Think Starnet is a Canadian company ???
Wrong. Think Delaware USA registry.
Interesting tax ramifications from SEC filing:
STARNET COMMUNICATIONS INTERNATIONAL INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(in United States dollars)
Year ended April 30, 1999
9. INCOME TAXES
(a) Prior to 1998, all of the Company's operations were located in Canada.
The income tax provision differs from the amount that would be
computed by applying the combined federal and provincial income tax
rate of 45.6% to the loss before taxes as follows:
1999 1998
$ $
- ------------------------------------------------------------------------------
Provision based on income (loss) before
income taxes 946,727 (451,402)
Increase (decrease) in tax provision
resulting from:
Expenses not deductible for income
tax purposes 18,145 89,300
Benefit of U.S. tax loss not currently
recognized 407,356 129,460
Lower effective income tax rates of
foreign subsidiaries (1,141,530) 208,025
Tax arising on software transfer - 70,294
Recognition of operating loss
carryforward (122,856) (9,275)
Other (74,360) 12,076
- ------------------------------------------------------------------------------
33,482 48,478
- ------------------------------------------------------------------------------ |
