax reporting purposes. During the Period January 1, 2020 to December 31, 2020 there were 1,250,000 shares issued to these individuals to recompense post-split roll back numbers issued for service compensation to the Company. As a result the company recognized a share based expense of $1,150,000. This amount was eliminated from the net operating loss carry forward During the Period January 1, 2021 to December 31, 2021 there were 53,238,652 shares issued to these individuals to recompense post-split roll back numbers issued for service compensation to the Company. As a result the company recognized a share based expense of $2,683,226. This amount was eliminated from the net operating loss carry forward As of September 30, 2022, we had a net operating loss carry-forward of approximately $(9,379,827 and a deferred tax asset of approximately $.1969,764 using the statutory rate of 21%. The deferred tax asset may be recognized in future periods, not to exceed 20 years for 2020 and prior and post 2018 are indefinite. However, due to the uncertainty of future events, we have booked valuation allowance of $(1,969,764). FASB ASC 740 prescribes recognition threshold and measurement attributes for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. FASB ASC 740 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. At December 31, 2021, the Company had not taken any tax positions that would require disclosure under FASB ASC 740. September 30, 2022 December 31, 2021 Deferred Tax Asset $ 1,969,764 $ 1,948,124 Valuation Allowance (1,969,764 ) (1,948,424 ) Deferred Tax Asset (net) $ - $ - The Company is subject to tax in the U.S. federal and Washington jurisdictions. These filings are subject to a three-year statute of limitations unless the returns have not been filed at which point the statute of limitations becomes indefinite. No filings are currently under examination. No adjustments have been made to reduce the estimated income tax benefit at year end. Any valuations relating to these income tax provisions will comply with U.S. generally Accepted Accounting principles. |
NOTES PAYABLE AND DERIVATIVE LI
NOTES PAYABLE AND DERIVATIVE LIABILITIES | 9 Months Ended |
Sep. 30, 2022 | |
NOTES PAYABLE AND DERIVATIVE LIABILITIES | |
NOTES PAYABLE AND DERIVATIVE LIABILITIES | NOTE 8 - NOTES PAYABLE AND DERIVATIVE LIABILITIES On June 25, 2020, the company issued a 12-month Convertible Note for the sum of $30,000 to Shmeul Rotbard at 8%. Convertible at $0.008. No beneficial conversion was recognized as the conversion price was higher than the stock price. On November 5, 2021, the company issued a 12-month Convertible Note for the sum of $55,000 to Sixth Street Lending at 6%. Convertible at 65% of the averaged 3 lowest trading prices during the prior 15 day trading period. We recognized a derivative liability in the amount of $117,851 as a result. On December 28, 2021, the company issued a 12-month Convertible Note for the sum of $38,000 to Sixth Street Lending at 10%. Convertible at 65% of the averaged 3 lowest trading prices during the prior 15 day trading period. We recognized a derivative liability in the amount of $79,868 as a result. On July 15, 2022, the company issued a 24-month Convertible Note for the sum of $1,050,000 to RB Capital at 8%. Convertible at $0.05. This Note is a result of the consolidation of (21) previous Notes which have a total of 1,050,000, inclusive of accrued interest. These (21) Notes have various dates ranging from February 2, 2018, up to and including October 5, 2021. On July 11, 2022, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.02. No beneficial conversion was recognized as the conversion price was higher than the stock price. On September 27, 2022, the company issued a 12-month Convertible Note for the sum of $50,000 to RB Capital at 10%. Convertible at $0.02. No beneficial conversion was recognized as the conversion price was higher than the stock price. As a result of the convertible notes we recognized the embedded derivative liability on the date that the note was convertible. We also revalued the remaining derivative liability on the outstanding note balance on the date of the balance sheet. The inputs used were a weighted volatility of 286% and a risk-free discount rate of 2.44% The convertible notes have interest rates that range from 8% to 12% per annum and default rates that range from 12% to 24% per annum. The maturity dates range from six months to one year. The conversion rates range from 55% discount to the market to 62% discount to the market. As of September 30, 2022, there were twenty-three convertible notes outstanding, The remaining derivative liabilities valued using the level 3 inputs in the fair value hierarchy were: September 30, 2022 December 31, 2021 Derivative Liabilities on Convertible Loans: Outstanding Balance 113,948 295,306 |
COMMITMENTS
COMMITMENTS | 9 Months Ended |
Sep. 30, 2022 | |
COMMITMENTS | |
COMMITMENTS | NOTE 9 - COMMITMENTS The company maintains a month-to-month lease agreement on a 8,000 sq. ft. facility located in outer Goldendale and monthly lease cost is $2,000. The total lease payments for the three and nine months ended September 30, 2022 were $6,000 and 12,000 respectively. As of September 30, 2022 the company has not remitted all of the backup withholdings, which could result in material trust-fund penalties from the internal revenue service. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2022 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | NOTE 10 - SUBSEQUENT EVENTS Subsequent to September 30, 2022 end on November 15, 2022 Auscrete obtained a line of credit from RB Capital of $100,000 at 8% interest. In accordance with ASC 855, the Company has analyzed its operations subsequent to September 30, 2022 through the date these financial statements were issued, and has determined that there were no material subsequent events to disclose in these financial statements, other than referenced above. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
HISTORY | Auscrete Corporation (“the Company”) was formed as an enterprise to take advantage of technologies developed for the construction of affordable, thermally efficient and structurally superior housing. This “GREEN” product is the culmination of design and development since the early 1980’s. The company’s Registration Statement outlines the result of the amalgamation of various material development stages, taking an idea to a product and further developing that product to address an ongoing problem in the world’s largest marketplace, the quest for affordable, efficient and enduring housing. Auscrete’s structures are monetarily highly competitive. A turnkey house, ready to move in sells for around $100-110 per square foot. That is very low in today’s market but is brought about by Auscrete’s ability to manufacture large panels in mass production format. The house is virtually “fastened” together on site to produce an attractive site-built home, a home that will stay where it is put through all kinds of adverse weather and age conditions. It will not burn, is not affected by bugs, termites or rot, it saves extensively on energy costs and has very low maintenance needs. |
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | The summary of significant accounting policies of Auscrete Corporation is presented to assist in the understanding of the Company’s financial statements. The financial statements and notes are representations of the Company’s management, who is responsible for their integrity and objectivity. The financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). The financial statements are presented in condensed format and should be read in conjunction with the audited financial statement on the form 10-K for the year ended December 31, 2021. |
INCOME TAXES | On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2018. The Company will compute its income tax expense for the year ended December 31, 2021 using a Federal Tax Rate of 21%. Income taxes are provided based upon the liability method of accounting pursuant to ASC 740-10-25 Income Taxes – Recognition. |
CASH AND CASH EQUIVALENTS | Cash and cash equivalents consist primarily of cash in banks and highly liquid investments with original maturities of 90 days or less. There were $17,781 cash equivalents as of September 30, 2022, and $0 as of December 31, 2021. |
Fair Value Measurements | The Company adopted guidance which defines fair value, establishes a framework for using fair value to measure financial assets and liabilities on a recurring basis, and expands disclosures about fair value measurements. The guidance establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent sources. Unobservable inputs are inputs that reflect the Company’s assumptions of what market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of the inputs as follows: Level 1 - Valuation is based upon unadjusted quoted market prices for identical assets or liabilities in accessible active markets. Level 2 - Valuation is based upon quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; or valuations based on models where the significant inputs are observable in the market. Level 3 - Valuation is based on models where significant inputs are not observable. The unobservable inputs reflect a company’s own assumptions about the inputs that market participants would use. The Company’s financial instruments consist of cash, prepaid expenses, inventory, accounts payable, convertible notes payable, advances from related parties, and derivative liabilities. The estimated fair value of cash, prepaid expenses, investments, accounts payable, convertible notes payable and advances from related parties approximate their carrying amounts due to the short-term nature of these instruments. The Company’s derivative liabilities have been valued as Level 3 instruments. Level 1 Level 2 Level 3 Total Fair value of convertible notes derivative liability – September 30, 2022 $ - $ - $ 113,948 $ 113,948 Fair value of convertible notes derivative liability – September 30, 2022 Level 1 Level 2 Level 3 Total Fair value of convertible notes derivative liability – December 31, 2021 $ - $ - $ 295,306 $ 295,306 Fair value of convertible notes derivative liability – December 31, 2021 |
REVENUE RECOGNITION POLICY | The Company recognizes revenue under ASU No. 2014-09, ”Revenue from Contracts with Customers (Topic 606),” · Identify the contract with the customer · Identify the performance obligations in the contract · Determine the transaction price · Allocate the transaction price to the performance obligations in the contract · Recognize revenue when the company satisfies a performance obligation For the three and nine months ended September 30, 2022, the Company received a deposit from a customer resulting in a deferred revenue balance of $11,250. |
COST OF SALES | Amounts that will be recorded as cost of sales relate to direct expenses incurred in order to fulfill orders of our products. Such costs are recorded as incurred. Our cost of sales will consist primarily of the cost of product, labor and selling costs and and does not include G&A expenses. |
PROPERTY AND EQUIPMENT | Property and Equipment was stated at historical cost less Accumulated depreciation and amortization. Cost represents the purchase price of the asset and other costs incurred to bring the asset into its existing use. Depreciation is provided on a straight-line basis over the assets’ estimated useful lives. The useful lives of the assets are as follows: equipment 7-years, vehicles 7-years, and buildings 30-years. Additions and improvements are capitalized while routine repairs and maintenance are charged to expense as incurred. Upon sale or disposition, the historically recorded asset cost and Accumulated depreciation are removed from the Accounts and the net amount less proceeds from disposal is charged or credited to other income or expense. |
IMPAIRMENT OF LONG-LIVED ASSETS | We evaluate long-lived assets for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate their net book value may not be recoverable. When these events occur, we compare the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amount. Impairment, if any, is based on the excess of the carrying amount over the fair value, based on market value when available, or discounted expected cash flows, of those assets and is recorded in the period in which the determination is made. There can be no assurance, however, that market conditions will not change or demand for the Company’s products will continue. Either of these could result in the future impairment of long-lived assets. Estimates of fair value are determined through various techniques, including discounted cash flow models and market approaches, as considered necessary. |
LOSS PER COMMON SHARE | Basic loss per common share is computed based upon the weighted average number of common shares outstanding during the period. Diluted earnings per share consists of the weighted average number of common shares outstanding plus the dilutive effects of options and warrants calculated using the treasury stock method. In loss periods, dilutive common equivalent shares are excluded as the effect would be anti-dilutive. It is estimated that the Company will issue approximately 76,000 as a result of conversion of notes. The company also has 2,000,000 in outstanding common stock warrants. Fully diluted weighted average common shares and equivalents were withheld from the calculation as they were considered anti-dilutive. |
RECLASSIFICATION | Certain amounts in the prior period financial statements have been reclassified to conform to the current period presentation. These reclassifications had no effect on reported income, total assets, or stockholders’ equity as previously reported. |
USE OF ESTIMATES | The preparation of the financial statements in conformity with generally Accepted Accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates and assumptions. |
EMERGING GROWTH COMPANY | The Company qualifies as an Emerging Growth Company, thus takes advantage of the 1-year deferral period for the adoption of all new accounting standards updates. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Schedule of Fair Value Measurement | Level 1 Level 2 Level 3 Total Fair value of convertible notes derivative liability – September 30, 2022 $ - $ - $ 113,948 $ 113,948 Level 1 Level 2 Level 3 Total Fair value of convertible notes derivative liability – December 31, 2021 $ - $ - $ 295,306 $ 295,306 |
PROPERTY, INVENTORY AND EQUIP_2
PROPERTY, INVENTORY AND EQUIPMENT (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
PROPERTY, INVENTORY AND EQUIPMENT | |
Schedule of Property and Equipment | September 30, 2022 December 31, 2021 Capital Equipment $ 80,554 $ 80,554 Vehicles 6,344 6,344 Accumulated Depreciation (55,661 ) (46,705 ) Net Fixed Assets $ 31,237 $ 40,193 |
EQUITY (Tables)
EQUITY (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
EQUITY | |
Schedule of shares outstanding | NAME ADDRESS Number of Shares 1. John Sprovieri PO Box 813, Rufus, OR 97050 40,675,897 2. CEDE & Company 570 Washington Blvd. 5th. Floor, Jersey City, NJ 07310 2,084,557 3. Kathleen D Jett PO Box 846, 618 W. First Street, Rufus, OR 97050. 6,025,352 4. Kimberly Grimm 15011 SE Mt Royale Ct. Milwaukie, OR 97267. 3,275,120 5. Michael Young 4405 H’way 30, The Dalles, OR.. 1,100,000 6. William S Beers PO Box 825, Rufus, OR 97058 1,110,200 |
Schedule of warrants issued | Warrants - Common Share Equivalents Weighted Average Exercise price Warrants exercisable - Common Share Equivalents Weighted Average Exercise price Outstanding December 31, 2020 - $ - - $ - Additions Granted 2,000,000 0.30 2,000,000.00 0.30 Expired - - - Exercised - - - - Outstanding December 31, 2021 2,000,000 $ 0.30 2,000,000 $ 0.30 Additions Granted - - - Expired (2,000,000 ) - (2,000,000 ) Exercised - - - - Outstanding September 30, 2022 - $ - - $ - |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
INCOME TAXES | |
Schedule of Shares Issued for service compensation | September 30, 2022 December 31, 2021 Deferred Tax Asset $ 1,969,764 $ 1,948,124 Valuation Allowance (1,969,764 ) (1,948,424 ) Deferred Tax Asset (net) $ - $ - |
NOTES PAYABLE AND DERIVATIVE _2
NOTES PAYABLE AND DERIVATIVE LIABILITIES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
NOTES PAYABLE AND DERIVATIVE LIABILITIES | |
Schedule of derivative liabilities | September 30, 2022 December 31, 2021 Derivative Liabilities on Convertible Loans: Outstanding Balance 113,948 295,306 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
Fair value of convertible notes derivative liability | $ 113,948 | $ 295,306 |
Level 1 | ||
Fair value of convertible notes derivative liability | 0 | 0 |
Level 2 | ||
Fair value of convertible notes derivative liability | 0 | 0 |
Level 3 | ||
Fair value of convertible notes derivative liability | $ 113,948 | $ 295,306 |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2022 | Dec. 31, 2021 | |
Cash and cash equivalents | $ 17,781 | $ 17,781 | $ 0 |
Federal Statutory Income Tax Rate, Percent | 21% | ||
Shares issuable upon conversion of note, shares | 76,000 | 76,000 | |
Warrants outstanding | 2,000,000 | 2,000,000 | |
Revenue | $ 11,250 | $ 11,250 | |
Description of federal corporate income tax rate | On December 22, 2017 H.R. 1, originally known as the Tax Cuts and Jobs Act, (the “Tax Act”) was enacted. Among the significant changes to the U.S. Internal Revenue Code, the Tax Act lowers the U.S. federal corporate income tax rate (“Federal Tax Rate”) from 35% to 21% effective January 1, 2018 | ||
Equipment | |||
Estimated useful life of asset | 7 years | ||
Vehicle | |||
Estimated useful life of asset | 7 years | ||
Buildings | |||
Estimated useful life of asset | 30 years |
GOING CONCERN AND PLAN OF OPE_2
GOING CONCERN AND PLAN OF OPERATION (Details Narrative) | Sep. 30, 2022 USD ($) |
GOING CONCERN AND PLAN OF OPERATION (Details Narrative) | |
Accumulated deficit | $ 13,258,835 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
John Sprovieri [Member] | ||
Due to related party | $ 0 | $ 0 |
PROPERTY INVENTORY AND EQUIPMEN
PROPERTY INVENTORY AND EQUIPMENT (Details) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
Accumulated Depreciation | $ (55,661) | $ (46,705) |
Net Fixed Assets | 31,237 | 40,193 |
Vehicle | ||
Property and Equipment | 6,344 | 6,344 |
Capital Equipments | ||
Property and Equipment | $ 80,554 | $ 80,554 |
PROPERTY INVENTORY AND EQUIPM_2
PROPERTY INVENTORY AND EQUIPMENT (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
PROPERTY, INVENTORY AND EQUIPMENT | |||||
Depreciation expenses | $ 2,985 | $ 2,985 | $ 8,955 | $ 8,955 | |
Inventory | $ 6,197 | $ 6,197 | $ 6,197 |
EQUITY (Details)
EQUITY (Details) | 9 Months Ended |
Sep. 30, 2022 shares | |
John Sprovieri [Member] | |
Number of Shares | 40,675,897 |
Description of number of shares address | PO Box 813, Rufus, OR 97050 |
CEDE & Company [Member] | |
Number of Shares | 2,084,557 |
Description of number of shares address | 570 Washington Blvd. 5th. Floor, Jersey City, NJ 07310 |
Kathleen D Jett [Member] | |
Number of Shares | 6,025,352 |
Description of number of shares address | PO Box 846, 618 W. First Street, Rufus, OR 97050 |
Kimberly Grimm [Member] | |
Number of Shares | 3,275,120 |
Description of number of shares address | 15011 SE Mt Royale Ct. Milwaukie, OR 97267 |
Michael Young [Member] | |
Number of Shares | 1,100,000 |
Description of number of shares address | 4405 H’way 30, The Dalles, OR |
William S Beers [Member] | |
Number of Shares | 1,110,200 |
Description of number of shares address | PO Box 825, Rufus, OR 97058 |
EQUITY (Details 1)
EQUITY (Details 1) - Warrants [Member] - $ / shares | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 | Dec. 31, 2021 | |
Warrants - Common Share Equivalents Beginning | 2,000,000 | 0 |
Warrants - Common Share Equivalents Granted | 0 | 2,000,000 |
Warrants - Common Share Equivalent Expired | (2,000,000) | 0 |
Warrants - Common Share Equivalents Exercised | 0 | 0 |
Warrants - Common Share Equivalents Ending | 0 | 2,000,000 |
Weighted Average Exercise price begninng | $ 0.30 | $ 0 |
Weighted Average Exercise price Granted | 0 | 0.30 |
Weighted Average Exercise price expired | 0 | 0 |
Weighted Average Exercise price Exercised | 0 | 0 |
Weighted Average Exercise price Ending | $ 0 | $ 0.30 |
Warrants exercisable - Common Share Equivalents Beginning | 2,000,000 | 0 |
Warrants exercisable - Common Share Equivalents Granted | 0 | 2,000,000 |
Warrants exercisable - Common Share Equivalents Expired | (2,000,000) | 0 |
Warrants exercisable - Common Share Equivalents Exercised | 0 | 0 |
Warrants exercisable - Common Share Equivalents Ending | 0 | 2,000,000 |
Weighted Average Exercise price (Exercisable) Beginning | $ 0.30 | $ 0 |
Weighted Average Exercise price (Exercisable) Granted | 0.30 | |
Weighted Average Exercise price (Exercisable) Exercised | 0 | 0 |
Weighted Average Exercise price (Exercisable) Ending | $ 0 | $ 0.30 |
EQUITY (Details Narrative)
EQUITY (Details Narrative) - USD ($) | 1 Months Ended | 9 Months Ended | |
Feb. 22, 2021 | May 28, 2019 | Sep. 30, 2022 | |
Deemed dividend | $ 12,600 | ||
Note conversion, shares | 1,882,899 | ||
Reverse stock split | 40 for 1 | ||
Crown Bridge Partners, LLC [Member] | |||
Number of shares issuance of concertible promissory note Shares | 2,000,000 | ||
Number of shares issuance of concertible promissory note Amount | $ 27,500 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
INCOME TAXES | ||
Deferred Tax Asset | $ 1,969,764 | $ 1,948,124 |
Valuation Allowance | (1,969,764) | (1,948,424) |
Deferred Tax Asset (net) | $ 0 | $ 0 |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) - USD ($) | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
INCOME TAXES | |||
Shares issued under post-split roll back numbers issued for service compensation, shares | 53,238,652 | 1,250,000 | |
statutory rate | 21% | ||
Net operating loss carryforward | $ (9,379,827) | ||
Deferred tax assets | $ 1,969,764 | ||
Description of deffered tax asset | The deferred tax asset may be recognized in future periods, not to exceed 20 years for 2020 and prior and post 2018 are indefinite | ||
Valuation allowances | $ (1,969,764) | ||
Share based compensation expense | $ 2,683,226 | $ 1,150,000 |
NOTES PAYABLE AND DERIVATIVE _3
NOTES PAYABLE AND DERIVATIVE LIABILITIES (Details) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
NOTES PAYABLE AND DERIVATIVE LIABILITIES | ||
Outstanding Balance | $ 113,948 | $ 295,306 |
NOTES PAYABLE AND DERIVATIVE _4
NOTES PAYABLE AND DERIVATIVE LIABILITIES (Details Narrative) | 9 Months Ended |
Sep. 30, 2022 USD ($) $ / shares | |
Volatility rate | 286% |
Risk free rate | 2.44% |
Terms of maturity conversation | The conversion rates range from 55% discount to the market to 62% discount to the market |
Minimum [Member] | |
Convertible notes interest rates | 8% |
Default rates range | 12% |
Maximum [Member] | |
Convertible notes interest rates | 12% |
Default rates range | 24% |
July 11, 2022 [Member] | RB Capital [Member] | |
Converted instrument rate | 10% |
Convertible notes payable | $ 50,000 |
Debt convertible conversation price | $ / shares | $ 0.02 |
June 25, 2020 [Member] | Shmeul Rotbard [Member] | |
Converted instrument rate | 8% |
Convertible notes payable | $ 30,000 |
Debt convertible conversation price | $ / shares | $ 0.008 |
December 28, 2021 [Member] | Sixth Street Lending [Member] | |
Converted instrument rate | 10% |
Convertible notes payable | $ 38,000 |
Debt convertible conversation | 65% |
Derivative liability | $ 79,868 |
September 27, 2022 [Member] | RB Capital [Member] | |
Converted instrument rate | 10% |
Convertible notes payable | $ 50,000 |
Debt convertible conversation price | $ / shares | $ 0.02 |
November 5, 2021 [Member] | Sixth Street Lending [Member] | |
Converted instrument rate | 6% |
Convertible notes payable | $ 55,000 |
Debt convertible conversation | 65% |
Derivative liability | $ 117,851 |
July 15, 2022 [Member] | RB Capital [Member] | |
Converted instrument rate | 8% |
Convertible notes payable | $ 1,050,000 |
Debt convertible conversation price | $ / shares | $ 0.05 |
Accrued interest | $ 1,050,000 |
COMMITMENTS (Details Narrative)
COMMITMENTS (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2022 | Sep. 30, 2022 | |
COMMITMENTS | ||
Total lease payment | $ 6,000 | $ 12,000 |
Description of lease agreement | The company maintains a month-to-month lease agreement on a 8,000 sq. ft. facility located in outer Goldendale and monthly lease cost is $2,000 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - RB Capital Partners [Member] - Subsequent Event [Member] | 1 Months Ended |
Nov. 15, 2022 USD ($) | |
Line of credit | $ 100,000 |
Interest on Line of credit | 8% |