Company: QSJC
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001683168-25-008383
Chunk: 45

Company: TANCHENG GROUP CO., LTD.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 45
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 and nine months ended September 30, 2025 and 2024 is as follows:

    Schedule of reconciliation of tax expense 

    For the three months ended  September 30, 

    2025  
    2024 
  
    Loss before tax 
    $(71,696) 
    $(53,941)
  
    PRC statutory income tax rate 
     25%  
     25% 
  
    Provision for income taxes 
     (17,924) 
     (13,485)
  
    Non-deductible expenses 
     6,107  
     6,109 
  
    Change in valuation allowance 
     11,810  
     7,372 
  
    Tax effect on tax losses expired 
     7  
     4 
  
    Income tax expense 
    $–  
    $– 

    For the nine months ended  September 30, 

    2025  
    2024 
  
    Loss before tax 
    $(279,060) 
    $(254,896)
  
    PRC statutory income tax rate 
     25%  
     25% 
  
    Provision for income taxes 
     (69,765) 
     (63,724)
  
    Non-taxable income 
     –  
     – 
  
    Non-deductible expenses 
     35,434  
     35,194 
  
    Change in valuation allowance 
     33,465  
     26,895 
  
    Tax effect on tax losses expired 
     866  
     1,635 
  
    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.

     14 

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 valuation allowance is provided for deferred tax assets if it is more likely
than not that these items will either