| INCOME TAXES |
| |
a) |
Provision for Income
Taxes |
A reconciliation of income taxes at
statutory rates with the reported taxes is as follows:
| |
|
2022 |
|
|
2021 |
|
|
2020 |
|
| |
|
($) |
|
|
($) |
|
|
($) |
|
| Loss for the year |
|
|
(21,762,333 |
) |
|
|
(17,847,892 |
) |
|
|
(6,911,040 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Expected income tax (recovery) |
|
|
(5,876,000 |
) |
|
|
(4,819,000 |
) |
|
|
(1,866,000 |
) |
| Change in statutory, foreign tax, foreign exchange rates
and other |
|
|
(12,000 |
) |
|
|
294,000 |
|
|
|
275,000 |
|
| Permanent differences |
|
|
1,875,000 |
|
|
|
1,107,000 |
|
|
|
403,000 |
|
| Share issue costs |
|
|
370,000 |
|
|
|
432,000 |
|
|
|
- |
|
| Adjustment to prior years provision versus statutory tax
returns |
|
|
- |
|
|
|
- |
|
|
|
(35,000 |
) |
| Change in unrecognized deductible
temporary differences |
|
|
3,643,000 |
|
|
|
2,986,000 |
|
|
|
1,223,000 |
|
| Income tax expense |
|
|
- |
|
|
|
- |
|
|
|
- |
|
The significant components of the Company’s
deferred tax assets that have not been included on the consolidated statement of financial position are as follows:
| |
|
2022 |
|
|
2021 |
|
|
2020 |
|
| |
|
($) |
|
|
($) |
|
|
($) |
|
| Non-capital losses carry-forward |
|
|
14,519,000 |
|
|
|
11,751,000 |
|
|
|
7,841,000 |
|
| Exploration and evaluation assets |
|
|
1,470,000 |
|
|
|
1,470,000 |
|
|
|
1,470,000 |
|
| Share issuance costs |
|
|
789,000 |
|
|
|
735,000 |
|
|
|
109,000 |
|
| Debt with accretion |
|
|
- |
|
|
|
(70,000 |
) |
|
|
(70,000 |
) |
| Intangible assets |
|
|
622,000 |
|
|
|
179,000 |
|
|
|
1,336,000 |
|
| Other deferreds |
|
|
12,000 |
|
|
|
37,000 |
|
|
|
- |
|
| Allowable capital losses |
|
|
3,558,000 |
|
|
|
3,801,000 |
|
|
|
3,592,000 |
|
| Property and equipment |
|
|
76,000 |
|
|
|
35,000 |
|
|
|
64,000 |
|
| |
|
|
21,046,000 |
|
|
|
17,938,000 |
|
|
|
14,342,000 |
|
| Unrecognized deferred tax assets |
|
|
(21,046,000 |
) |
|
|
(17,938,000 |
) |
|
|
(14,342,000 |
) |
The significant components of the Company’s
temporary differences, unused tax credits and unused tax losses that have not been included on the consolidated statement of financial
position are as follows:
| Temporary Differences |
|
2022 |
|
|
Expiry Date Range |
|
2021 |
|
|
Expiry Date Range |
| |
|
($) |
|
|
|
|
($) |
|
|
|
| Non-capital losses available for
future periods - US |
|
|
41,188,000 |
|
|
2036 to indefinite |
|
|
29,390,000 |
|
|
2036 to indefinite |
| Non-capital losses available for future periods
- Canada |
|
|
21,739,000 |
|
|
2026 to 2042 |
|
|
20,664,000 |
|
|
2026 to 2041 |
| Allowable capital losses |
|
|
13,178,000 |
|
|
No expiry date |
|
|
14,077,000 |
|
|
No expiry date |
| Property and equipment |
|
|
270,000 |
|
|
No expiry date |
|
|
128,000 |
|
|
No expiry date |
| Intangible assets |
|
|
2,962,000 |
|
|
No expiry date |
|
|
853,000 |
|
|
No expiry date |
| Exploration and evaluation assets |
|
|
5,446,000 |
|
|
No expiry date |
|
|
5,446,000 |
|
|
No expiry date |
| Share issuance costs |
|
|
2,922,000 |
|
|
No expiry date |
|
|
2,724,000 |
|
|
No expiry date |
Tax attributes are subject to review,
and potential adjustment, by tax authorities.
|