Emmaus Life Sciences, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

INCOME TAXES (Tables)

12 Months Ended

Sep. 30, 2014

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

Reconciliations of the provision (benefit) for income taxes to the amount compiled by applying the statutory federal income tax rate to profit (loss) before income taxes is as follows for each of the fiscal years ended September 30:

	2014			2013
Federal income tax (benefit) at statutory rates		(34.0)	%		(34.0)	%
Stock-based compensation		(0.2)	%		3.0	%
Nondeductible interest expense		-			4.0	%
Extinguishment of debt		1.5	%		(2.0)	%
Change in valuation allowance		(5)	%		3.0	%
True-ups and other adjustments		(26.9)	%		-
State tax benefit		(3.4)	%		9.0	%
Inducement to convert		-			17	%

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

Temporary differences between the financial statement carrying amounts and bases of assets and liabilities that give rise to significant portions of deferred taxes relate to the following at September 30, 2014 and 2013:

	2014		2013
Deferred income tax assets:
Net operating loss carryforward	$	13,083,200	$	15,370,600
Deferred interest, consulting and compensation liabilities		1,529,800		1,168,300
Amortization		-		2,900
Deferred income tax assets other		5,800		4,300
		14,618,800		16,546,100
Deferred income tax liabilitiesother		(1,600)		-
Deferred income tax assetnet before valuation allowance		14,617,200		16,546,100
Valuation allowance		(14,617,200)		(16,546,100)
Deferred income tax assetnet	$	-	$	-