Hypha Labs (FUNI) 10-Q 14 Feb 20 2020 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Dec. 31, 2019	Feb. 12, 2020
Document And Entity Information
Entity Registrant Name	Digipath, Inc.
Entity Central Index Key	0001502966
Document Type	10-Q
Document Period End Date	Dec. 31, 2019
Amendment Flag	false
Current Fiscal Year End Date	--09-30
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business Flag	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		49,657,666
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2020

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Current assets:
Cash	$ 68,657	$ 323,739
Accounts receivable, net	282,068	179,256
Other current assets	54,957	74,620
Inventory	37,900
Deposits	25,647	51,704
Total current assets	469,229	629,319
Right-of-use asset	289,867
Fixed assets, net	1,137,179	726,614
Total Assets	1,896,275	1,355,933
Current liabilities:
Accounts payable	214,454	136,612
Accrued expenses	85,934	134,881
Short term advances	25,000
Current portion of operating lease liabilities	196,069
Current portion of finance lease liabilities	29,771
Current maturities of note payable	52,030
Convertible notes payable, net of discounts of $33,105 and $-0- at December 31, 2019 and September 30, 2019, respectively	666,895	200,000
Total current liabilities	1,270,153	471,493
Operating lease liabilities	94,777
Finance lease liabilities	43,578
Note payable, equipment financing	239,901
Convertible notes payable, net of discounts of $-0- and $41,426 at December 31, 2019 and September 30, 2019, respectively		458,574
Total Liabilities	1,648,409	930,067
Stockholders' Equity:
Series A convertible preferred stock, $0.001 par value, 10,000,000 shares authorized; 1,325,942 shares issued and outstanding	1,326	1,326
Common stock, $0.001 par value, 250,000,000 shares authorized; 48,532,666 and 48,361,433 shares issued and outstanding at December 31, 2019 and September 30, 2019, respectively	48,533	48,361
Additional paid-in capital	15,374,094	15,331,839
Accumulated (deficit)	(15,176,087)	(14,955,660)
Total Stockholders' Equity	247,866	425,866
Total Liabilities and Stockholders' Equity	$ 1,896,275	$ 1,355,933

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Statement of Financial Position [Abstract]
Convertible notes payable discounts current	$ 33,105	$ 0
Convertible notes payable discounts noncurrent	$ 0	$ 41,426
Series A convertible preferred stock, par value	$ 0.001	$ 0.001
Series A convertible preferred stock, shares authorized	10,000,000	10,000,000
Series A convertible preferred stock, shares issued	1,325,942	1,325,942
Series A convertible preferred stock, shares outstanding	1,325,942	1,325,942
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	48,532,666	48,361,433
Common stock, shares outstanding	48,532,666	48,361,433

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Income Statement [Abstract]
Revenues	$ 808,930	$ 642,115
Cost of sales	405,481	482,320
Gross profit	403,449	159,795
Operating expenses:
General and administrative	388,432	390,471
Professional fees	183,633	246,580
Bad debts expense	43,250	24,565
Total operating expenses	615,315	661,616
Operating loss	(211,866)	(501,821)
Other income (expense):
Other income	21,000	50,400
Interest expense	(29,561)	(10,753)
Total other income (expense)	(8,561)	39,647
Net loss	$ (220,427)	$ (462,174)
Weighted average number of common shares outstanding - basic and fully diluted	48,372,600	42,708,641
Net loss per share - basic and fully diluted	$ 0	$ (0.01)

Consolidated Statement of Stock

Consolidated Statement of Stockholders' Equity (Unaudited) - USD ($)	Series A Convertible Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated (Deficit) [Member]	Total
Balance at Sep. 30, 2018	$ 1,426	$ 42,245	$ 14,121,236	$ (13,150,328)	$ 1,014,579
Balance, shares at Sep. 30, 2018	1,425,942	42,245,364
Common stock issued for services		$ 1,012	148,264		149,276
Common stock issued for services, shares		1,011,913
Common stock options issued for services			6,559		6,559
Conversion of preferred stock to common stock	$ (100)	$ 500	(400)
Conversion of preferred stock to common stock, shares	(100,000)	500,000
Beneficial conversion feature of convertible debts			70,964		70,964
Net loss				(462,174)	(462,174)
Balance at Dec. 31, 2018	$ 1,326	$ 43,757	14,346,623	(13,612,502)	779,204
Balance, shares at Dec. 31, 2018	1,325,942	43,757,277
Balance at Sep. 30, 2019	$ 1,326	$ 48,361	15,331,839	(14,955,660)	425,866
Balance, shares at Sep. 30, 2019	1,325,942	48,361,433
Common stock issued for services		$ 172	24,578		24,750
Common stock issued for services, shares		171,233
Common stock options issued for services			17,677		17,677
Net loss				(220,427)	(220,427)
Balance at Dec. 31, 2019	$ 1,326	$ 48,533	$ 15,374,094	$ (15,176,087)	$ 247,866
Balance, shares at Dec. 31, 2019	1,325,942	48,532,666

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Cash flows from operating activities
Net loss	$ (220,427)	$ (462,174)
Adjustments to reconcile net loss to net cash used in operating activities:
Change in allowance for doubtful accounts	43,250	24,565
Depreciation and amortization expense	70,874	64,381
Stock issued for services	24,750	149,276
Options and warrants granted for services	17,677	6,559
Amortization of debt discounts	8,321	4,846
Decrease (increase) in assets:
Accounts receivable	(146,062)	(107,576)
Other current assets	19,663	15,432
Inventory	(37,900)
Deposits	26,057
Right-of-use assets	47,376
Increase (decrease) in liabilities:
Accounts payable	77,842	(47,455)
Accrued expenses	(48,947)	(15,316)
Lease liabilities	(46,398)
Deferred revenues		1,225
Net cash used in operating activities	(163,924)	(366,237)
Cash flows from investing activities
Purchase of fixed assets	(90,315)
Advance of note receivable		(50,000)
Net cash used in investing activities	(90,315)	(50,000)
Cash flows from financing activities
Proceeds from short term advances	25,000
Principal payments on finance lease	(25,843)
Proceeds from convertible notes		500,000
Net cash provided by (used in) financing activities	(843)	500,000
Net increase (decrease) in cash	(255,082)	83,763
Cash - beginning	323,739	176,027
Cash - ending	68,657	259,790
Supplemental disclosures:
Interest paid	7,125
Income taxes paid
Non-cash investing and financing activities:
Fixed assets acquired with capitalized finance lease	99,193
Fixed assets acquired with note payable, equipment financing	291,931
Value of preferred stock converted to common stock		100,000
Beneficial conversion feature of convertible notes payable		$ 70,964

Organization, Basis of Presenta

Organization, Basis of Presentation and Significant Accounting Policies	3 Months Ended
	Dec. 31, 2019
Accounting Policies [Abstract]
Organization, Basis of Presentation and Significant Accounting Policies	Note 1 – Organization, Basis of Presentation and Significant Accounting Policies Organization Digipath, Inc. was incorporated in Nevada on October 5, 2010. Digipath, Inc. and its subsidiaries (“Digipath,” the “Company,” “we,” “our” or “us”) is a service-oriented independent testing laboratory, data analytics and media firm focused on the developing cannabis and hemp markets, and supports the cannabis industry’s best practices for reliable testing, cannabis education and training. Our business units are described below. Ø Digipath Labs, Inc Ø GroSciences, Inc Basis of Presentation The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Intercompany accounts and transactions have been eliminated. The unaudited condensed consolidated financial statements of the Company and the accompanying notes included in this Quarterly Report on Form 10-Q are unaudited. In the opinion of management, all adjustments necessary for a fair presentation of the Condensed Consolidated Financial Statements have been included. Such adjustments are of a normal, recurring nature. The Condensed Consolidated Financial Statements, and the accompanying notes, are prepared in accordance with GAAP and do not contain certain information included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2019. The interim Condensed Consolidated Financial Statements should be read in conjunction with that Annual Report on Form 10-K. Results for the interim periods presented are not necessarily indicative of the results that might be expected for the entire fiscal year. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the following entities, all of which were under common control and ownership at December 31, 2019: Jurisdiction of Name of Entity (1) Incorporation Relationship Digipath, Inc. (2) Nevada Parent Digipath Labs, Inc. Nevada Subsidiary TNM News, Inc. Nevada Subsidiary GroSciences, Inc. (3) Colorado Subsidiary Digipath Labs S.A.S. (4) Colombia Subsidiary (1) (2) (3) (4) The consolidated financial statements herein contain the operations of the wholly-owned subsidiaries listed above. All significant inter-company transactions have been eliminated in the preparation of these financial statements. The parent company and subsidiaries will be collectively referred to herein as the “Company”, “Digipath” or “DIGP”. The Company’s headquarters are located in Las Vegas, Nevada and substantially all of its customers are within the United States. These statements reflect all adjustments, consisting of normal recurring adjustments, which in the opinion of management are necessary for fair presentation of the information contained therein. Segment Reporting ASC Topic 280, “Segment Reporting,” requires use of the “management approach” model for segment reporting. The management approach model is based on the way a company’s management organizes segments within the company for making operating decisions and assessing performance. The Company operates as a single segment and will evaluate additional segment disclosure requirements as it expands its operations. Fair Value of Financial Instruments Under FASB ASC 820-10-05, the Financial Accounting Standards Board establishes a framework for measuring fair value in generally accepted accounting principles and expands disclosures about fair value measurements. This Statement reaffirms that fair value is the relevant measurement attribute. The adoption of this standard did not have a material effect on the Company’s financial statements as reflected herein. The carrying amounts of cash, accounts receivable, accounts payable and accrued expenses reported on the balance sheets are estimated by management to approximate fair value primarily due to the short-term nature of the instruments. Revenue Recognition The Company recognizes revenue in accordance with ASC 606 — Revenue from Contracts with Customers. Under ASC 606, the Company recognizes revenue from the sale of lab testing services through our subsidiary Digipath Labs, Inc. Revenue is primarily generated through our subsidiary, Digipath Labs, Inc., which recognizes revenue from the analytical testing of cannabis products for licensed producers and cultivators within the state of Nevada on a determinable fixed fee per test, or panel of tests basis. Revenue from the performance of those services is recognized upon completion of the tests, at which time test results are delivered to the customer, provided collectability of the fee is reasonably assured. We typically require payment within thirty days of the delivery of results. Management estimates an allowance for doubtful accounts based on the aging of its receivables. Inventory Inventories are stated at the lower of cost or market. Cost is determined on a standard cost basis that approximates the first-in, first-out (FIFO) method. Market is determined based on net realizable value. Appropriate consideration is given to obsolescence, excessive levels, deterioration, and other factors in evaluating net realizable value. Our products consist of handheld devices used to test cannabis for THC, CBD and CBG levels under our GroSciences, Inc. subsidiary. We have not yet commenced sales of this product. Stock-Based Compensation The Company accounts for equity instruments issued to employees in accordance with the provisions of ASC 718 Stock Compensation (ASC 718) and Equity-Based Payments to Non-employees pursuant to ASC 505-50 (ASC 505-50). All transactions in which goods or services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable. The measurement date of the fair value of the equity instrument issued is the earlier of the date on which the counterparty’s performance is complete or the date at which a commitment for performance by the counterparty to earn the equity instruments is reached because of sufficiently large disincentives for nonperformance. Adoption of New Accounting Standards and Recently Issued Accounting Pronouncements In June 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-07, Compensation-Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting In February 2016, the FASB established Topic 842, Leases Targeted Improvements Codification Improvements to Topic 842 Land Easement Practical Expedient for Transition to Topic 842 The new standard became effective for fiscal years beginning after December 15, 2019, with early adoption permitted. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. An entity may choose to use either (1) its effective date or (2) the beginning of the earliest comparative period presented in the financial statements as its date of initial application. If an entity chooses the second option, the transition requirements for existing leases also apply to leases entered into between the date of initial application and the effective date. The entity must also recast its comparative period financial statements and provide the disclosures required by the new standard for the comparative periods. The Company adopted the new standard on October 1, 2019 using the modified retrospective transition approach as of the effective date of the initial application. Consequently, financial information will not be updated and the disclosures required under the new standard will not be provided for dates and periods before October 1, 2019. The new standard provides a number of optional practical expedients in transition. The Company elected the “package of practical expedients”, which permits entities not to reassess under the new lease standard prior conclusions about lease identification, lease classification and initial direct costs. The Company does not expect to elect the use-of-hindsight or the practical expedient pertaining to land easements. The most significant effects of the adoption of the new standard relate to the recognition of new ROU assets and lease labilities on our balance sheet for office operating leases and providing significant new disclosures about our leasing activities. The new standard also provides practical expedients for an entity’s ongoing accounting. The Company has also elected the short-term leases recognition exemption for all leases that qualify. This means that the Company will not recognize ROU assets or lease liabilities, and this includes not recognizing ROU assets and lease liabilities, for existing short-term leases of those assets in transition. The Company also currently expects to elect the practical expedient to not separate lease and non-lease components for its leases. The new standard did not have a material impact. There are no other recently issued accounting pronouncements that the Company has yet to adopt that are expected to have a material effect on its financial position, results of operations, or cash flows.

Going Concern

Going Concern	3 Months Ended
	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Going Concern	Note 2 – Going Concern As shown in the accompanying condensed consolidated financial statements, the Company has incurred recurring losses from operations resulting in an accumulated deficit of $15,176,087, and as of December 31, 2019, the Company’s cash on hand may not be sufficient to sustain operations. These factors raise substantial doubt about the Company’s ability to continue as a going concern. Management is actively pursuing new customers to increase revenues. In addition, the Company is currently seeking additional sources of capital to fund short term operations. Management believes these factors will contribute toward achieving profitability. The accompanying consolidated financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. The consolidated financial statements do not include any adjustments that might result from the outcome of any uncertainty as to the Company’s ability to continue as a going concern. These financial statements also do not include any adjustments relating to the recoverability and classification of recorded asset amounts, or amounts and classifications of liabilities that might be necessary should the Company be unable to continue as a going concern.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	3 Months Ended
	Dec. 31, 2019
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	Note 3 – Fair Value of Financial Instruments Under FASB ASC 820-10-5, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). The standard outlines a valuation framework and creates a fair value hierarchy in order to increase the consistency and comparability of fair value measurements and the related disclosures. Under GAAP, certain assets and liabilities must be measured at fair value, and FASB ASC 820-10-50 details the disclosures that are required for items measured at fair value. The Company has certain financial instruments that must be measured under the new fair value standard. The Company’s financial assets and liabilities are measured using inputs from the three levels of the fair value hierarchy. The three levels are as follows: Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 - Inputs include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (e.g., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). Level 3 - Unobservable inputs that reflect our assumptions about the assumptions that market participants would use in pricing the asset or liability. The following schedule summarizes the valuation of financial instruments at fair value on a recurring basis in the balance sheets as of December 31, 2019 and September 30, 2019, respectively: Fair Value Measurements at December 31, 2019 Level 1 Level 2 Level 3 Assets Cash $ 68,657 $ - $ - Total assets 68,657 - - Liabilities Short term advances - 25,000 - Lease liabilities - - 364,195 Note payable, equipment financing - 291,931 - Convertible notes payable, net of discounts of $33,105 - - 666,895 Total liabilities - 316,931 1,031,090 $ 68,657 $ (316,931 ) $ (1,031,090 ) Fair Value Measurements at September 30, 2019 Level 1 Level 2 Level 3 Assets Cash $ 323,739 $ - $ - Total assets 323,739 - - Liabilities Convertible notes payable, net of discounts of $41,426 - - 658,574 Total liabilities - - 658,574 $ 323,739 $ - $ (658,574 ) The fair value of our intellectual properties are deemed to approximate book value, and are considered Level 3 inputs as defined by ASC Topic 820-10-35. Level 3 liabilities consist of a total of $700,000 of convertible debentures, net of discounts of $33,105 and $41,426 as of December 31, 2019 and September 30, 2019, respectively. There were no transfers of financial assets or liabilities between Level 1, Level 2 and Level 3 inputs for the three months ended December 31, 2019 or the year ended September 30, 2019.

Accounts Receivable

Accounts Receivable	3 Months Ended
	Dec. 31, 2019
Receivables [Abstract]
Accounts Receivable	Note 4 – Accounts Receivable Accounts receivable was $282,068 and $179,256 at December 31, 2019 and September 30, 2019, respectively, net of allowance for uncollectible accounts of $93,790 and $50,540 at December 31, 2019 and September 30, 2019, respectively.

Fixed Assets

Fixed Assets	3 Months Ended
	Dec. 31, 2019
Property, Plant and Equipment [Abstract]
Fixed Assets	Note 5 – Fixed Assets Fixed assets consist of the following at December 31, 2019 and September 30, 2019: December 31, September 30, 2019 2019 Software $ 123,492 $ 123,492 Office equipment 57,460 55,061 Furniture and fixtures 29,115 29,115 Lab equipment 1,498,789 1,118,942 Leasehold improvements 494,117 494,117 Lab equipment held under capital leases 99,193 - 2,302,166 1,820,727 Less: accumulated depreciation (1,164,987 ) (1,094,113 ) Total $ 1,137,179 $ 726,614 Depreciation and amortization expense totaled $70,874 and $64,381 for the three months ended December 31, 2019 and 2018, respectively.

Leases

Leases	3 Months Ended
	Dec. 31, 2019
Leases [Abstract]
Leases	Note 6 – Leases The Company’s leases its operating and office facilities, and sub-leases one of the units, under non-cancelable real property lease agreements that expire on May 31, 2021 and June 30, 2021. The Company also has a financing lease for lab equipment subject to the recently adopted ASU 2016-02. In the locations in which it is economically feasible to continue to operate, management expects to enter into a new lease upon expiration. The operating and office facility leases contain provisions requiring payment of property taxes, utilities, insurance, maintenance and other occupancy costs applicable to the leased premise. As the Company’s leases do not provide implicit discount rates, the Company uses an incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The components of lease expense were as follows: For the Three Operating lease cost $ 52,002 Finance lease cost: Amortization of assets 4,960 Interest on lease liabilities 3,306 Sublease income (21,000 ) Total net lease cost $ 39,268 Supplemental balance sheet information related to leases was as follows: December 31, 2019 Operating leases: Operating lease assets $ 289,867 Current portion of operating lease liabilities $ 196,069 Noncurrent operating lease liabilities 94,777 Total operating lease liabilities $ 290,846 Finance lease: Equipment, at cost $ 99,193 Accumulated amortization (4,960 ) Equipment, net $ 94,233 Current portion of finance lease liability $ 29,771 Noncurrent finance lease liability 43,578 Total finance lease liability $ 73,349 Weighted average remaining lease term: Operating leases 1.5 years Finance leases 2.3 years Weighted average discount rate: Operating leases 5.75 % Finance lease 18.41 % Supplemental cash flow and other information related to leases was as follows: For the Three Months Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows provided by sublet operating leases $ 21,000 Operating cash flows used for operating leases $ 51,024 Operating cash flows used for finance leases $ 3,306 Financing cash flows used for finance leases $ 25,843 Leased assets obtained in exchange for lease liabilities: Total operating lease liabilities $ - Total finance lease liabilities $ 99,193 Future minimum annual lease commitments under non-cancelable operating leases are as follows at December 31, 2019: Fiscal Year Ending Minimum Lease Sublease Net Lease September 30, Commitments Income Commitments 2020* $ 155,032 $ 42,000 $ 113,032 2021 148,957 - 148,957 $ 303,989 $ 42,000 $ 261,989 * Liability pertains to the remaining nine month period from January 1, 2020 through September 30, 2020. Future minimum annual lease payments required under the finance lease and the present value of the net minimum lease payments are as follows at December 31, 2019: Finance Leases 2020* $ 30,921 2021 37,105 2022 21,644 Total minimum lease payments 89,670 Less interest 16,321 Present value of lease liabilities 73,349 Less current portion 29,771 Long-term lease liabilities $ 43,578 * Liability pertains to the remaining nine month period from January 1, 2020 through September 30, 2020.

Short Term Advances

Short Term Advances	3 Months Ended
	Dec. 31, 2019
Debt Disclosure [Abstract]
Short Term Advances	Note 7 – Short Term Advances On December 26, 2019, a total of $25,000 was received as a short-term loan from one of our convertible noteholders. The advance was subsequently repaid on February 6, 2020. No interest expense was recognized.

Note Payable, Equipment Financi

Note Payable, Equipment Financing	3 Months Ended
	Dec. 31, 2019
Debt Disclosure [Abstract]
Note Payable, Equipment Financing	Note 8 –Note Payable, Equipment Financing Note payable consists of the following at December 31, 2019 and September 30, 2019, respectively: December 31, September 30, 2019 2019 On December 26, 2019, the Company financed the purchase of $377,124 of lab equipment, in part, with the proceeds of a bank loan in the amount of $291,931. The loan bears interest at the rate of 5.75% per annum and requires monthly payments of $5,622 over the five-year term of the loan ending on December 26, 2024. The Company’s obligations under this loan are secured by a lien on the purchased equipment. $ 291,931 $ - Less: current maturities (52,030 ) - Note payable $ 239,901 $ - The Company recorded interest expense pursuant to the stated interest rate and closing costs on the equipment loan in the amount of $3,819 during the three months ended December 31, 2019.

Convertible Notes Payable

Convertible Notes Payable	3 Months Ended
	Dec. 31, 2019
Debt Disclosure [Abstract]
Convertible Notes Payable	Note 9 – Convertible Notes Payable Convertible notes payable consists of the following at December 31, 2019 and September 30, 2019, respectively: December 31, September 30, 2019 2019 On September 23, 2019, the Company received proceeds of $200,000 on a senior secured convertible note that carries an 8% interest rate, which matures on September 23, 2020. The principal and interest are convertible into shares of common stock at the discretion of the note holder at a fixed conversion price of $0.11 per share. The Company’s obligations under this Note are secured by a lien on the assets of the Company and its wholly-owned subsidiary Digipath Labs, Inc. $ 200,000 $ 200,000 On November 8, 2018, the Company received proceeds of $350,000 on a senior secured convertible note that carries an 8% interest rate, which matures on December 31, 2020. The principal and interest are convertible into shares of common stock at the discretion of the note holder at a fixed conversion price of $0.14 per share. The Company’s obligations under this Note is secured by a lien on the assets of the Company and its wholly-owned subsidiary Digipath Labs, Inc. A total of $4,066 of interest was repaid during the three months ended June 30, 2019. 350,000 350,000 On November 5, 2018, the Company received proceeds of $150,000 on a senior secured convertible note that carries an 8% interest rate, which matures on December 31, 2020. The principal and interest are convertible into shares of common stock at the discretion of the note holder at a fixed conversion price of $0.14 per share. The Company’s obligations under this Note are secured by a lien on the assets of the Company and its wholly-owned subsidiary Digipath Labs, Inc. 150,000 150,000 Total convertible notes payable 700,000 700,000 Less: unamortized debt discounts (33,105 ) (41,426 ) 666,895 658,574 Less: current maturities (666,895 ) (200,000 ) Convertible notes payable $ - $ 458,574 In addition, the Company recognized and measured the embedded beneficial conversion feature present in the convertible notes by allocating a portion of the proceeds equal to the intrinsic value of the feature to additional paid-in-capital. The intrinsic value of the feature was calculated on the commitment date using the effective conversion price of the convertible notes. This intrinsic value is limited to the portion of the proceeds allocated to the convertible debt. The aforementioned accounting treatment resulted in a total debt discount equal to $70,964 during the three months ended December 31, 2018. The discount is amortized on a straight line basis from the dates of issuance until the earlier of the stated redemption date of the debts, as noted above or the actual settlement date. The Company recorded debt amortization expense on the aforementioned debt discount in the amount of $8,321 and $4,846 during the three months ended December 31, 2019 and 2018, respectively. All of the convertible notes limit the maximum number of shares that can be owned by each note holder as a result of the conversions to common stock to 4.99% of the Company’s issued and outstanding shares. The Company recorded interest expense pursuant to the stated interest rates on the convertible notes in the amount of $14,115 and $5,907 for the three months ended December 31, 2019 and 2018, respectively. The Company recognized interest expense for the three months ended December 31, 2019 and 2018, respectively, as follows: December 31, December 31, 2019 2018 Interest on capital leases $ 3,306 $ - Interest on notes payable 3,819 - Amortization of beneficial conversion features 8,321 4,846 Interest on convertible notes 14,115 5,907 Total interest expense $ 29,561 $ 10,753

Changes in Stockholders' Equity

Changes in Stockholders' Equity	3 Months Ended
	Dec. 31, 2019
Equity [Abstract]
Changes in Stockholders' Equity	Note 10 - Changes in Stockholders’ Equity Convertible Preferred Stock The Company is authorized to issue 10,000,000 shares of preferred stock with a par value of $0.001 per share, of which 6,000,000 have been designated as Series A Convertible Preferred Stock (“Series A Preferred”), with the remaining 4,000,000 shares available for designation from time to time by the Board as set forth below. As of December 31, 2019, there were 1,325,942 shares of Series A Preferred issued and outstanding. The Board of Directors is authorized to determine any number of series into which the undesignated shares of preferred stock may be divided and to determine the rights, preferences, privileges and restrictions granted to any series of the preferred stock. Each share of Series A Preferred is currently convertible into five shares of common stock. The conversion price is adjustable in the event of stock splits and other adjustments in the Company’s capitalization, and in the event of certain negative actions undertaken by the Company. At the current conversion price, the 1,325,942 shares of Series A Preferred outstanding at December 31, 2019 are convertible into 6,629,710 shares of the common stock of the Company. No holder is permitted to convert its shares of Series A Preferred if such conversion would cause the holder to beneficially own more than 4.99% of the issued and outstanding common stock of the Company immediately after such conversion, unless waived by such holder by providing at least sixty-five days’ notice. Common Stock Common stock consists of $0.001 par value, 250,000,000 shares authorized, of which 48,532,666 shares were issued and outstanding as of December 31, 2019. Common Stock Issued for Services On December 25, 2019, the Company issued 171,233 shares of common stock to its CFO for services rendered pursuant to his employment agreement. The aggregate fair value of the common stock was $15,000 based on the closing price of the Company’s common stock on the date of grant, and was expensed over the requisite service period. Amortization of Stock-Based Compensation A total of $22,110 of stock-based compensation expense was recognized during the three months ended December 31, 2019 as a result of the issuance of 200,000 shares of common stock to one of our directors, Bruce Raben, on September 12, 2018, as amortized over the requisite service period. As of December 31, 2019, a total of $7,452 of unamortized expenses are expected to be expensed during the remaining fiscal year ended September 30, 2019. A total of $9,750 of stock-based compensation expense was recognized during the three months ended December 31, 2019 as a result of the issuance of 300,000 shares of common stock to a consultant on June 25, 2019, as amortized over the requisite service period. No further unamortized expenses are to be expensed during the remaining requisite service period. A total of $17,677 of stock-based compensation expense was recognized from the amortization of options over their vesting period during the three months ended December 31, 2019.

Common Stock Options

Common Stock Options	3 Months Ended
	Dec. 31, 2019
Share-based Payment Arrangement [Abstract]
Common Stock Options	Note 11 – Common Stock Options Stock Incentive Plan On June 21, 2016, we amended and restated our 2012 Stock Incentive Plan (the “2012 Plan”), which was originally adopted on March 5, 2012 and previously amended on May 20, 2014. As amended, the 2012 Plan provides for the issuance of up to 11,500,000 shares of common stock pursuant to the grant of options or other awards, including stock grants, to employees, officers or directors of, and consultants to, the Company and its subsidiaries. Options granted under the 2012 Plan may either be intended to qualify as incentive stock options under the Internal Revenue Code of 1986, or may be non-qualified options, and are exercisable over periods not exceeding ten years from date of grant. A total of 3,085,000 options were outstanding as of December 31, 2019. During the three months ended December 31, 2019, options to purchase an aggregate total of 3,000,000 shares of common stock at a weighted average exercise price of $0.13 per share expired.

Common Stock Warrants

Common Stock Warrants	3 Months Ended
	Dec. 31, 2019
Equity [Abstract]
Common Stock Warrants	Note 12 – Common Stock Warrants Warrants to purchase a total of 3,417,126 shares of common stock were outstanding as of December 31, 2019.

Other Income (Expense)

Other Income (Expense)	3 Months Ended
	Dec. 31, 2019
Other Income and Expenses [Abstract]
Other Income (Expense)	Note 13 – Other Income (Expense) Other income (expense) for the three months ended December 31, 2019 and 2018 consisted of the following: December 31, 2019 2018 Settlement income on note receivable $ - $ 30,000 Rental income on subleases 21,000 20,400 Interest expense (29,561 ) (10,753 ) $ (8,561 ) $ 39,647 On December 1, 2018, we received $30,000 as full settlement of a Note dated December 17, 2014, consisting of $250,000 of principal and approximately $58,125 of unpaid interest that was previously written off as uncollectible.

Income Tax

Income Tax	3 Months Ended
	Dec. 31, 2019
Income Tax Disclosure [Abstract]
Income Tax	Note 14 - Income Tax The Company accounts for income taxes under FASB ASC 740-10, which requires use of the liability method. FASB ASC 740-10-25 provides that deferred tax assets and liabilities are recorded based on the differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes, referred to as temporary differences. For the three months ended December 31, 2019 and the year ended September 30, 2019, the Company incurred a net operating loss and, accordingly, no provision for income taxes has been recorded. In addition, no benefit for income taxes has been recorded due to the uncertainty of the realization of any tax assets. At December 31, 2019, the Company had approximately $9,200,000 of federal net operating losses. The net operating loss carry forwards, if not utilized, will begin to expire in 2031. Based on the available objective evidence, including the Company’s history of its loss, management believes it is more likely than not that the net deferred tax assets will not be fully realizable. Accordingly, the Company provided for a full valuation allowance against its net deferred tax assets at December 31, 2019 and September 30, 2019, respectively. In accordance with FASB ASC 740, the Company has evaluated its tax positions and determined there are no uncertain tax positions.

Subsequent Events

Subsequent Events	3 Months Ended
	Dec. 31, 2019
Subsequent Events [Abstract]
Subsequent Events	Note 15 – Subsequent Events Common Stock Issuances for Services On January 27, 2020, the Company issued 500,000 shares of common stock to a consultant for investor relations services to be performed from February 1, 2020 through July 31, 2020. The fair value of the common stock was $37,500 based on the closing price of the Company’s common stock on the date of grant, and is being expensed over the requisite service period. Options Issued to Directors for Services On January 29, 2020, Edmond A. DeFrank was appointed to the Company’s Board of Directors, filling the vacancy resulting from the resignation of Dr. Cindy Orser on January 20, 2020. On January 31, 2020, we granted Mr. DeFrank options to purchase 250,000 shares of common stock as compensation for Director services. The options vest immediately as to 62,500 shares and as to an additional 62,500 shares on each of January 31, 2021, January 31, 2022, and January 31, 2023, and are exercisable for a ten-year period at an exercise price of $0.10 per share. The estimated value using the Black-Scholes Pricing Model, based on a volatility rate of 106% and a call option value of $0.0683, was $17,078. The options are being expensed over the vesting period. On January 31, 2020, we granted options to purchase 250,000 shares of common stock as compensation for Director services to Dennis Hartmann. The options vest immediately as to 62,500 shares and as to an additional 62,500 shares on each of January 31, 2021, January 31, 2022, and January 31, 2023, and are exercisable for a ten-year period at an exercise price of $0.10 per share. The estimated value using the Black-Scholes Pricing Model, based on a volatility rate of 106% and a call option value of $0.0683, was $17,078. The options are being expensed over the vesting period. Convertible Note Financing On February 11, 2020, the Company completed the sale to an accredited investor of a 9% Secured Convertible Promissory Note in the principal amount of $150,000. The transaction was effected pursuant to Section 4(a)(2) of the Securities Act of 1933, as amended and Rule 506(b) promulgated thereunder. The Note matures on August 11, 2022, bears interest at a rate of 9% per annum, and is convertible into shares of the Company’s common stock at a conversion price of $0.15 per share. The Company’s obligations under the Note are secured by subordinated lien on the assets of the Company and its wholly-owned subsidiary Digipath Labs, Inc., pursuant to a Security Agreement between the Company, Digipath Labs, Inc. and the investor. On February 10, 2020, the Company completed the sale to an accredited investor of a 9% Secured Convertible Promissory Note in the principal amount of $350,000. The transaction was effected pursuant to Section 4(a)(2) of the Securities Act of 1933, as amended and Rule 506(b) promulgated thereunder. The Note matures on August 10, 2022, bears interest at a rate of 9% per annum, and is convertible into shares of the Company’s common stock at a conversion price of $0.15 per share. The Company’s obligations under the Note are secured by a lien on the assets of the Company and its wholly-owned subsidiary Digipath Labs, Inc., pursuant to a Security Agreement between the Company, Digipath Labs, Inc. and the investor.

Organization, Basis of Presen_2

Organization, Basis of Presentation and Significant Accounting Policies (Policies)	3 Months Ended
	Dec. 31, 2019
Accounting Policies [Abstract]
Organization	Organization Digipath, Inc. was incorporated in Nevada on October 5, 2010. Digipath, Inc. and its subsidiaries (“Digipath,” the “Company,” “we,” “our” or “us”) is a service-oriented independent testing laboratory, data analytics and media firm focused on the developing cannabis and hemp markets, and supports the cannabis industry’s best practices for reliable testing, cannabis education and training. Our business units are described below. Ø Digipath Labs, Inc Ø GroSciences, Inc
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Intercompany accounts and transactions have been eliminated. The unaudited condensed consolidated financial statements of the Company and the accompanying notes included in this Quarterly Report on Form 10-Q are unaudited. In the opinion of management, all adjustments necessary for a fair presentation of the Condensed Consolidated Financial Statements have been included. Such adjustments are of a normal, recurring nature. The Condensed Consolidated Financial Statements, and the accompanying notes, are prepared in accordance with GAAP and do not contain certain information included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2019. The interim Condensed Consolidated Financial Statements should be read in conjunction with that Annual Report on Form 10-K. Results for the interim periods presented are not necessarily indicative of the results that might be expected for the entire fiscal year.
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the accounts of the following entities, all of which were under common control and ownership at December 31, 2019: Jurisdiction of Name of Entity (1) Incorporation Relationship Digipath, Inc. (2) Nevada Parent Digipath Labs, Inc. Nevada Subsidiary TNM News, Inc. Nevada Subsidiary GroSciences, Inc. (3) Colorado Subsidiary Digipath Labs S.A.S. (4) Colombia Subsidiary (1) (2) (3) (4) The consolidated financial statements herein contain the operations of the wholly-owned subsidiaries listed above. All significant inter-company transactions have been eliminated in the preparation of these financial statements. The parent company and subsidiaries will be collectively referred to herein as the “Company”, “Digipath” or “DIGP”. The Company’s headquarters are located in Las Vegas, Nevada and substantially all of its customers are within the United States. These statements reflect all adjustments, consisting of normal recurring adjustments, which in the opinion of management are necessary for fair presentation of the information contained therein.
Segment Reporting	Segment Reporting ASC Topic 280, “Segment Reporting,” requires use of the “management approach” model for segment reporting. The management approach model is based on the way a company’s management organizes segments within the company for making operating decisions and assessing performance. The Company operates as a single segment and will evaluate additional segment disclosure requirements as it expands its operations.
Fair Value of Financial Instruments	Fair Value of Financial Instruments Under FASB ASC 820-10-05, the Financial Accounting Standards Board establishes a framework for measuring fair value in generally accepted accounting principles and expands disclosures about fair value measurements. This Statement reaffirms that fair value is the relevant measurement attribute. The adoption of this standard did not have a material effect on the Company’s financial statements as reflected herein. The carrying amounts of cash, accounts receivable, accounts payable and accrued expenses reported on the balance sheets are estimated by management to approximate fair value primarily due to the short-term nature of the instruments.
Revenue Recognition	Revenue Recognition The Company recognizes revenue in accordance with ASC 606 — Revenue from Contracts with Customers. Under ASC 606, the Company recognizes revenue from the sale of lab testing services through our subsidiary Digipath Labs, Inc. Revenue is primarily generated through our subsidiary, Digipath Labs, Inc., which recognizes revenue from the analytical testing of cannabis products for licensed producers and cultivators within the state of Nevada on a determinable fixed fee per test, or panel of tests basis. Revenue from the performance of those services is recognized upon completion of the tests, at which time test results are delivered to the customer, provided collectability of the fee is reasonably assured. We typically require payment within thirty days of the delivery of results. Management estimates an allowance for doubtful accounts based on the aging of its receivables.
Inventory	Inventory Inventories are stated at the lower of cost or market. Cost is determined on a standard cost basis that approximates the first-in, first-out (FIFO) method. Market is determined based on net realizable value. Appropriate consideration is given to obsolescence, excessive levels, deterioration, and other factors in evaluating net realizable value. Our products consist of handheld devices used to test cannabis for THC, CBD and CBG levels under our GroSciences, Inc. subsidiary. We have not yet commenced sales of this product.
Stock-Based Compensation	Stock-Based Compensation The Company accounts for equity instruments issued to employees in accordance with the provisions of ASC 718 Stock Compensation (ASC 718) and Equity-Based Payments to Non-employees pursuant to ASC 505-50 (ASC 505-50). All transactions in which goods or services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable. The measurement date of the fair value of the equity instrument issued is the earlier of the date on which the counterparty’s performance is complete or the date at which a commitment for performance by the counterparty to earn the equity instruments is reached because of sufficiently large disincentives for nonperformance.
Adoption of New Accounting Standards and Recently Issued Accounting Pronouncements	Adoption of New Accounting Standards and Recently Issued Accounting Pronouncements In June 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-07, Compensation-Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting In February 2016, the FASB established Topic 842, Leases Targeted Improvements Codification Improvements to Topic 842 Land Easement Practical Expedient for Transition to Topic 842 The new standard became effective for fiscal years beginning after December 15, 2019, with early adoption permitted. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. An entity may choose to use either (1) its effective date or (2) the beginning of the earliest comparative period presented in the financial statements as its date of initial application. If an entity chooses the second option, the transition requirements for existing leases also apply to leases entered into between the date of initial application and the effective date. The entity must also recast its comparative period financial statements and provide the disclosures required by the new standard for the comparative periods. The Company adopted the new standard on October 1, 2019 using the modified retrospective transition approach as of the effective date of the initial application. Consequently, financial information will not be updated and the disclosures required under the new standard will not be provided for dates and periods before October 1, 2019. The new standard provides a number of optional practical expedients in transition. The Company elected the “package of practical expedients”, which permits entities not to reassess under the new lease standard prior conclusions about lease identification, lease classification and initial direct costs. The Company does not expect to elect the use-of-hindsight or the practical expedient pertaining to land easements. The most significant effects of the adoption of the new standard relate to the recognition of new ROU assets and lease labilities on our balance sheet for office operating leases and providing significant new disclosures about our leasing activities. The new standard also provides practical expedients for an entity’s ongoing accounting. The Company has also elected the short-term leases recognition exemption for all leases that qualify. This means that the Company will not recognize ROU assets or lease liabilities, and this includes not recognizing ROU assets and lease liabilities, for existing short-term leases of those assets in transition. The Company also currently expects to elect the practical expedient to not separate lease and non-lease components for its leases. The new standard did not have a material impact. There are no other recently issued accounting pronouncements that the Company has yet to adopt that are expected to have a material effect on its financial position, results of operations, or cash flows.

Organization, Basis of Presen_3

Organization, Basis of Presentation and Significant Accounting Policies (Tables)	3 Months Ended
	Dec. 31, 2019
Accounting Policies [Abstract]
Schedule of Entities Under Common Control and Ownership	The accompanying consolidated financial statements include the accounts of the following entities, all of which were under common control and ownership at December 31, 2019: Jurisdiction of Name of Entity (1) Incorporation Relationship Digipath, Inc. (2) Nevada Parent Digipath Labs, Inc. Nevada Subsidiary TNM News, Inc. Nevada Subsidiary GroSciences, Inc. (3) Colorado Subsidiary Digipath Labs S.A.S. (4) Colombia Subsidiary (1) (2) (3) (4)

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	3 Months Ended
	Dec. 31, 2019
Fair Value Disclosures [Abstract]
Summary of Financial Instruments at Fair Value on Recurring Basis	The following schedule summarizes the valuation of financial instruments at fair value on a recurring basis in the balance sheets as of December 31, 2019 and September 30, 2019, respectively: Fair Value Measurements at December 31, 2019 Level 1 Level 2 Level 3 Assets Cash $ 68,657 $ - $ - Total assets 68,657 - - Liabilities Short term advances - 25,000 - Lease liabilities - - 364,195 Note payable, equipment financing - 291,931 - Convertible notes payable, net of discounts of $33,105 - - 666,895 Total liabilities - 316,931 1,031,090 $ 68,657 $ (316,931 ) $ (1,031,090 ) Fair Value Measurements at September 30, 2019 Level 1 Level 2 Level 3 Assets Cash $ 323,739 $ - $ - Total assets 323,739 - - Liabilities Convertible notes payable, net of discounts of $41,426 - - 658,574 Total liabilities - - 658,574 $ 323,739 $ - $ (658,574 )

Fixed Assets (Tables)

Fixed Assets (Tables)	3 Months Ended
	Dec. 31, 2019
Property, Plant and Equipment [Abstract]
Schedule of Fixed Assets	Fixed assets consist of the following at December 31, 2019 and September 30, 2019: December 31, September 30, 2019 2019 Software $ 123,492 $ 123,492 Office equipment 57,460 55,061 Furniture and fixtures 29,115 29,115 Lab equipment 1,498,789 1,118,942 Leasehold improvements 494,117 494,117 Lab equipment held under capital leases 99,193 - 2,302,166 1,820,727 Less: accumulated depreciation (1,164,987 ) (1,094,113 ) Total $ 1,137,179 $ 726,614

Leases (Tables)

Leases (Tables)	3 Months Ended
	Dec. 31, 2019
Leases [Abstract]
Schedule of Components of Lease Expense	The components of lease expense were as follows: For the Three Operating lease cost $ 52,002 Finance lease cost: Amortization of assets 4,960 Interest on lease liabilities 3,306 Sublease income (21,000 ) Total net lease cost $ 39,268
Schedule of Supplemental Balance Sheet Information	Supplemental balance sheet information related to leases was as follows: December 31, 2019 Operating leases: Operating lease assets $ 289,867 Current portion of operating lease liabilities $ 196,069 Noncurrent operating lease liabilities 94,777 Total operating lease liabilities $ 290,846 Finance lease: Equipment, at cost $ 99,193 Accumulated amortization (4,960 ) Equipment, net $ 94,233 Current portion of finance lease liability $ 29,771 Noncurrent finance lease liability 43,578 Total finance lease liability $ 73,349 Weighted average remaining lease term: Operating leases 1.5 years Finance leases 2.3 years Weighted average discount rate: Operating leases 5.75 % Finance lease 18.41 %
Schedule of Supplemental Cash Flow and Other Information	Supplemental cash flow and other information related to leases was as follows: For the Three Months Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows provided by sublet operating leases $ 21,000 Operating cash flows used for operating leases $ 51,024 Operating cash flows used for finance leases $ 3,306 Financing cash flows used for finance leases $ 25,843 Leased assets obtained in exchange for lease liabilities: Total operating lease liabilities $ - Total finance lease liabilities $ 99,193
Schedule of Future Minimum Annual Lease Commitments Under Operating Leases	Future minimum annual lease commitments under non-cancelable operating leases are as follows at December 31, 2019: Fiscal Year Ending Minimum Lease Sublease Net Lease September 30, Commitments Income Commitments 2020* $ 155,032 $ 42,000 $ 113,032 2021 148,957 - 148,957 $ 303,989 $ 42,000 $ 261,989 * Liability pertains to the remaining nine month period from January 1, 2020 through September 30, 2020.
Schedule of Future Minimum Annual Lease Payments Under Finance Lease	Future minimum annual lease payments required under the finance lease and the present value of the net minimum lease payments are as follows at December 31, 2019: Finance Leases 2020* $ 30,921 2021 37,105 2022 21,644 Total minimum lease payments 89,670 Less interest 16,321 Present value of lease liabilities 73,349 Less current portion 29,771 Long-term lease liabilities $ 43,578 * Liability pertains to the remaining nine month period from January 1, 2020 through September 30, 2020.

Note Payable, Equipment Finan_2

Note Payable, Equipment Financing (Tables)	3 Months Ended
	Dec. 31, 2019
Debt Disclosure [Abstract]
Schedule of Notes Payable	Note payable consists of the following at December 31, 2019 and September 30, 2019, respectively: December 31, September 30, 2019 2019 On December 26, 2019, the Company financed the purchase of $377,124 of lab equipment, in part, with the proceeds of a bank loan in the amount of $291,931. The loan bears interest at the rate of 5.75% per annum and requires monthly payments of $5,622 over the five-year term of the loan ending on December 26, 2024. The Company’s obligations under this loan are secured by a lien on the purchased equipment. $ 291,931 $ - Less: current maturities (52,030 ) - Note payable $ 239,901 $ -

Convertible Notes Payable (Tabl

Convertible Notes Payable (Tables)	3 Months Ended
	Dec. 31, 2019
Debt Disclosure [Abstract]
Schedule of Convertible Notes Payable	Convertible notes payable consists of the following at December 31, 2019 and September 30, 2019, respectively: December 31, September 30, 2019 2019 On September 23, 2019, the Company received proceeds of $200,000 on a senior secured convertible note that carries an 8% interest rate, which matures on September 23, 2020. The principal and interest are convertible into shares of common stock at the discretion of the note holder at a fixed conversion price of $0.11 per share. The Company’s obligations under this Note are secured by a lien on the assets of the Company and its wholly-owned subsidiary Digipath Labs, Inc. $ 200,000 $ 200,000 On November 8, 2018, the Company received proceeds of $350,000 on a senior secured convertible note that carries an 8% interest rate, which matures on December 31, 2020. The principal and interest are convertible into shares of common stock at the discretion of the note holder at a fixed conversion price of $0.14 per share. The Company’s obligations under this Note is secured by a lien on the assets of the Company and its wholly-owned subsidiary Digipath Labs, Inc. A total of $4,066 of interest was repaid during the three months ended June 30, 2019. 350,000 350,000 On November 5, 2018, the Company received proceeds of $150,000 on a senior secured convertible note that carries an 8% interest rate, which matures on December 31, 2020. The principal and interest are convertible into shares of common stock at the discretion of the note holder at a fixed conversion price of $0.14 per share. The Company’s obligations under this Note are secured by a lien on the assets of the Company and its wholly-owned subsidiary Digipath Labs, Inc. 150,000 150,000 Total convertible notes payable 700,000 700,000 Less: unamortized debt discounts (33,105 ) (41,426 ) 666,895 658,574 Less: current maturities (666,895 ) (200,000 ) Convertible notes payable $ - $ 458,574
Schedule of Interest Expense	The Company recognized interest expense for the three months ended December 31, 2019 and 2018, respectively, as follows: December 31, December 31, 2019 2018 Interest on capital leases $ 3,306 $ - Interest on notes payable 3,819 - Amortization of beneficial conversion features 8,321 4,846 Interest on convertible notes 14,115 5,907 Total interest expense $ 29,561 $ 10,753

Other Income (Expense) (Tables)

Other Income (Expense) (Tables)	3 Months Ended
	Dec. 31, 2019
Other Income and Expenses [Abstract]
Schedule of Other Income (Expenses)	Other income (expense) for the three months ended December 31, 2019 and 2018 consisted of the following: December 31, 2019 2018 Settlement income on note receivable $ - $ 30,000 Rental income on subleases 21,000 20,400 Interest expense (29,561 ) (10,753 ) $ (8,561 ) $ 39,647

Organization, Basis of Presen_4

Organization, Basis of Presentation and Significant Accounting Policies (Details Narrative)	3 Months Ended
	Dec. 31, 2019Segment
Accounting Policies [Abstract]
Number of reportable segment	1

Organization, Basis of Presen_5

Organization, Basis of Presentation and Significant Accounting Policies - Schedule of Entities Under Common Control and Ownership (Details)	3 Months Ended
	Dec. 31, 2019
Entities Under Common Control and Ownership One [Member]
Name of Entity	Digipath, Inc.	[1],[2]
Jurisdiction of Incorporation	Nevada	[2]
Relationship	Parent	[2]
Entities Under Common Control and Ownership Two [Member]
Name of Entity	Digipath Labs, Inc.	[1]
Jurisdiction of Incorporation	Nevada
Relationship	Subsidiary
Entities Under Common Control and Ownership Three [Member]
Name of Entity	TNM News, Inc.	[1]
Jurisdiction of Incorporation	Nevada
Relationship	Subsidiary
Entities Under Common Control and Ownership Four [Member]
Name of Entity	GroSciences, Inc.	[1],[3]
Jurisdiction of Incorporation	Colorado	[3]
Relationship	Subsidiary	[3]
Entities Under Common Control and Ownership Five [Member]
Name of Entity	Digipath Labs S.A.S.	[1],[4]
Jurisdiction of Incorporation	Colombia	[4]
Relationship	Subsidiary	[4]
[1]	All entities are in the form of a corporation.
[2]	Holding company, which owns each of the wholly-owned subsidiaries. All subsidiaries shown above are wholly-owned by Digipath, Inc., the parent company.
[3]	Commenced operations during the first fiscal quarter of 2019, but has not incurred income to date.
[4]	Formed during the first fiscal quarter of 2019, but has not yet commenced significant operations.

Going Concern (Details Narrativ

Going Concern (Details Narrative) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accumulated deficit	$ (15,176,087)	$ (14,955,660)

Fair Value of Financial Instr_3

Fair Value of Financial Instruments (Details Narrative) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Fair Value Disclosures [Abstract]
Convertible debentures	$ 700,000	$ 700,000
Convertible notes discounts	$ 33,105	$ 41,426

Fair Value of Financial Instr_4

Fair Value of Financial Instruments - Summary of Financial Instruments at Fair Value on Recurring Basis (Details) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Short term advances	$ 25,000
Lease liabilities	290,846
Note payable, equipment financing	239,901
Convertible notes payable, net of discounts of $33,105 and $41,426	666,895	658,574
Level 1 [Member]
Cash	68,657	323,739
Total assets	68,657	323,739
Short term advances
Lease liabilities
Note payable, equipment financing
Convertible notes payable, net of discounts of $33,105 and $41,426
Total liabilities
Total	68,657	323,739
Level 2 [Member]
Cash
Total assets
Short term advances	25,000
Lease liabilities
Note payable, equipment financing	291,931
Convertible notes payable, net of discounts of $33,105 and $41,426
Total liabilities	316,931
Total	(316,931)
Level 3 [Member]
Cash
Total assets
Short term advances
Lease liabilities	364,195
Note payable, equipment financing
Convertible notes payable, net of discounts of $33,105 and $41,426	666,895	658,574
Total liabilities	1,031,090	658,574
Total	$ (1,031,090)	$ (658,574)

Fair Value of Financial Instr_5

Fair Value of Financial Instruments - Summary of Financial Instruments at Fair Value on Recurring Basis (Details) (Parenthetical) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Fair Value Disclosures [Abstract]
Convertible notes discounts	$ 33,105	$ 41,426

Accounts Receivable (Details Na

Accounts Receivable (Details Narrative) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Receivables [Abstract]
Accounts receivable	$ 282,068	$ 179,256
Allowance for uncollectible accounts	$ 93,790	$ 50,540

Fixed Assets (Details Narrative

Fixed Assets (Details Narrative) - USD ($)	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Depreciation and amortization expense	$ 70,874	$ 64,381

Fixed Assets - Schedule of Fixe

Fixed Assets - Schedule of Fixed Assets (Details) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Property, Plant and Equipment [Abstract]
Software	$ 123,492	$ 123,492
Office equipment	57,460	55,061
Furniture and fixtures	29,115	29,115
Lab equipment	1,498,789	1,118,942
Leasehold improvements	494,117	494,117
Lab equipment held under capital leases	99,193
Fixed assets, gross	2,302,166	1,820,727
Less: accumulated depreciation	(1,164,987)	(1,094,113)
Total	$ 1,137,179	$ 726,614

Leases - Schedule of Components

Leases - Schedule of Components of Lease Expense (Details)	3 Months Ended
	Dec. 31, 2019USD ($)
Leases [Abstract]
Operating lease cost	$ 52,002
Amortization of assets	4,960
Interest on lease liabilities	3,306
Sublease income	(21,000)
Total net lease cost	$ 39,268

Leases - Schedule of Supplement

Leases - Schedule of Supplemental Balance Sheet Information (Details) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Leases [Abstract]
Operating lease assets	$ 289,867
Current portion of operating lease liabilities	196,069
Noncurrent operating lease liabilities	94,777
Total operating lease liabilities	290,846
Equipment, at cost	99,193
Accumulated amortization	(4,960)
Equipment, net	94,233
Current portion of finance lease liability	29,771
Noncurrent finance lease liability	43,578
Total finance lease liability	$ 73,349
Weighted average remaining lease term: Operating leases	1 year 6 months
Weighted average remaining lease term: Finance leases	2 years 3 months 19 days
Weighted average discount rate: Operating leases	5.75%
Weighted average discount rate: Finance lease	18.41%

Leases - Schedule of Suppleme_2

Leases - Schedule of Supplemental Cash Flow and Other Information (Details) - USD ($)	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Leases [Abstract]
Operating cash flows provided by sublet operating leases	$ 21,000
Operating cash flows used for operating leases	51,024
Operating cash flows used for finance leases	3,306
Financing cash flows used for finance leases	25,843
Leased assets obtained in exchange for lease liabilities: Total operating lease liabilities
Leased assets obtained in exchange for lease liabilities: Total finance lease liabilities	$ 99,193

Leases - Schedule of Future Min

Leases - Schedule of Future Minimum Annual Lease Commitments Under Operating Leases (Details)	Dec. 31, 2019USD ($)
2020	$ 113,032	[1]
2021	148,957
Operating leases	261,989
Minimum Lease Commitments [Member]
2020	155,032	[1]
2021	148,957
Operating leases	303,989
Sublease Income [Member]
2020	42,000	[1]
2021
Operating leases	$ 42,000
[1]	Liability pertains to the remaining nine month period from January 1, 2020 through September 30, 2020.

Leases - Schedule of Future M_2

Leases - Schedule of Future Minimum Annual Lease Payments Under Finance Lease (Details) - USD ($)		Dec. 31, 2019	Sep. 30, 2019
Leases [Abstract]
2020	[1]	$ 30,921
2021		37,105
2022		21,644
Total minimum lease payments		89,670
Less interest		16,321
Present value of lease liabilities		73,349
Less current portion		29,771
Long-term lease liabilities		$ 43,578
[1]	Liability pertains to the remaining nine month period from January 1, 2020 through September 30, 2020.

Short Term Advances (Details Na

Short Term Advances (Details Narrative) - USD ($)	Dec. 26, 2019	Dec. 31, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Short-term loan		$ 25,000
One Convertible Noteholder [Member]
Debt Instrument [Line Items]
Short-term loan	$ 25,000

Note Payable, Equipment Finan_3

Note Payable, Equipment Financing (Details Narrative)	3 Months Ended
	Dec. 31, 2019USD ($)
Debt Disclosure [Abstract]
Interest expense	$ 3,819

Note Payable, Equipment Finan_4

Note Payable, Equipment Financing - Schedule of Notes Payable (Details) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Debt Disclosure [Abstract]
Note payable gross	$ 291,931
Less: current maturities	(52,030)
Note payable	$ 239,901

Note Payable, Equipment Finan_5

Note Payable, Equipment Financing - Schedule of Notes Payable (Details) (Parenthetical) - Note Payable [Member]	Dec. 26, 2019USD ($)
Payments for lab equipment	$ 377,124
Proceeds from bank loan	$ 291,931
Debt instrument interest percentage	5.75%
Debt instrument periodic payment	$ 5,622
Debt instrument term	5 years
Debt instrument maturity date	Dec. 26, 2024

Convertible Notes Payable (Deta

Convertible Notes Payable (Details Narrative) - USD ($)	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Sep. 30, 2019
Convertible notes discounts	$ 33,105		$ 41,426
Debt amortization expense	8,321	$ 4,846
Convertible notes interest expense	14,115	$ 5,907
Maximum Share Amount [Member]
Maximum amount owned percentage of issued and outstanding common shares			4.99%
Convertible Notes Payable [Member]
Convertible notes discounts	$ 70,964

Convertible Notes Payable - Sch

Convertible Notes Payable - Schedule of Convertible Notes Payable (Details) - USD ($)	Dec. 31, 2019	Sep. 30, 2019
Total convertible notes payable	$ 700,000	$ 700,000
Less: unamortized debt discounts	(33,105)	(41,426)
Total convertible debt	666,895	658,574
Less: current maturities	(666,895)	(200,000)
Convertible notes payable		458,574
Convertible Notes Payable One [Member]
Total convertible notes payable	200,000	200,000
Convertible Notes Payable Two [Member]
Total convertible notes payable	350,000	350,000
Convertible Notes Payable Three [Member]
Total convertible notes payable	$ 150,000	$ 150,000

Convertible Notes Payable - S_2

Convertible Notes Payable - Schedule of Convertible Notes Payable (Details) (Parenthetical) - USD ($)	Sep. 23, 2019	Nov. 08, 2018	Nov. 05, 2018	Dec. 31, 2019	Dec. 31, 2018	Jun. 30, 2019
Proceeds from convertible note					$ 500,000
Senior Secured Convertible Note [Member]
Proceeds from convertible note	$ 200,000	$ 350,000	$ 150,000
Debt carries interest rate	8.00%	8.00%	8.00%
Debt maturity date	Sep. 23, 2020	Dec. 31, 2020	Dec. 31, 2020
Conversion price per share	$ 0.11	$ 0.14	$ 0.14
Interest repaid						$ 4,066

Convertible Notes Payable - S_3

Convertible Notes Payable - Schedule of Interest Expense (Details) - USD ($)	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Debt Disclosure [Abstract]
Interest on capital leases	$ 3,306
Interest on notes payable	3,819
Amortization of beneficial conversion features	8,321	4,846
Interest on convertible notes	14,115	5,907
Total interest expense	$ 29,561	$ 10,753

Changes in Stockholders' Equi_2

Changes in Stockholders' Equity (Details Narrative) - USD ($)	Dec. 25, 2019	Jun. 25, 2019	Sep. 12, 2018	Dec. 31, 2019	Dec. 31, 2018	Sep. 30, 2019
Class of Stock [Line Items]
Preferred stock, shares authorized				10,000,000		10,000,000
Preferred stock, par value				$ 0.001		$ 0.001
Preferred stock, shares issued				1,325,942		1,325,942
Preferred stock, shares outstanding				1,325,942		1,325,942
Common stock par value				$ 0.001		$ 0.001
Common stock authorized				250,000,000		250,000,000
Common stock, shares issued				48,532,666		48,361,433
Common stock, shares outstanding				48,532,666		48,361,433
Common stock issued for services, value				$ 24,750	$ 149,276
Stock-based compensation expense				17,677
Unamortized expenses expected to be expensed				$ 7,452
Common Stock [Member]
Class of Stock [Line Items]
Common stock issued for services				171,233	1,011,913
Common stock issued for services, value				$ 172	$ 1,012
Chief Financial Officer [Member]
Class of Stock [Line Items]
Common stock issued for services	171,233
Common stock issued for services, value	$ 15,000
Bruce Raben [Member] | Common Stock [Member]
Class of Stock [Line Items]
Common stock issued for services			200,000
Stock-based compensation expense				22,110
Consultant [Member] | Common Stock [Member]
Class of Stock [Line Items]
Common stock issued for services		300,000
Stock-based compensation expense				$ 9,750
Series A Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares authorized						6,000,000
Preferred stock, shares designated remaining						4,000,000
Series A Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares issued				1,325,942
Preferred stock, shares outstanding				1,325,942
Preferred stock convertible into common stock shares				6,629,710
Percentage of equity beneficial ownership				4.99%

Common Stock Options (Details N

Common Stock Options (Details Narrative) - $ / shares	Jun. 21, 2016	Dec. 31, 2019
Number of options outstanding		3,085,000
Number of options granted to purchase shares of common stock		3,000,000
Options exercise price per share		$ 0.13
2012 Stock Incentive Plan [Member]
Number of shares issued under stock plan	11,500,000
Options exercisable period	10 years

Common Stock Warrants (Details

Common Stock Warrants (Details Narrative)	Dec. 31, 2019shares
Equity [Abstract]
Number of warrant to purchase of common stock shares	3,417,126

Other Income (Expense) - (Detai

Other Income (Expense) - (Details Narrative) - USD ($)	Dec. 01, 2018	Dec. 31, 2019	Dec. 31, 2018
Settlement income on note receivable			$ 30,000
December 17, 2014 Note [Member]
Settlement income on note receivable	$ 30,000
Debt instrument face amount	250,000
Unpaid interest	$ 58,125

Other Income (Expense) - Schedu

Other Income (Expense) - Schedule of Other Income (Expenses) (Details) - USD ($)	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Other Income and Expenses [Abstract]
Settlement income on note receivable		$ 30,000
Rental income on subleases	21,000	20,400
Interest expense	(29,561)	(10,753)
Other income (expense)	$ (8,561)	$ 39,647

Income Tax (Details Narrative)

Income Tax (Details Narrative)	3 Months Ended
	Dec. 31, 2019USD ($)
Income Tax Disclosure [Abstract]
Net operating loss carry forwards	$ 9,200,000
Operating loss expiration year	2031

Subsequent Events (Details Narr

Subsequent Events (Details Narrative) - USD ($)	Feb. 11, 2020	Feb. 10, 2020	Jan. 31, 2020	Jan. 27, 2020	Dec. 31, 2019	Dec. 31, 2018
Common stock issued for services					$ 24,750	$ 149,276
Number of options granted to purchase shares of common stock					3,000,000
Options exercise price per share					$ 0.13
Subsequent Event [Member] | Consultant [Member]
Common stock issued for services, shares				500,000
Common stock issued for services				$ 37,500
Subsequent Event [Member] | Edmond A. DeFrank [Member]
Number of options granted to purchase shares of common stock			250,000
Options exercisable period			10 years
Options exercise price per share			$ 0.10
Volatility rate			106.00%
Call option value			$ 0.0683
Fair value of stock options			$ 17,078
Subsequent Event [Member] | Edmond A. DeFrank [Member] | January 31, 2021 [Member]
Number of options vested			62,500
Subsequent Event [Member] | Edmond A. DeFrank [Member] | January 31, 2022 [Member]
Number of options vested			62,500
Subsequent Event [Member] | Edmond A. DeFrank [Member] | January 31, 2023 [Member]
Number of options vested			62,500
Subsequent Event [Member] | Dennis Hartmann [Member]
Number of options granted to purchase shares of common stock			250,000
Options exercisable period			10 years
Options exercise price per share			$ 0.10
Volatility rate			106.00%
Call option value			$ 0.0683
Fair value of stock options			$ 17,078
Subsequent Event [Member] | Dennis Hartmann [Member] | January 31, 2021 [Member]
Number of options vested			62,500
Subsequent Event [Member] | Dennis Hartmann [Member] | January 31, 2022 [Member]
Number of options vested			62,500
Subsequent Event [Member] | Dennis Hartmann [Member] | January 31, 2023 [Member]
Number of options vested			62,500
Subsequent Event [Member] | Accredited Investor [Member] | 9% Secured Convertible Promissory Note [Member]
Debt instrument face amount	$ 150,000	$ 350,000
Debt instrument maturity date	Aug. 11, 2022	Aug. 10, 2022
Debt instrument interest rate	9.00%	9.00%
Debt instrument conversion price per share	$ 0.15	$ 0.15