International Information Systems Security Cert Consortium Inc

“International information system security certification consortium, inc. (consortium), excluding the center for cyber safety and education (center), is generally exempt from u.s. Income taxes under section 501(c)(6) of the internal revenue code. The center for cyber safety and education is generally exempt from u.s. Income taxes under section 501(c)(3) of the internal revenue code. Information returns (forms 990) are filed with the internal revenue service (irs). The consortium has evaluated its tax positions taken for all open tax years and does not believe it has any uncertain income tax positions as defined by accounting principles generally accepted in the united states of america for income taxes. The 2014, 2015 and 2016 tax years are open and subject to examination by the irs. The consortium is not currently under audit nor has the consortium been contacted by the irs. Some foreign operations of the consortium are subject to foreign income taxes. Foreign taxes are expensed when incurred. There was no income tax expense related to foreign operations for year ended december 31, 2017 as the consortium has operating losses in foreign taxing jurisdictions and net operating loss carryforwards of approximately $2,207,000. The consortium operates in countries where foreign taxes are not paid, so there may be additional foreign tax jurisdictions that may assess income taxes to the consortium. The consortium has recorded a liability for value-added tax for services sold in foreign countries. The bulk of services are sold through independent training partners, which insulate the consortium from value-added tax exposure. However, there is a portion of services provided that are not provided through independent training partners and an accrual has been recorded as an estimate of tax exposure in these foreign countries. There may be additional foreign tax jurisdictions that may assess taxes to the consortium. In areas where the consortium collects and remits tax, revenues are recorded net of tax. As the consortium continues to expand and to administer examinations and provide training in foreign countries, there will be tax exposure to the consortium. Management is in a continual process of evaluating that exposure and has set aside a reserve of approximately $260,000 for unidentified tax liability at december 31, 2017. While the consortium believes that this reserve is sufficient to cover unidentified tax liabilities as of december 31, 2017, there is the potential for additional unrecognized tax consequences.”

“Center for cyber safety and education revenue 247,425. Uk and hk revenue 4,429,999.”

“Foreign exchange currency loss 102,293. Loss on disposal of fixed assets -313,284. Intercompany management fees 165,441.”

“Loss on disposal of fixed assets 313,284. Center for cyber safety and education expenses 1,059,821. Uk and hk expenses 4,847,292.”

“Contribution to center for cyber safety and education 600,000.”