Company: QSJC
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001683168-25-006089
Chunk: 15

Company: TANCHENG GROUP CO., LTD.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 15
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tax rates for the three and six months ended June 30, 2025 and 2024 is as follows:

    Schedule of reconciliation of tax expense 

    For the three months ended  June 30, 

    2025  
    2024 
  
    Loss before tax 
    $(85,157) 
    $(93,163)
  
    PRC statutory income tax rate 
     25%  
     25% 
  
    Provision for income taxes 
     (21,289) 
     (23,291)
  
    Non-taxable income 
     –  
     – 
  
    Non-deductible expenses 
     6,003  
     6,929 
  
    Change in valuation allowance 
     15,286  
     16,362 
  
    Tax effect on tax losses expired 
     –  
     – 
  
    Income tax expense 
    $–  
    $– 

    For the six months ended  June 30, 

    2025  
    2024 
  
    Loss before tax 
    $(207,364) 
    $(200,955)
  
    PRC statutory income tax rate 
     25%  
     25% 
  
    Provision for income taxes 
     (51,841) 
     (50,239)
  
    Non-taxable income 
     –  
     – 
  
    Non-deductible expenses 
     29,327  
     29,085 
  
    Change in valuation allowance 
     21,655  
     19,523 
  
    Tax effect on tax losses expired 
     859  
     1,631 
  
    Income tax expense 
    $–  
    $– 

The full realization of the tax benefit associated
with the losses carried forward depends predominantly upon the Company’s ability to generate taxable income during the carry-forward
period.

     13 

In assessing the realization of deferred tax assets,
management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate
realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary
differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income,
and tax planning strategies in making this assessment. A