**UNITED
        STATES**
 **SECURITIES
        AND EXCHANGE COMMISSION**
 **WASHINGTON,
        D.C. 20549**
  
 **FORM
        10-QSB**
 
 **x  QUARTERLY
        REPORT PURSUANT TO SECTION 13 OR 15(d)**
 **OF
        THE SECURITIES EXCHANGE ACT OF 1934**
 
 **For
        the Quarterly Period Ended September 30, 2005**
 
 **o 
        TRANSITION REPORT
        PURSUANT TO SECTION 13 OR 15(d)**
 **OF
        THE SECURITIES EXCHANGE ACT OF 1934**
 
 **For
        the Transition Period from _____ to _____**
  
 Commission
        File Number 000-24965
 
 **ADVANCED
        ID CORPORATION**
 (Exact
        name of small business issuer as specified in its charter)
 **South
                  Dakota**
              **46-0439668**(State
                  or other jurisdiction
                of
                  incorporation or organization)
              (IRS
                  Employer
                Identification
                  No.)**6143
                  - 4 Street SE****,
                  Suite 14**
                **Calgary,
                  Alberta, Canada******
              **T2H
                  2H9**(Address
                  of principal
                executive
                  office)
              (Postal
                  Code)
 
 Issuer's
        telephone number:
 **(403)
        264-6300**
 
 Indicate
        by check mark whether the registrant (1) has filed all reports required to
        be
        filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
        the
        preceding 12 months (or for such shorter period that the registrant was required
        to file such reports), and (2) has been subject to such filing requirements
        for
        the past 90 days.
 
 Yes  x  
        No   o
  **APPLICABLE
        ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PRECEEDING
        FIVE
        YEARS**
 
 Check
        whether the registrant has filed all documents and reports required to be
        filed
        by Sections 12, 13, or 15(d) of the Exchange Act subsequent to the distribution
        of securities under a plan confirmed by a court.
 
 Yes  o  No  o
 
 **APPLICABLE
        ONLY TO CORPORATE ISSUERS**
 
 State
        the
        number of shares outstanding of each of the issuer's classes of common equity,
        as of the latest practicable date:
 
 As
        of
        November 11, 2005 there were 44,755,343 shares of Class “A” common stock issued
        and outstanding.
 
 
 **ADVANCED
        ID CORPORATION**
 **FORM
        10-QSB**
 
 **For
        the Third Quarter Ended September 30, 2005**
  
 
 **INDEX**
 
 ***Part
        I. Financial Information***
  Item
        1.
        Financial Statements
  a.
                Consolidated Balance Sheetas
                  of September 30, 2005 and December 31,
                  2004
 b.
              Consolidated
                  Statementof
                  Operationsfor
                  the Three and Nine Months Ended September 30, 2005 and
                  2004
 
 c.
              Consolidated
                  Statement of Cash Flows for the Nine Months Ended September
                  30, 2005 and 2004
 
 d.
              Notes
                  to Consolidated Financial
                  Statements
 
 Item
        2.
        Management's Discussion and Analysis
 
 Item
        3.
        Controls and Procedures
 
 
 
 ***Part
        II. Other Information***
 
 Item
        1.
        Legal Proceedings
 
 Item
        2.
        Changes in Securities and Use of Proceeds
 
 Item
        3.
        Defaults upon Senior Securities
 
 Item
        4.
        Submission of Matters to a Vote of Securities Holders
 
 Item
        5.
        Other Information
 
 Item
        6.
        Exhibits and Reports on Form 8-K
 
 
 
 ***Signatures***
 
 2
 ***Part
        I. Financial Information***
 
 
 
 **Item
        1. Financial Statements**
  *Forward
        Looking Information*
 
 Various
        forward-looking statements have been made in this Form 10-QSB. Forward-looking
        statements may also be in the Company's other reports filed under the Securities
        Exchange Act of 1934, in its press releases and in other documents. In addition,
        from time to time, the Company, through its management, may make oral
        forward-looking statements.
 
 Forward-looking
        statements are only expectations, and involve known and unknown risks and
        uncertainties, which may cause actual results in future periods and other
        future
        events to differ materially from what is currently anticipated. Certain
        statements in this Form 10-QSB, including those relating to the Company's
        expected results, the accuracy of data relating to, and anticipated levels
        of,
        its future revenues, gross margins and earnings, its anticipated cash
        requirements and sources, are forward-looking statements. Such statements
        involve risks and uncertainties, which may cause results to differ materially
        from those set forth in these statements. Factors which may cause actual
        results
        in future periods to differ from current expectations include, among other
        things, the continued availability of sufficient working capital, the
        availability of adequate sources of capital, the successful integration of
        new
        employees into existing operations, the continued desirability and customer
        acceptance of existing and future products, the success of competitive products,
        the success of the Company's programs to strengthen its operational and
        accounting controls and procedures. In addition to these factors, the economic
        and other factors identified in this Form 10-QSB, including but not limited
        to
        the risk factors discussed herein and in the Company's previously filed public
        documents could affect the forward-looking statements contained in herein
        and
        therein.
 
 Forward-looking
        statements generally refer to future plans and performance, and are identified
        by the words "believe", "expect", "anticipate", "optimistic", "intend", "aim",
        "will" or the negative thereof and similar expressions. Readers are cautioned
        not to place undue reliance on these forward-looking statements, which speak
        only as of the date of which they are made. The Company undertakes no obligation
        to update publicly or revise any forward-looking statements.
 
 *Financial
        Statements and Notes*
 
 In
        the
        opinion of management, the accompanying unaudited financial statements included
        in this Form 10-QSB reflect all adjustments necessary for a fair presentation
        of
        the results of operations for the periods presented. The results of operations
        for the periods presented are not necessarily indicative of the results to
        be
        expected for the full year.
 
 3
 **ADVANCED
        ID CORPORATION**
 **CONSOLIDATED
        BALANCE SHEET**
 
 ASSETS
                
                September
                    30,
                  2005
                
                December
                    31, 2004(Unaudited)Current
                    AssetsCash
                
                $
                374,545
                
                $
                576,484Accounts
                    receivable and other, net of allowance for doubtful
                  accounts
                    of $4,914 and $4,740
                
                
                52,858
                
                
                51,952Inventory
                
                
                46,628
                
                
                78,895Prepaid
                    expenses
                
                
                3,985
                
                
                3,738Property
                    and equipment, net
                
                
                47,913
                
                
                25,235Goodwill
                
                
                55,486
                
                
                -Total
                    Other Assets
                
                
                103,399
                
                
                25,235Total
                    assets
                
                $
                581,415
                
                $
                736,304LIABILITIES
                    AND STOCKHOLDERS’ EQUITYCurrent
                    LiabilitiesAccounts
                    payable
                
                $
                161,403
                
                $
                90,615Notes
                    payable
                
                
                19,983Advanced
                    from related parties
                
                
                61,832
                
                
                46,268Accrued
                    liabilities
                
                
                83,262
                
                
                61,502Total
                    Current Liabilities
                
                
                326,480
                
                
                198,385Minority
                    interest in AFG Asia Engineering
                
                
                17,421
                
                
                -COMMITMENTSSTOCKHOLDERS’
                    EQUITY:Series
                    A preferred stock, $0.01 par; 500,000 shares
                  authorized
                    none issued
                
                
                -
                
                
                -Common
                    stock, $0.01 par value, 100,000,000 shares
                  authorized,
                    44,170,341 and 42,155,341 shares issued
                  and
                    outstanding
                
                
                441,703
                
                
                421,553Additional
                    paid-in capital
                
                
                3,519,113
                
                
                3,113,563Accumulated
                    deficit
                
                
                (3,742,787
                )
                
                (3,022,651
                )Accumulated
                    other comprehensive income
                
                
                19,485
                
                
                25,454Total
                    Stockholders’ Equity
                
                
                237,514
                
                
                537,919Total
                    Liabilities and Stockholders’ Equity
                
                $
                581,415
                
                $
                736,304
 
 The
        accompanying notes are an integral part of these consolidated financial
        statements.
  4
 **ADVANCED
        ID CORPORATION**
 **CONSOLIDATED
        STATEMENTS OF OPERATIONS**
 **AND
        COMPREHENSIVE LOSS**
 **Three
        and Nine Months Ended September 30, 2005 and 2004**
 **(Unaudited)**
 
 Three
                    Months Ended
                  September
                    30,
                
                Nine
                    Months Ended
                  September
                    30,2005
                
                2004
                
                2005
                
                2004Revenues
                
                $
                167,136
                
                $
                249,569
                
                $
                783,467
                
                $
                629,356Cost
                    of revenues
                
                
                86,459
                
                
                172,430
                
                
                388,681
                
                
                338,176Gross
                    profit
                
                
                80,677
                
                
                77,139
                
                
                394,786
                
                
                291,180Research
                    and development expense
                
                
                91,275
                
                
                117,285
                
                
                235,781
                
                
                340,764General
                    and administrative expense
                
                
                486,980
                
                
                136,994
                
                
                861,554
                
                
                657,604Loss
                    from operations
                
                
                (497,578
                )
                
                (177,140
                )
                
                (702,549
                )
                
                (707,188
                )Interest
                    expense
                
                
                (4,398
                )
                
                (6,629
                )
                
                (13,153
                )
                
                (1,029,149
                )Net
                    loss before minority interest
                
                
                (501,976
                )
                
                (183,769
                )
                
                (715,702
                )
                
                (1,736,337
                )Minority
                    share of net income
                
                
                (4,434
                )
                
                -
                
                
                (4,434
                )
                
                -Net
                    loss
                
                $
                (506,410
                )
                $
                (183,769
                )
                $
                (720,136
                )
                $
                (1,736,337
                )Comprehensive
                    Income (Loss):Foreign
                    currency translation
                
                
                1,315
                
                
                50,134
                
                
                (5,969
                )
                
                70,154Comprehensive
                    income (loss)
                
                $
                (505,095
                )
                $
                (133,635
                )
                $
                (726,105
                )
                $
                (1,666,183
                )Net
                    loss per share:Basic
                    and diluted
                
                $
                (0.01
                )
                $
                (0.00
                )
                $
                (0.02
                )
                $
                (0.04
                )Weighted
                    average shares outstanding:Basic
                    and diluted
                
                
                43,709,200
                
                
                41,654,183
                
                
                42,715,359
                
                
                40,347,636
 
  
 The
        accompanying notes are an integral part of these consolidated financial
        statements.
  5
 **ADVANCED
        ID CORPORATION**
 **CONSOLIDATED
        STATEMENTS OF CASH FLOWS**
 **Nine
        Months Ended September 30, 2005 and 2004**
 **(Unaudited)**
 
 2005
                
                2004CASH
                    FLOWS FROM OPERATING ACTIVITIESNet
                    loss
                
                $
                (720,136
                )
                $
                (1,736,337
                )Adjustments
                    to reconcile net loss to cash used in
                  operating
                    activities:Depreciation
                
                
                8,148
                
                
                5,911Stock
                    issued for services
                
                
                123,900
                
                
                213,400Non-cash
                    interest
                
                
                -
                
                
                969,180Non-cash
                    compensation
                
                
                153,300
                
                
                -Changes
                    in assets and liabilities:Accounts
                    receivable
                
                
                6,004
                
                
                (14,089
                )Other
                    current assets
                
                
                27,508
                
                
                (46,861
                )Accounts
                    payable and accrued expenses
                
                
                101,961
                
                
                46,612CASH
                    FLOWS USED IN OPERATING ACTIVITIES
                
                
                (299,315
                )
                
                (562,184
                )CASH
                    FLOWS USED IN INVESTING ACTIVITIESCapital
                    Expenditures
                
                
                (2,223
                )
                
                (15,892
                )CASH
                    FLOWS USED IN INVESTING ACTIVITIES
                
                
                (2,223
                )
                
                (15,892
                )CASH
                    FLOWS FROM FINANCING ACTIVITIESProceeds
                    from debenture
                
                
                -
                
                
                1,000,000Financing
                    Commissions
                
                
                -
                
                
                (31,541
                )Proceeds
                    from subscription agreement
                
                
                75,000
                
                
                250,000Proceeds
                    from options exercised
                
                
                -
                
                
                5,000Payments
                    on notes payable
                
                
                -
                
                
                (76,796
                )CASH
                    FLOWS FROM FINANCING ACTIVITIES
                
                
                75,000
                
                
                1,146,663MINORITY
                    INTEREST
                
                
                4,434
                
                
                -EFFECT
                    OF EXCHANGE RATE CHANGES
                
                
                20,165
                
                
                71,405NET
                    INCREASE (DECREASE) IN CASH
                
                
                (201,939
                )
                
                639,992Cash,
                    beginning of period
                
                
                576,484
                
                
                60,572Cash,
                    end of period
                
                $
                374,545
                
                $
                700,564NON
                    CASH FINANCING ACTIVITIES:Conversion
                    of debt to common stock
                
                $
                -
                
                $
                1,002,305
 The
        accompanying notes are an integral part of these consolidated financial
        statements.
  6
 **ADVANCED
        ID CORPORATION**
 **NOTES
        TO CONSOLIDATED FINANCIAL STATEMENTS**
 **(Unaudited)**
 
 NOTE
        1 -
        BASIS OF PRESENTATION
 
 The
        accompanying unaudited interim financial statements of Advanced ID Corporation
        (“Advanced ID”) have been prepared in accordance with accounting principles
        generally accepted in the United States of America and the rules of the
        Securities and Exchange Commission (“SEC”), and should be read in conjunction
        with the audited financial statements and notes thereto contained in the
        Company’s Annual Report filed with the SEC on Form 10-KSB. In the opinion of
        management, all adjustments, consisting of normal recurring adjustments,
        necessary for a fair presentation of financial position and the results of
        operations for the interim periods presented have been reflected herein.
        The
        results of operations for our interim periods are not necessarily indicative
        of
        the results to be expected for the full year. Notes to the financial statements
        that would substantially duplicate the disclosure contained in the audited
        financial statements for fiscal 2004, as reported in the Form 10-KSB filed
        on
        March 31, 2005, have been omitted.
 
 NOTE
        2 -
        RECENT ACCOUNTING PRONOUNCEMENTS
 
 In
        December 2004, the FASB, issued a revision to SFAS 123, also known
        as SFAS
        123R, that amends existing accounting pronouncements for share-based payment
        transactions in which an enterprise receives employee and certain non-employee
        services in exchange for (a) equity instruments of the enterprise
        or
        (b) liabilities that are based on the fair value of the enterprise’s equity
        instruments or that may be settled by the issuance of such equity instruments.
        SFAS 123R eliminates the ability to account for share-based compensation
        transactions using APB 25 and generally requires such transactions be accounted
        for using a fair-value-based method. SFAS 123R’s effective date would be
        applicable for awards that are granted, modified, become vested, or settled
        in
        cash in annual periods beginning after December 15, 2005. SFAS 123R
        includes three transition methods: one that provides for prospective application
        and two that provide for retrospective application. The Company intends to
        adopt
        SFAS 123R prospectively commencing in the first quarter of the fiscal year
        ending December 31, 2006. It is expected that the adoption of SFAS
        123R
        will cause the Company to record, as expense each quarter, a non-cash accounting
        charge approximating the fair value of such share based compensation meeting
        the
        criteria outlined in the provisions of SFAS 123R.
 
 NOTE
        3 -
        OPTIONS
 
 During
        the nine months ended September 30, 2005, the Board of Directors accelerated
        the
        vesting period on all outstanding options. As a result, a total of 1,280,000
        options became vested effective April 20, 2005 resulting in a total of 1,730,000
        options outstanding and vested. On July 21, 2005, an additional 1,000,000
        options were granted to the directors that vested immediately.
 
 The
        following table illustrates the effect on net income and earnings per share
        if
        Advanced ID had applied the fair value recognition provisions of FASB Statement
        No. 123, *Accounting
        for Stock-Based Compensation,* to
        stock-based employee compensation.
  7
  Three
                  Months Ended
                September
                  30,
              
              Nine
                  Months Ended
                September
                  30,2005
              
              2004
              
              2005
              
              2004Net
                  loss, as reported
              
              $
              (506,410
              )
              $
              (183,769
              )
              $
              (720,136
              )
              $
              (1,736,337
              )Deduct:
                  Total stock-based employee compensation expense determined under
                  the fair
                  value based method for all awards
              
              
              (199,529
              )
              
              -
              
              
              (745,736
              )
              
              -Pro
                  forma net loss
              
              $
              (705,939
              )
              $
              (183,769
              )
              $
              (1,465,872
              )
              $
              (1,736,337
              )Pro
                  forma net loss per share:Basic
                  and diluted - as reported
              
              $
              (0.01
              )
              $
              (0.00
              )
              $
              (0.02
              )
              $
              (0.04
              )Basic
                  and diluted - pro forma
              
              $
              (0.02
              )
              $
              (0.00
              )
              $
              (0.03
              )
              $
              (0.04
              )
 
 The
        fair
        value of each option granted is estimated on the date of grant using the
        Black-Scholes option-pricing model with the following weighted average
        assumptions: dividend yield $0, expected volatility of 100%, risk-free interest
        rate of 4.0%, and expected lives of 10 years.
 
 NOTE
        4 -
        ACQUISITION OF AFG ASIA ENGINEERING
 
 On
          July
          1, 2005, Advanced ID concluded an agreement to acquire a 60% interest in
          AFG
          Asia Engineering Co., Ltd. of Chiang Mai, Thailand to strengthen its resources
          in the radio frequency identification market. AFG Asia Engineering is in
          the
          design and development of ultra high frequency (UHF) radio frequency
          identification technology. The controlling interest in AFG Asia Engineering
          was
          acquired for a purchase price of 350,000 common shares of Advanced ID
          Corporation. The results of operations of AFG Asia Engineering are included
          in
          Advanced ID’s consolidated financials since July 1, 2005. The value that will be
          assigned to this acquisition will be $73,500 and which is based on 350,000
          shares multiplied by the closing share price of $0.21 on July 1,
          2005.
 
 NOTE
        5 -
        COMMON SHARES
  During
          the nine months ended September 30, 2005, Advanced ID issued a total of
          2,015,000 shares of common stock.
  In
          January and February 2005, Advanced ID issued a total of 60,000 shares
          of Common
          Stock to Financial Capital Consultants for consulting services rendered
          in
          connection with financial public relations and business development. Advanced
          ID
          recorded a non-cash expense of $18,900 related to these shares. The shares
          were
          valued based on the average closing price during the month in which they
          were
          expensed.
 On
        July
        1, 2005, Advanced ID issued 291,667 shares and 58,333 shares of Common Stock
        to
        Gottfried Auer and Mayuree Moonros to acquire a 60% interest in AFG Asia
        Engineering Co., Ltd. (See Note 4).
 
 On
        July
        21, 2005, Advanced ID issued a total of 400,000 shares of Common Stock to
        Financial Capital Consultants for consulting services rendered in connection
        with financial public relations and business development. Advanced ID recorded
        a
        non-cash expense of $84,000 related to these shares. The shares were valued
        based on the closing price on the date they were awarded.
 
 8
 On
        July
        21, 2005, Advanced ID issued a total of 730,000 shares of Common Stock to
        five
        employees and consultants as compensation for past services. Advanced ID
        recorded a non-cash expense of $153,300 related to these shares. The shares
        were
        valued based on the closing price on the date they were awarded.
 On
          July
          21, 2005, Advanced ID issued a total of 100,000 shares of Common Stock
          to the
          directors as compensation for services performed. Advanced ID recorded
          a
          non-cash expense of $21,000 related to these shares. The shares were valued
          based on the closing price on the date they were deemed awarded.
 On
        September 29, 2005, Advanced ID issued a total of 375,000 shares of Common
        Stock
        to three investors for cash proceeds totaling $75,000. In connection with
        the
        sale of the 375,000 shares of common stock, Advanced ID issued warrants to
        acquire 375,000 shares of common stock at $0.40 per share for a period of
        three
        years. No expense was recorded in the quarter related to the issuance of
        these
        warrants or common stock because the issuances related to fund raising
        costs.
 
 NOTE
        6 -
        SUBSEQUENT EVENTS
 
 On
        October 17, 2005, Advanced ID issued a total of 125,000 shares of Common
        Stock
        to one investor for cash proceeds totaling $25,000. In connection with the
        sale
        of the 125,000 shares of common stock, Advanced ID issued warrants to acquire
        125,000 shares of common stock at $0.40 per share for a period of three
        years.
 
 On
        October 20, 2005, Advanced ID amended its subscription agreements with the
        four
        investors noted above. As a result, each investor received an additional
        41,667
        shares of Common Stock and an additional 41,667 warrants. The exercise price
        of
        the warrants was also amended to $0.30 per share.
 
 On
        October 27, 2005, Advanced ID issued a total of 286,667 shares of Common
        Stock
        to four investors for cash proceeds totaling $43,000. In connection with
        the
        sale of the 286,667 shares of common stock, Advanced ID issued warrants to
        acquire 286,667 shares of common stock at $0.30 per share for a period of
        three
        years.
 
 On
        November 7, 2005, Advanced ID issued a total of 26,667 shares of Common Stock
        to
        one investor for cash proceeds totaling $4,000. In connection with the sale
        of
        the 26,667 shares of common stock, Advanced ID issued warrants to acquire
        26,667
        shares of common stock at $0.30 per share for a period of three
        years.
 Advanced
          ID and Salmon Creek Public Relations entered into an agreement dated August
          31,
          2005 where Salmon Creek is to provide public relations services to Advanced
          ID
          from August 31, 2005 through November 30, 2005. Should this agreement be
          renewed
          by both parties prior to November 30, 2005, Advanced ID has agreed to compensate
          Salmon Creek 15,000 shares of its common stock.
 NOTE
          7 -
          COMMITMENTS
 
 On
          September 15, 2005, Advanced ID entered into an employment agreement with
          Dan
          Finch who was hired as the company’s CEO & President for an annual salary of
          $94,200. In addition to his salary, Mr. Finch will receive a one-time payment
          of
          $5,000 for moving expenses and has the opportunity to earn up to 1,000,000
          options when pre-determined increases in revenues are attained.
 
 On
          July
          21, 2005, Advanced ID authorized the payment of a severance package to
          Todd
          Noble for assisting the company after announcing his resignation. Mr. Noble
          will
          receive one year’s salary of  $78,000 Canadian less appropriate
          deductions and is also
          entitled to maintain his 400,000 options under the identical terms except
          that
          any non-vested options shall immediately become vested on the date of
          termination .
 
 On
            July
            21, 2005, Advanced ID’s Board authorized compensation of $1,500 per month per
            director for Seymour Kazimirski, Hubert Meier, Terry Fields and David
            Goldenberg
            with such payment to accrue beginning July 2005 and with payment deferred
            until
            January 1, 2006.
  9
 **Item
        2. Management's Discussion and Analysis of Financial Condition and Results
        of
        Operations**
 
 *Results
        of Operations for the Three and Nine Months Ended Sept. 30, 2005 and
        2004*
 
 The
        net
        loss of $506,410 for the quarter ended September 2005 was higher by $322,641
        or
        176% versus last year's comparable quarter. The net loss for the current
        nine
        months ended September 2005 of $720,136 was smaller by $1,016,201 or 59%
        as
        compared to the same period in the previous year. Reasons for the higher
        net
        loss during the quarter ended September 2005 resulted from lower revenues,
        higher research and development expenses and higher general and administrative
        expenses. The significantly lower net loss for the current nine months ended
        September 2005 were largely due to higher revenues, lower interest expense
        and
        lower research and development expenses. The specific details of these changes
        are discussed below.
 
 *Revenues*
 
 Revenues
        of $167,136 earned during the quarter ended September 2005 were lower by
        $82,433
        or 33% over the comparable period last year. This decrease in revenues was
        due
        to the receipt of
        $36,690 from our Argentina distributor for a purchase order received in the
        quarter ended September 2004 and which did not occur in the comparable period
        in
        2005. Lower revenues also resulted due to the
        National Companion Animal Coalition’s (NCAC) change to phase out the use of
        FECAVA microchips, the previous standard, in favor of ISO microchips effective
        August 1, 2005. Until September 28, 2005, we had not obtained the requisite
        approval from the NCAC for our microchips that had a negative impact on our
        revenues during the quarter ended September 2005. Although
        FECAVA microchips are being phased out for companion animals by the NCAC,
        we
        continue to sell them for use in non-companion animals and to veterinarians
        who
        continue to prefer FECAVA over ISO microchips. Of the total revenues of
        $167,136 earned during the quarter ended September 2005, $144,307 or 86%
        were
        from our companion animal/biological sciences division in Canada and $22,829
        or
        14% were from our ultra high frequency (UHF) division with all such revenues
        located in the United States. All revenues earned during the comparable period
        in 2004 were from our companion animal/biological sciences division solely
        in
        Canada.
 
 Revenues
        of $783,467 earned during the first nine months of 2005 were higher by $154,111
        or 24% versus the comparable period last year. The increase in revenues for
        the
        nine months ended September 2005 was due to a $135,000 order received from
        two
        customers in the fisheries industry during the first quarter of 2005, the
        addition of AFG Asia Engineering’s revenues noted above and due to a growing
        acceptance to use radio frequency identification microchips as a permanent
        solution for the identification of animals. Similar orders from the fisheries
        industry have generally occurred in the fourth quarter in prior years. Of
        the
        total revenues of $783,467 earned during the first nine months of 2005, $752,343
        or 96% were from our companion animal/biological sciences division in Canada
        and
        $31,124 or 4% were from our UHF division with all such revenues located in
        the
        United States. All revenues earned during the comparable period in 2004 were
        from our companion animal/biological sciences division in Canada with the
        exception of $50,000 from our UHF division with all such revenues from
        Argentina.
 
 We
        expect
        a continued acceptance
        by owners to microchip their pets, increased activity by the biological science
        community and government agencies for the tracking of non-domesticated species,
        and increased frequency by various municipal animal control agencies to set
        policy and by-laws for the permanent tagging of pets in their respective
        communities.
 
 10
 An
        increasing number of countries including the United States, Canada, Australia,
        Argentina, Brazil, European Union, Thailand, Taiwan and others have either
        expressed their intent to move towards mandatory identification of livestock
        or
        have already committed to do so. With our focus to expand the use of microchips
        into the livestock industry, we believe these planned initiatives will continue
        to elevate our market presence and translate into higher revenues for future
        reporting periods.
 
 *Cost
        of Revenues*
 
 Cost
        of
        Revenues of $86,459 for the quarter ended September 2005 decreased by $85,971
        or
        50% over the previous year’s comparable period while cost of revenues of
        $388,681 for the first nine months of 2005 increased by $50,505 or 15%. The
        decrease in cost of revenues for the quarter ended September 2005 was due
        to a
        lower volume of products sold while the increase in cost of revenues for
        the
        first nine months of 2005 is attributed to a higher volume of products sold
        relative to each respective comparable period.
 
 Our
        gross
        margins of 48% during the quarter ended September 2005 was higher by 17%
        over
        the comparable period in 2004. The increase in gross margins was due to higher
        than expected manufacturing costs for the production of our radio frequency
        identification (RFID) livestock tags in the comparable quarter in 2004. These
        manufacturing costs have diminished significantly due to numerous adjustments
        to
        streamline specific manufacturing processes. The increase in gross margins
        also
        reflects a significantly stronger
        Canadian dollar relative to the US dollar. All our products purchased for
        resale
        in our companion animal and biological sciences division are paid for with
        US
        Dollars and sold in Canadian Dollars.
 
 Our
        gross
        margins of 50% during the first nine months of 2005 were higher by 4% over
        the
        comparable period in 2004. The increase in gross margins is attributed to
        the
        reasons cited above.
 
 Research
        and Development
 
 Research
        and development expenses of $91,275 for the quarter ended September 30, 2005
        were lower by $26,010 or 22% versus the comparable period last year. For
        the
        first nine months of 2005, research and development expenses of $235,781
        were
        lower by $104,983 or 31% than the comparable period in 2004. It is our
        expectation that our research and development expenses will be comparable
        for
        future reporting periods.
 
 *General
        and Administrative*
 
 For
        the
        quarter ended September 30, 2005, general and administrative expenses of
        $486,980 were higher by $349,986 or 255% over last year’s comparable period
        largely due to $153,300 in higher non-cash compensation to employees, $25,907
        in
        higher consulting fees, $49,550 in higher corporate communication charges,
        $23,116 in higher salaries due to increased staff, $38,891 in higher directors’
        fees which were paid in the second quarter of the previous year, $19,953
        in
        general and administrative expenses attributed to AFG Asia Engineering which
        did
        not exist in last year’s comparable period, and higher other general business
        expenditures. Of the total of $486,980 in general and administrative expenses
        for the quarter ended September 2005, $258,191 was attributed to non-cash
        charges.
 
 11
 For
        the
        first nine months of 2005, general and administrative expenses of $861,554
        were
        higher by $203,950 or 31% over the previous year’s comparable period largely due
        to $153,300 in higher non-cash compensation to employees and $99,194 in higher
        salaries due to increased staff offset by $104,517 in lower consulting fees,
        $36,390 in lower legal fees related to two financings executed in the first
        quarter of 2004, $9,090 in lower in lower directors’ fees which were paid in
        common stock and $19,953 in general and administrative expenses attributed
        to
        AFG Asia Engineering which did not exist in last year’s comparable period. The
        remaining difference is attributed to higher
        expenditures in professional fees, website development, corporate communication
        charges, and other general business expenditures.
 
 Consulting
        expenses for the quarter ended September 2005 of $37,234 were higher by $25,907
        or 70% over the previous year’s comparable period. Consulting expenses of
        $45,592 were lower by $104,517 or 70% during the first nine months of 2005
        versus the comparable period in the previous year. It is our expectation
        that
        our consulting expenses will be comparable to those fees allocated in the
        quarter ended September 2005 for future reporting periods.
 
 General
        and administrative expenditures are expected to continue to increase as we
        implement sales and marketing initiatives to develop markets for our new
        DataTRACTM RFID technology targeted at the livestock industry.
 
 *Minority
        Share of Net Income*
 
 On
        July
        1, 2005, Advanced ID concluded an agreement to acquire a 60% interest in
        AFG
        Asia Engineering Co., Ltd. The minority share of net income of $4,434 represents
        an adjustment to deduct the 40% non-owned interest in AFG Asia Engineering.
 
 *Interest
        Expense*
 
 During
        the quarter ended September 2005, interest expense of $4,398 decreased by
        $2,231
        or 34% when compared to the same quarter last year. Of the total of $4,398
        in
        interest expense for the quarter ended September 2005, $3,138 is non-cash
        interest related to a discount on a Note Payable owing to one of our Directors
        and $1,260 is accrued interest related to the same Note Payable. Of the total
        of
        $6,629 in interest expense for the quarter ended September 2004, $3,138 is
        non-cash interest related to a Note Payable owing to one of our Directors
        and
        $3,491 is cash interest expense attributed to our outstanding notes
        payable.
 
 For
        the
        first nine months of 2005, interest expense of $13,153 was lower by $1,015,996
        or 99% versus the comparable period in 2004. Of the total of $13,153 in interest
        expense for the first nine months ended September 2005, $9,414 is non-cash
        interest related to a discount on a Note Payable owing to one of our Directors
        and $3,739 is accrued interest related to the same Note Payable. Of the total
        of
        $1,029,149 in interest expense for the first nine months of 2004, $1,004,794
        is
        attributed to non-cash interest related to a discount regarding a debenture
        agreement entered into on January 20, 2004 and which matured June 29, 2004,
        $9,414 is non-cash interest related to a Note Payable owing to one of our
        Directors and $14,941 is cash interest expense attributed to our outstanding
        notes payable.
 
 12
 As
        at
        September 30, 2005, we had one note payable outstanding to one of our Directors
        and whose balance was $61,832. The note accrues interest at 10% per
        annum.
 
 *Liquidity
        and Capital Resources*
 
 As
        at
        September 30, 2005, we had cash and cash equivalents of $374,545.
  During
          the first nine months ended September 2005, net cash used in operating
          activities of $299,315 was lower by $262,869 or 47% as compared to last
          year's
          comparable period. The decrease in cash used by operating activities during
          the
          first nine months of 2005 as compared to the comparable period in 2004
          resulted
          primarily from a significantly smaller net loss during the current reporting
          period.
 
 During
          the first nine months ended September 2005, net cash used by investing
          activities of $ 2,223
          was
          lower by $13,669 or 86% during the prior year’s comparable period. Cash used by
          investing activities resulted from the purchase of office furniture and
          equipment, and software. We
          have
          no commitments for future purchases of capital assets.
 
 During
          the first nine months ended September 2005, net cash provided by financing
          activities of $75,000 was lower by $1,071,663 or 93% as compared to the
          previous
          year's comparable period. During the first nine months of 2005, we completed
          subscription agreements with three investors for $75,000 whereas we secured
          two
          private placements, received cash from the exercise of options and paid
          off
          certain notes payable in the comparable period in 2004.
 
 Currently
        in the global livestock industry, countries such as the United States, Taiwan,
        Australia, New Zealand, Thailand, European Union, Argentina and Brazil are
        considering or have expressed their intent to make the identification of
        livestock mandatory. The primary reasons for this action are to employ a
        system
        to improve the speed and accuracy of tracing livestock to minimize or eliminate
        the impact of food safety issues from human consumption of meat products,
        and
        because importing nations such as the European Union, Asia and North America
        are
        demanding that an identification and trace back system is in place from the
        countries in which they import meat products and livestock from. This trend
        is
        reasonably likely to have a material positive impact on our long-term revenues,
        results of operations and liquidity.
 
 Our
        internal and external sources of liquidity have included cash generated from
        the
        exercise of options and warrants, proceeds raised from subscription agreements
        and private placements, and advances from related parties. We are currently
        not
        aware of any trends that are reasonably likely to have a material impact
        on our
        liquidity. Our current cash balance is estimated to be sufficient to fund
        our
        current operations over the next four to six months and will not be sufficient
        to fund our long-term needs. The basis that our cash balance is expected
        to be
        sufficient to fund our current operations over the next three to six months
        is
        based on our current net cash usage rate (cash used offset by cash received)
        which we estimate to be $60,000 to $75,000 per month. It is our intent to
        secure
        a market share in the livestock identification industry which will require
        additional capital over the long term to undertake sales and marketing
        initiatives, further our research and development, and to manage timing
        differences in cash flows from the time product is manufactured to the time
        it
        is sold and cash is collected from the sale. Our capital
        strategy is to increase our cash balance through financing transactions,
        including the issuance of debt and/or equity securities. On May 12, 2005,
        the
        SEC declared our Form SB-2 registration statement effective whereby we
        registered common shares and warrants for the purpose of raising capital.
        No
        firm commitment arrangements have been entered into with the exceptions noted
        above and no assurances can be given that adequate levels of additional funding
        can be obtained on favorable terms, if at all.
 
 13
 **Item
        3. Controls and Procedures**
 
 Under
        the
        supervision and with the participation of our management, including our
        principal executive officer and principal financial officer, we conducted
        an
        evaluation of the effectiveness of the design and operation of our disclosure
        controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under
        the
        Securities Exchange Act of 1934, as of the end of the period covered by this
        report (the “Evaluation Date”).  Based on this evaluation, our principal
        executive officer and principal financial officer concluded as of the Evaluation
        Date that our disclosure controls and procedures were effective such that
        material information relating to Advanced ID Corporation, including our
        consolidated subsidiaries, required to be included in our Securities and
        Exchange Commission (“SEC”) reports is recorded, processed, summarized and
        reported within the time periods specified in SEC rules and forms and was
        made
        known to them by others within Advanced ID Corporation and its consolidated
        subsidiaries, particularly during the period when this report was being
        prepared.
  There
          were no changes in our internal control over financial reporting that occurred
          during our last fiscal quarter (our fourth fiscal quarter in the case of
          an
          annual report) that has materially affected, or is reasonably likely to
          materially affect, our internal control over financial reporting.
 With
        the
        resignation of Todd Noble as Chief Financial Officer effective October 31,
        2005,
        David Goldenberg will manage internal control over financial reporting on
        an
        interim basis until a new Chief Financial Officer is hired.
 
 ***Part
        II. Other Information***
 
 **Item
        1. Legal Proceedings**
 
 There
        are
        currently no pending or threatened legal proceedings which involve us or
        against
        any of our officers or directors as a result of their capacities with Advanced
        ID Corporation.
 
 **Item
        2. Changes in Securities and Use of Proceeds**
 
 Recent
        Sales of Unregistered Securities
 
 On
        January 4, 2005, we issued 100,000 options to Bill Hoffman, an employee of
        the
        company, with an exercise price of $0.38 that was the closing bid price on
        the
        date the options were issued.
 
 14
 In
        January and February 2005, we issued a total of 60,000 shares of our common
        stock to Financial Capital Consultants for consulting services rendered in
        connection with financial public relations and business
        development.
 
 On
        June
        29, 2005, we cancelled a previous issuance of 100,000 warrants to Kelly Simon,
        a
        previous investor in the company, and replaced them with 900,000 warrants
        with
        an exercise price of $0.40 per warrant and which are exercisable anytime
        until
        January 12, 2009.
 
 On
        July
        1, 2005, we issued 350,000 shares to Gottfried Auer and Mayuree Moonros to
        acquire a 60% interest in AFG Asia Engineering Co., Ltd., a Thailand
        company.
 
 On
        July
        21, 2005, we issued 730,000 shares of our common stock to five employees
        and
        consultants who included Jean Russell, Keith Taite, Cathy Hutcheson, Trevor
        Chittick and Marcella Buckland as non-cash compensation.
 
 On
        July
        21, 2005, we issued 400,000 shares of our common stock to Financial Capital
        Consultants for consulting services rendered in connection with financial
        public
        relations and business development.
 
 On
        July
        21, 2005, we issued a total of 1,000,000 options to the directors that included
        Hubert Meier, Che Ki Li, Terry Fields, Seymour Kazimirski and David Goldenberg
        for services performed as such.
 
 All
        of
        the securities issued above were issued pursuant to an exemption from
        registration under Section 4(2) of the Securities Act of 1934.
 
 **Item
        3. Defaults upon Senior Securities**
 
 None.
 
 **Item
        4. Submission of Matters to a Vote of Security Holders**
 
 On
        July
        21, 2005, we held our Annual General Meeting of shareholders for the purpose
        of
        re-electing the Board of Directors, re-appointing the auditors, Lopez, Blevins,
        Bork & Associates, LLP, and changing the corporate domicile from South
        Dakota to Nevada. Shareholders approved all three proposals.
 
 **Item
        5. Other Information**
 
 None.
 
 15
 **Item
        6. Exhibits and Reports on Form 8-K**
 
 (a)  Exhibits
 
 (3)  Articles
        of Incorporation, By-Laws and Stock Option Plan.
 (i)  Articles
        of Incorporation. 1
 (ii)  By-Laws. 1
 (iii)  Stock
        Option and Incentive Plan. 2
 
 (10)  Material
        Contracts.
 
 (i)  Employment
        agreement with Dan Finch. 2
  (11)  Statement
        of Computation of Per Share Earnings. 2
 
 This
        Computation appears in the Financial Statements.
 
 (21)  Subsidiaries
        of the Registrant.
 
 (i)
              AVID
                  Canada Corporation, an Alberta private company incorporated on
                  November
                  26, 1993 is wholly owned by the
                  registrant.
 (ii)
              Universal
                  Pet Care, Inc., a Hawaii private company incorporated on August
                  25, 1994
                  is wholly owned by the registrant.
 
 (31)  CEO
        and
        CFO Certifications. 2
 
 (32)  CEO
        and
        CFO Certifications Pursuant to Sarbanes-Oxley Act. 2
 
 1 Filed
        previously.
 2 Filed
        herewith.
  (b)  Reports
        on Form 8-K
 
 Change
        in
        Directors filed July 27, 2005.
 Resignation
        of Chief Financial Officer filed August 18, 2005.
 
 
 16
 **Signatures**
 
 
 Pursuant
        to the requirements of the Securities Exchange Act of 1934, the registrant
        has
        duly caused this report to be signed on its behalf by the undersigned thereunto
        duly authorized.
  **Advanced
                  ID Corporation**
                (Registrant)Dated:
                November 11, 2005
              By:
              /s/ Daniel
                W. FinchDaniel
                W. FinchChief Executive Officer and
                President
  By:
                /s/
                  David M. GoldenbergDavid
                    M. Goldenberg
                  Interim
                    Chief Financial Officer, Treasurer and Secretary
                  (As
                    a duly authorized officer on behalf of the
                  Registrant
                    and as Principal Financial and Accounting Officer)
 
 17