Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Jun. 30, 2014 | Aug. 13, 2014 | |
Document And Entity Information | ' | ' |
Entity Registrant Name | 'PetVivo Holdings, Inc. | ' |
Entity Central Index Key | '0001512922 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Jun-14 | ' |
Amendment Flag | 'true | ' |
Amendment Description | 'This amendment to Quarterly Report for quarter ended June 30, 2014 is filed to correct the total issued and outstanding shares of common stock reflected on the cover page. | ' |
Current Fiscal Year End Date | '--03-31 | ' |
Is Entity a Well-known Seasoned Issuer? | 'No | ' |
Is Entity a Voluntary Filer? | 'No | ' |
Is Entity's Reporting Status Current? | 'Yes | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 3,779,542,482 |
Document Fiscal Period Focus | 'Q1 | ' |
Document Fiscal Year Focus | '2014 | ' |
Balance_Sheet
Balance Sheet (USD $) | Jun. 30, 2014 | Mar. 31, 2014 |
Assets: | ' | ' |
Cash and Cash Equivalents | $1,263 | $39,338 |
Accounts Receivable | ' | ' |
Inventory | ' | ' |
Prepaid Expenses | ' | 8,000 |
Total Current Assets | 1,263 | 47,338 |
Fixed Assets-net | ' | ' |
Other assets, license | 130,000 | 130,000 |
Total Assets | 131,263 | 177,338 |
Liabilities and Stockholders' Deficit: | ' | ' |
Derivative Liability | 379,042 | 186,666 |
Accounts Payable and Accrued Expenses | 59,331 | 83,657 |
Convertible Notes Payable | 52,326 | 58,826 |
Note Payable-Debentures | 141,000 | 150,000 |
Loan | 4,000 | ' |
Total Current Liabilities | 635,699 | 479,149 |
Long Term Debt | ' | ' |
Total Liabilities | 635,699 | 479,149 |
Stockholders' Equity: | ' | ' |
Common Stock, Par value $0.001, Authorized 4,000,000,000 issued 3,779,542,482 and 3,750,946,480 respectively | 3,779,543 | 3,750,946 |
Paid-In Capital | 21,263,066 | 20,609,090 |
Retained Deficit | -25,547,045 | -24,661,847 |
Total Stockholders' Equity | -504,436 | -301,811 |
Total Liabilities and Stockholders' Equity | $131,263 | $177,338 |
Balance_Sheet_Parenthetical
Balance Sheet (Parenthetical) (USD $) | Jun. 30, 2014 | Mar. 31, 2014 |
Stockholders' Equity: | ' | ' |
Common stock, par value | $0.00 | $0.00 |
Common stock, authorized | 4,000,000,000 | 4,000,000,000 |
Common stock, shares issued | 3,779,542,482 | 3,750,946,480 |
Statement_of_Operations
Statement of Operations (USD $) | 3 Months Ended | 11 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | |
Statement Of Operations | ' | ' | ' |
Revenues | ' | ' | ' |
Costs of Services | ' | ' | ' |
Gross Margin | ' | ' | ' |
Expenses: | ' | ' | ' |
Payroll Expenses | ' | ' | 80,000 |
Stock for Services | 683,073 | ' | 25,123,173 |
Research and Development | 8,658 | ' | 88,194 |
General and Administrative | 227,793 | ' | 276,983 |
Operating Expenses | 919,524 | ' | 25,568,350 |
Operating Income (Loss) | -919,524 | ' | -25,568,350 |
Debt forgiveness | 35,326 | ' | 35,326 |
Interest | -1,000 | ' | -14,021 |
Net Loss Before Taxes | -885,198 | ' | -25,547,045 |
Income and Franchise Tax | ' | ' | ' |
Net Loss | ($885,198) | ' | ($25,547,045) |
Loss per Share, Basic & Diluted | $0 | ' | ' |
Weighted Average Shares Outstanding | 3,772,968,987 | ' | ' |
Statement_of_Stockholders_Equi
Statement of Stockholders' Equity (USD $) | Common Stock | Additional Paid-In Capital | Retained Deficit | Total |
Beginning Balance, Amount at Aug. 01, 2013 | $122,650 | ($122,650) | ' | ' |
Beginning Balance, Shares at Aug. 01, 2013 | 122,650,000 | ' | ' | ' |
Shares issued for Debt on 2/25/14, Shares | 24,856,676 | ' | ' | ' |
Shares issued for Debt on 2/25/14, Amount | 24,857 | 99,426 | ' | 124,283 |
Shares issued for agreement on 3/14/2014, Shares | 2,310,939,804 | ' | ' | ' |
Shares issued for agreement on 3/14/2014, Amount | 2,310,940 | -2,310,940 | ' | ' |
Shares issued for services on 3/17/2014, Shares | 1,222,000,000 | ' | ' | ' |
Shares issued for services on 3/17/2014, Amount | 1,222,000 | 23,218,000 | ' | 24,440,000 |
Effects of Reverse | ' | -274,746 | ' | -274,746 |
Shares issued for debt on 3/19/2014, Shares | 70,500,000 | ' | ' | ' |
Shares issued for debt on 3/19/2014, Amount | 70,500 | ' | ' | 70,500 |
Net Loss for the period | ' | ' | -24,661,847 | -24,661,847 |
Ending Balance, Amount at Mar. 31, 2014 | 3,750,946 | 20,609,090 | -24,661,847 | -301,811 |
Ending Balance, Shares at Mar. 31, 2014 | 3,750,946,480 | ' | ' | ' |
Shares issued for Debt on 2/25/14, Shares | ' | ' | ' | ' |
Shares issued for debt on 4/2/2014, Shares | 7,500,000 | ' | ' | ' |
Shares issued for debt on 4/2/2014, Amount | 7,500 | ' | ' | 7,500 |
Shares issued for Services on 4/29/2014, Shares | 21,096,002 | ' | ' | ' |
Shares issued for Services on 4/29/2014, Amount | 21,097 | 653,976 | ' | 675,073 |
Net Loss for the period | ' | ' | -885,198 | -885,198 |
Ending Balance, Amount at Jun. 30, 2014 | $3,779,543 | $21,263,066 | ($25,547,045) | ($504,436) |
Ending Balance, Shares at Jun. 30, 2014 | 3,779,542,482 | ' | ' | ' |
Statement_of_Cash_Flows
Statement of Cash Flows (USD $) | 3 Months Ended | 11 Months Ended |
Jun. 30, 2014 | Jun. 30, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net Loss for the Period | ($885,198) | ($25,547,045) |
Shares Issued for Services | 683,073 | 25,123,173 |
Adjustments to reconcile net loss to net cash provided by operating activities: | ' | ' |
Forgiveness of Debt | -35,326 | -35,326 |
Changes in Operating Assets and Liabilities | ' | ' |
Decrease (Increase) in Accounts Receivable | ' | ' |
( Increase) Decrease in Prepaids and Deposits | ' | ' |
Increase (Decrease) in Accrued Expenses | 12,000 | 95,657 |
Increase in Derivative Liability | 192,376 | 379,042 |
Net Cash Used in Operating Activities | -33,075 | 7,501 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Purchase of License | ' | -130,000 |
Net cash provided by Investing Activities | ' | -130,000 |
CASH FLOW FROM FINANCING ACTIVITIES: | ' | ' |
Common Stock issued for Cash | ' | ' |
Proceeds from Loans | 4,000 | 132,762 |
Reduction of Debt | -9,000 | -9,000 |
Net Cash Provided by Financing Activities | -5,000 | 123,762 |
Net (Decrease) Increase in Cash | -38,075 | 1,263 |
Cash at Beginning of Period | 39,338 | ' |
Cash at End of Period | 1,263 | 1,263 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ' | ' |
Cash paid during the year for:`Interest | ' | ' |
Cash paid during the year for: Franchise and Income Taxes | ' | ' |
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | ' | ' |
Accounts Payable Satisfied through Contributed Capital and Property and Equipment | ' | ' |
ORGANIZATION
ORGANIZATION | 3 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
NOTE 1 - ORGANIZATION | ' |
PETVIVO HOLDINGS, INC (“the Company) was originally incorporated under the laws of the state of Minnesota on August 1, 2013. The financials are the result of a merger between Technologies Scan Corp., a corporation incorporated in the State of Nevada on March 31, 2009 and the Company. For accounting purposes the Company is treating the merger as a reverse merger whereby the financials presented are those of the surviving entity which is PetVivo. The merger occurred on March 14, 2014. | |
PetVivo is in the business of distribution of bio materials for the treatment of afflictions and diseases in animals. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended | |
Jun. 30, 2014 | ||
Notes to Financial Statements | ' | |
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |
Basis of presentation | ||
The Company’s financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The financials presented are those of PetVivo the surviving entity subject to equity transactions of the former corporation. | ||
Development stage company | ||
The Company is a development stage company as defined by section 915-10-20 of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification. The Company has not recognized revenue since inception, and is still devoting substantially all of its efforts on establishing the business and, therefore, still qualifies as a development stage company. All losses accumulated since inception have been considered as part of the Company’s development stage activities. | ||
Use of estimates | ||
The preparation of 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 and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||
Fiscal year end | ||
The Company elected March 31st as its year end. | ||
Cash equivalents | ||
The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. | ||
Fixed Assets | ||
The Company records its fixed assets at cost and recognizes depreciation over the straight line method with asset lives of between 3 and 7 years. Improvements are amortized over the life of the lease. | ||
Fair value of financial instruments | ||
The Company follows paragraph 825-10-50-10 of the FASB Accounting Standards Codification for disclosures about fair value of its financial instruments and paragraph 820-10-35-37 of the FASB Accounting Standards Codification (“Paragraph 820-10-35-37”) to measure the fair value of its financial instruments. Paragraph 820-10-35-37 establishes a framework for measuring fair value in accounting principles generally accepted in the United States of America (U.S. GAAP), and expands disclosures about fair value measurements. To increase consistency and comparability in fair value measurements and related disclosures, Paragraph 820-10-35-37 establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three (3) broad levels. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The three (3) levels of fair value hierarchy defined by Paragraph 820-10-35-37 are described below: | ||
Level 1 | Quoted market prices available in active markets for identical assets or liabilities as of the reporting date. | |
Level 2 | Pricing inputs other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. | |
Level 3 | Pricing inputs that are generally observable inputs and not corroborated by market data. | |
The carrying amount of the Company’s financial assets and liabilities, such as cash, prepaid expenses and accrued expenses, approximates their fair value because of the short maturity of the instruments. | ||
The Company does not have any assets or liabilities measured at fair value on a recurring or a non-recurring basis, consequently, the Company did not have any fair value adjustments for assets and liabilities measured at fair value at March 31, 2014; no gains or losses are reported in the statement of operations that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date for the period from August 1 through March 31, 2014. | ||
Commitments and contingencies | ||
The Company follows subtopic 450-20 of the FASB Accounting Standards Codification to report accounting for contingencies. Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount of the assessment can be reasonably estimated. | ||
Revenue recognition | ||
The Company follows paragraph 605-10-S99-1 of the FASB Accounting Standards Codification for revenue recognition. The Company will recognize revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the product has been shipped or the services have been rendered to the customer, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured. The Company mainly sells to retailers. There are no price incentives and the product can only be returned if defective. As the Company does not believe defective merchandise is likely an allowance has not been recognized. Revenue is recognized on a gross basis with corresponding costs of goods as a reduction to revenue in cost of sales. Revenue is recognized when the product is shipped to the customer. | ||
Income taxes | ||
The Company accounts for income taxes under Section 740-10-30 of the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are based on the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the fiscal year in which the differences are expected to reverse. Deferred tax assets are reduced by a valuation allowance to the extent management concludes it is more likely than not that the assets will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the fiscal years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the Statements of Income and Comprehensive Income in the period that includes the enactment date. | ||
The Company adopted section 740-10-25 of the FASB Accounting Standards Codification (“Section 740-10-25”) with regards to uncertainty income taxes. Section 740-10-25 addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under Section 740-10-25, the Company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent (50%) likelihood of being realized upon ultimate settlement. Section 740-10-25 also provides guidance on de-recognition, classification, interest and penalties on income taxes, accounting in interim periods and requires increased disclosures. The Company had no material adjustments to its liabilities for unrecognized income tax benefits according to the provisions of Section 740-10-25. | ||
Net income (loss)per common share | ||
Net income (loss) per common share is computed pursuant to section 260-10-45 of the FASB Accounting Standards Codification. Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. | ||
Cash flows reporting | ||
The Company adopted paragraph 230-10-45-24 of the FASB Accounting Standards Codification for cash flows reporting, classifies cash receipts and payments according to whether they stem from operating, investing, or financing activities and provides definitions of each category, and uses the indirect or reconciliation method (“Indirect method”) as defined by paragraph 230-10-45-25 of the FASB Accounting Standards Codification to report net cash flow from operating activities by adjusting net income to reconcile it to net cash flow from operating activities by removing the effects of (a) all deferrals of past operating cash receipts and payments and all accruals of expected future operating cash receipts and payments and (b) all items that are included in net income that do not affect operating cash receipts and payments. The Company reports the reporting currency equivalent of foreign currency cash flows, using the current exchange rate at the time of the cash flows and the effect of exchange rate changes on cash held in foreign currencies is reported as a separate item in the reconciliation of beginning and ending balances of cash and cash equivalents and separately provides information about investing and financing activities not resulting in cash receipts or payments in the period pursuant to paragraph 830-230-45-1 of the FASB Accounting Standards Codification. | ||
Subsequent events | ||
The Company follows the guidance in Section 855-10-50 of the FASB Accounting Standards Codification for the disclosure of subsequent events. The Company will evaluate subsequent events through the date when the financial statements were issued. Pursuant to ASU 2010-09 of the FASB Accounting Standards Codification, the Company as an eventual SEC filer considers its financial statements issued when they are widely distributed to users, such as through filing them on EDGAR. | ||
Recently issued accounting pronouncements | ||
In July 2013, the FASB issued Accounting Standards Update 2013-11 Income Taxes (Topic 740) Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carry-forward, a Similar Tax Loss, or a Tax Credit Carry-forward Exists. An unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carry-forward, a similar tax loss or a tax credit carry-forward, except as follows. To the extent a net operating loss carry-forward, a similar tax loss or a tax credit carry-forward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The assessment of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. This Update applies to all entities that have unrecognized tax benefits when a net operating loss carry-forward, a similar tax loss, or a tax credit carry-forward exists at the reporting date. The amendments in this Update are effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. | ||
In January 2013, the FASB issued ASU No. 2013-01, Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities , which clarifies which instruments and transactions are subject to the offsetting disclosure requirements originally established by ASU 2011-11. The new ASU addresses preparer concerns that the scope of the disclosure requirements under ASU 2011-11 was overly broad and imposed unintended costs that were not commensurate with estimated benefits to financial statement users. In choosing to narrow the scope of the offsetting disclosures, the Board determined that it could make them more operable and cost effective for preparers while still giving financial statement users sufficient information to analyze the most significant presentation differences between financial statements prepared in accordance with U.S. GAAP and those prepared under IFRSs. Like ASU 2011-11, the amendments in this update will be effective for fiscal periods beginning on, or after January 1, 2013. The adoption of ASU 2013-01 is not expected to have a material impact on our financial position or results of operations. | ||
The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations. |
GOING_CONCERN
GOING CONCERN | 3 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
NOTE 3 - GOING CONCERN | ' |
As reflected in the accompanying financial statements, the Company had a negative equity of $504,436 at June 30, 2014. | |
Management intends to raise additional funds now that it has merged thru a private placement or thru the public process. Management believes that the actions presently being taken to further implement its business plan will enable the Company to continue as a going concern. While the Company believes in the viability to raise additional funds, there can be no assurances to that effect. The ability of the Company to continue as a going concern is dependent upon the Company’s ability to further implement its business plan and generate funds | |
The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. |
LICENSING
LICENSING | 3 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
NOTE 4 - LICENSING | ' |
On August 2, 2013 the Company entered into an agreement with a related party, a shareholder, for certain technology related to the care of animals. The Company paid $130,000 and owes the balance of the contract of $1,650,000 as a contingent liability, dependent on certain funding. The cash portion of the license has been capitalized at June 30, 2014. |
CONVERTIBLE_NOTES_PAYABLE
CONVERTIBLE NOTES PAYABLE | 3 Months Ended | ||||
Jun. 30, 2014 | |||||
Notes to Financial Statements | ' | ||||
NOTE 5 - CONVERTIBLE NOTES PAYABLE | ' | ||||
At June 30, 2014 the Company had one note payable | |||||
June 30, | |||||
2014 | |||||
Notes Payable to an individual interest at 8%, payable on demand, convertible into common shares | 52,326 | ||||
Total Owed | 52,326 |
NOTE_PAYABLEDEBENTURESDERIVATI
NOTE PAYABLE-DEBENTURES/DERIVATIVE LIABILITY | 3 Months Ended | |
Jun. 30, 2014 | ||
Notes to Financial Statements | ' | |
Note 6 - NOTE PAYABLE-DEBENTURES/DERIVATIVE LIABILITY | ' | |
1 | The Company assumed a 12% convertible debenture in the principal amount of $100,000 to 6287182 Canada Inc., a private corporation organized under the laws of Canada. In accordance with the terms and provisions of the 6287182 Canada Debenture, we may redeem by paying the principal plus accrued interest and 6287182 Canada has the right to convert the principal into shares of our restricted common stock at a per share price equal to 80% of the average closing price for 5 consecutive days prior to notice of conversion. The 6287182 Canada Debenture is due July 31, 2016 and accrues interest at the rate of 12% per annum. The Company is required to pay the accrued interest quarterly commencing on the date of execution and quarterly thereafter. | |
2 | The Company also assume a second note which is a 12% convertible debenture in the principal amount of $50,000 to Brevets Futek MSM Ltee, a private corporation organized under the laws of Canada. In accordance with the terms and provisions of the convertible debenture, the Company may redeem by paying the principal plus accrued interest. Brevets Futek MSM Ltee has the right to convert the principal into shares of our restricted common stock at a per share price equal to 80% of the average closing price for price for 5 consecutive days prior to notice of conversion. The convertible debenture is due July 17, 2016 and accrues interest at the rate of 12% per annum. The Company is required to pay the accrued interest quarterly commencing on the date of execution and quarterly thereafter | |
The Company calculated a derivative liability based on the Black Shoes Module resulting in liability of $379,042 at June 30, 2014, as caused by the discount on the share price to 80%. The quarterly expense of $192,376 is shown as part of general and administrative costs in the statement of operations. |
COMMON_STOCK
COMMON STOCK | 3 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
NOTE 7 - COMMON STOCK | ' |
On February 25, 2014 the Company issued 24,856,676 shares of stock for a reduction of debt of $124,283. | |
On March 14, 2014 the company issued 2,310,939,804 to effectuate the merger. | |
On March 17, 2014 the Company issued 1,222,000,000 shares for services rendered valued at market price on the date of issuance of .02 resulting in an expense of $24,440,000. | |
On March 19, 2014 the Company issued 70,500,000 shares for debt valued at $70,500. | |
On April 2, 2014 the Company issued 7,500,000 shares of stock for a reduction in debt of $7,500. | |
On April 29, 2014 the Company issued 21, 096, 002 shares for services valued at market on the day of issuance which was .032 per share resulting in an expense of $675,073. The company had previously deferred $8,000 of services which was earned in the period resulting in a total expense of $683,073. |
RELATED_PARTY_TRANSACTIONS
RELATED PARTY TRANSACTIONS | 3 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
NOTE 8 - RELATED PARTY TRANSACTIONS | ' |
Stock Issuances | |
The Company issuance of 1,222,000,000 shares in March 2014 were issued to its officers and directors. | |
On April 29, 2014 3,200,000 shares were issued to its officers as a part off the 21,096,002 shares issued that day. | |
License | |
The licensing agreement referred to in note 4 is with a related party, a major shareholder of the Company. |
INCOME_TAX
INCOME TAX | 3 Months Ended | ||||
Jun. 30, 2014 | |||||
Notes to Financial Statements | ' | ||||
NOTE 9 - INCOME TAX | ' | ||||
Deferred taxes are provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. | |||||
Net deferred tax assets consist of the following components as of March 31, 2014: | |||||
March 31, | |||||
2014 | |||||
Deferred Tax Assets – Non-current: | |||||
NOL Carryover | $ | 141,066 | |||
Payroll Accrual | - | ||||
Less valuation allowance | -141,066 | ||||
Deferred tax assets, net of valuation allowance | $ | - | |||
The income tax provision differs from the amount of income tax determined by applying the U.S. federal income tax rate to pretax income from continuing operations for the period ended March 31, 2014 due to the following: | |||||
2014 | |||||
Book Income | $ | (24,661,847 | ) | ||
Meals and Entertainment | 681 | ||||
Stock for Services | 24,440,100 | ||||
Payroll | 80,000 | ||||
Valuation allowance | 141,066 | ||||
$ | - | ||||
At March 31, 2014, the Company had net operating loss carryforwards of approximately $141,066 that may be offset against future taxable income from the year 2014 to 2034. No tax benefit has been reported in the March 31, 2014 financial statements since the potential tax benefit is offset by a valuation allowance of the same amount. | |||||
Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards for Federal Income tax reporting purposes are subject to annual limitations. Should a change in ownership occur, net operating loss carry forwards may be limited as to use in future years. |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
NOTE 10 - SUBSEQUENT EVENTS | ' |
Management has evaluated subsequent events pursuant to the requirements of ASC Topic 855 and has determined that no material subsequent events exist. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended | |
Jun. 30, 2014 | ||
Summary Of Significant Accounting Policies Policies | ' | |
Basis of Presentation | ' | |
The Company’s financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The financials presented are those of PetVivo the surviving entity subject to equity transactions of the former corporation. | ||
Development stage company | ' | |
The Company is a development stage company as defined by section 915-10-20 of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification. The Company has not recognized revenue since inception, and is still devoting substantially all of its efforts on establishing the business and, therefore, still qualifies as a development stage company. All losses accumulated since inception have been considered as part of the Company’s development stage activities. | ||
Use of Estimates | ' | |
The preparation of 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 and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||
Fiscal year end | ' | |
The Company elected March 31st as its year end. | ||
Cash equivalents | ' | |
The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. | ||
Fixed Assets | ' | |
The Company records its fixed assets at cost and recognizes depreciation over the straight line method with asset lives of between 3 and 7 years. Improvements are amortized over the life of the lease. | ||
Fair value of financial instruments | ' | |
The Company follows paragraph 825-10-50-10 of the FASB Accounting Standards Codification for disclosures about fair value of its financial instruments and paragraph 820-10-35-37 of the FASB Accounting Standards Codification (“Paragraph 820-10-35-37”) to measure the fair value of its financial instruments. Paragraph 820-10-35-37 establishes a framework for measuring fair value in accounting principles generally accepted in the United States of America (U.S. GAAP), and expands disclosures about fair value measurements. To increase consistency and comparability in fair value measurements and related disclosures, Paragraph 820-10-35-37 establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three (3) broad levels. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The three (3) levels of fair value hierarchy defined by Paragraph 820-10-35-37 are described below: | ||
Level 1 | Quoted market prices available in active markets for identical assets or liabilities as of the reporting date. | |
Level 2 | Pricing inputs other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. | |
Level 3 | Pricing inputs that are generally observable inputs and not corroborated by market data. | |
The carrying amount of the Company’s financial assets and liabilities, such as cash, prepaid expenses and accrued expenses, approximates their fair value because of the short maturity of the instruments. | ||
The Company does not have any assets or liabilities measured at fair value on a recurring or a non-recurring basis, consequently, the Company did not have any fair value adjustments for assets and liabilities measured at fair value at March 31, 2014; no gains or losses are reported in the statement of operations that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date for the period from August 1 through March 31, 2014. | ||
Commitments and contingencies | ' | |
The Company follows subtopic 450-20 of the FASB Accounting Standards Codification to report accounting for contingencies. Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount of the assessment can be reasonably estimated. | ||
Revenue Recognition | ' | |
The Company follows paragraph 605-10-S99-1 of the FASB Accounting Standards Codification for revenue recognition. The Company will recognize revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the product has been shipped or the services have been rendered to the customer, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured. The Company mainly sells to retailers. There are no price incentives and the product can only be returned if defective. As the Company does not believe defective merchandise is likely an allowance has not been recognized. Revenue is recognized on a gross basis with corresponding costs of goods as a reduction to revenue in cost of sales. Revenue is recognized when the product is shipped to the customer. | ||
Income Taxes | ' | |
The Company accounts for income taxes under Section 740-10-30 of the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are based on the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the fiscal year in which the differences are expected to reverse. Deferred tax assets are reduced by a valuation allowance to the extent management concludes it is more likely than not that the assets will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the fiscal years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the Statements of Income and Comprehensive Income in the period that includes the enactment date. | ||
The Company adopted section 740-10-25 of the FASB Accounting Standards Codification (“Section 740-10-25”) with regards to uncertainty income taxes. Section 740-10-25 addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under Section 740-10-25, the Company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent (50%) likelihood of being realized upon ultimate settlement. Section 740-10-25 also provides guidance on de-recognition, classification, interest and penalties on income taxes, accounting in interim periods and requires increased disclosures. The Company had no material adjustments to its liabilities for unrecognized income tax benefits according to the provisions of Section 740-10-25. | ||
Net income (loss) per common share | ' | |
Net income (loss) per common share is computed pursuant to section 260-10-45 of the FASB Accounting Standards Codification. Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. | ||
Cash flows reporting | ' | |
The Company adopted paragraph 230-10-45-24 of the FASB Accounting Standards Codification for cash flows reporting, classifies cash receipts and payments according to whether they stem from operating, investing, or financing activities and provides definitions of each category, and uses the indirect or reconciliation method (“Indirect method”) as defined by paragraph 230-10-45-25 of the FASB Accounting Standards Codification to report net cash flow from operating activities by adjusting net income to reconcile it to net cash flow from operating activities by removing the effects of (a) all deferrals of past operating cash receipts and payments and all accruals of expected future operating cash receipts and payments and (b) all items that are included in net income that do not affect operating cash receipts and payments. The Company reports the reporting currency equivalent of foreign currency cash flows, using the current exchange rate at the time of the cash flows and the effect of exchange rate changes on cash held in foreign currencies is reported as a separate item in the reconciliation of beginning and ending balances of cash and cash equivalents and separately provides information about investing and financing activities not resulting in cash receipts or payments in the period pursuant to paragraph 830-230-45-1 of the FASB Accounting Standards Codification. | ||
Subsequent events | ' | |
The Company follows the guidance in Section 855-10-50 of the FASB Accounting Standards Codification for the disclosure of subsequent events. The Company will evaluate subsequent events through the date when the financial statements were issued. Pursuant to ASU 2010-09 of the FASB Accounting Standards Codification, the Company as an eventual SEC filer considers its financial statements issued when they are widely distributed to users, such as through filing them on EDGAR. | ||
Recently issued accounting pronouncements | ' | |
In July 2013, the FASB issued Accounting Standards Update 2013-11 Income Taxes (Topic 740) Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carry-forward, a Similar Tax Loss, or a Tax Credit Carry-forward Exists. An unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carry-forward, a similar tax loss or a tax credit carry-forward, except as follows. To the extent a net operating loss carry-forward, a similar tax loss or a tax credit carry-forward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The assessment of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. This Update applies to all entities that have unrecognized tax benefits when a net operating loss carry-forward, a similar tax loss, or a tax credit carry-forward exists at the reporting date. The amendments in this Update are effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. | ||
In January 2013, the FASB issued ASU No. 2013-01, Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities , which clarifies which instruments and transactions are subject to the offsetting disclosure requirements originally established by ASU 2011-11. The new ASU addresses preparer concerns that the scope of the disclosure requirements under ASU 2011-11 was overly broad and imposed unintended costs that were not commensurate with estimated benefits to financial statement users. In choosing to narrow the scope of the offsetting disclosures, the Board determined that it could make them more operable and cost effective for preparers while still giving financial statement users sufficient information to analyze the most significant presentation differences between financial statements prepared in accordance with U.S. GAAP and those prepared under IFRSs. Like ASU 2011-11, the amendments in this update will be effective for fiscal periods beginning on, or after January 1, 2013. The adoption of ASU 2013-01 is not expected to have a material impact on our financial position or results of operations. | ||
The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations. |
CONVERTIBLE_NOTES_PAYABLE_Tabl
CONVERTIBLE NOTES PAYABLE (Tables) | 3 Months Ended | ||||
Jun. 30, 2014 | |||||
Convertible Notes Payable Tables | ' | ||||
CONVERTIBLE NOTES PAYABLE | ' | ||||
At June 30, 2014 the Company had one note payable | |||||
June 30, | |||||
2014 | |||||
Notes Payable to an individual interest at 8%, payable on demand, convertible into common shares | 52,326 | ||||
Total Owed | 52,326 |
INCOME_TAX_Tables
INCOME TAX (Tables) | 3 Months Ended | ||||
Jun. 30, 2014 | |||||
Income Tax Tables | ' | ||||
Net deferred tax assets | ' | ||||
March 31, | |||||
2014 | |||||
Deferred Tax Assets – Non-current: | |||||
NOL Carryover | $ | 141,066 | |||
Payroll Accrual | - | ||||
Less valuation allowance | -141,066 | ||||
Deferred tax assets, net of valuation allowance | $ | - | |||
U.S. federal income tax rate | ' | ||||
2014 | |||||
Book Income | $ | (24,661,847 | ) | ||
Meals and Entertainment | 681 | ||||
Stock for Services | 24,440,100 | ||||
Payroll | 80,000 | ||||
Valuation allowance | 141,066 | ||||
$ | - |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) | 3 Months Ended |
Jun. 30, 2014 | |
Minimum [Member] | ' |
Asset lives | '3 years |
Maximum [Member] | ' |
Asset lives | '7 years |
GOING_CONCERN_Details_Narrativ
GOING CONCERN (Details Narrative) (USD $) | Jun. 30, 2014 | Mar. 31, 2014 | Aug. 01, 2013 |
Going Concern Details Narrative | ' | ' | ' |
Stockholders' Equity | $504,436 | $301,811 | ' |
CONVERTIBLE_NOTES_PAYABLE_Deta
CONVERTIBLE NOTES PAYABLE (Details) (USD $) | Jun. 30, 2014 | Mar. 31, 2014 |
Convertible Notes Payable Details | ' | ' |
Notes Payable to an individual interest at 8%, payable on demand, convertible into common shares | $52,326 | ' |
Total Owed | $52,326 | $58,826 |
NOTE_PAYABLEDEBENTURESDERIVATI1
NOTE PAYABLE-DEBENTURES/DERIVATIVE LIABILITY (Details Narrative) (USD $) | 3 Months Ended |
Jun. 30, 2014 | |
Note Payable-Debenturesderivative Liability Details Narrative | ' |
Derivative liability | $379,042 |
Expense | $192,376 |
Share price | 80.00% |
INCOME_TAX_Details
INCOME TAX (Details) (USD $) | Jun. 30, 2014 |
Deferred Tax Assets - Non-current: | ' |
NOL Carryover | $141,066 |
Payroll Accrual | ' |
Less valuation allowance | -141,066 |
Deferred tax assets, net of valuation allowance | ' |
INCOME_TAX_Details_1
INCOME TAX (Details 1) (USD $) | 3 Months Ended | 11 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | |
Income Tax Details 1 | ' | ' | ' |
Book Income | ($24,661,847) | ' | ' |
Meals and Entertainment | 681 | ' | ' |
Stock for Services | 24,440,100 | ' | ' |
Payroll | 80,000 | ' | ' |
Valuation allowance | 141,066 | ' | ' |
Income tax provision | ' | ' | ' |
INCOME_TAX_Details_Narrative
INCOME TAX (Details Narrative) (USD $) | 3 Months Ended |
Jun. 30, 2014 | |
Income Tax Details Narrative | ' |
Net operating loss carry forwards | $141,066 |
Net operating loss carry forwards expire | '2014 to 2034 |