Company: CBLO
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001599916-25-000058
Chunk: 6

Company: C2 Blockchain, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 1
Chunk 6
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 deficiency,
and other adverse key financial ratios.

The Company has not established
any source of revenue to cover its operating costs. Management plans to fund operating expenses with related party contributions to capital.
There is no assurance that management's plan will be successful. The financial statements do not include any adjustments relating to
the recoverability and classification of recorded assets, or the amounts and classification of liabilities that might be necessary in
the event that the Company cannot continue as a going concern.

Note
4 - Income Taxes

Potential benefits of income tax
losses are not recognized in the accounts until realization is more likely than not.  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. The Company has incurred a net operating loss carryforward
of $175,694 which begins expiring in 2041. The Company has adopted ASC 740, “Accounting for Income Taxes”, as of its
inception. Pursuant to ASC 740 the Company is required to compute tax asset benefits for non-capital losses carried forward. The potential
benefit of the net operating loss has not been recognized in these financial statements because the Company cannot be assured it is more
likely than not it will utilize the loss carried forward in future years.

On December 22, 2017,
the Tax Cuts and Jobs Act of 2017 was signed into law. This legislation reduced the federal corporate tax rate from the previous 35% to
21%.

Due to the
change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards for Federal income tax reporting purposes
are subject to annual limitations. Should a change in ownership occur, net operating loss carryforwards may be limited as to use in future
years.

Note
5 - Commitments and Contingencies

The Company follows
ASC 450-20, Loss Contingencies, to report accounting for contingencies.  Liabilities for loss contingencies
arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability
has been incurred and the amount of the assessment can be reasonably estimated. There were no commitments or contingencies as of March
31, 2025, and June 30, 2024