Founded in Information Analysis Incorporated (the “Company”, “we”), to which we sometimes refer as IAI, is in the business of developing and maintaining information technology (IT) systems, modernizing client information systems, and performing professional IT services to government and commercial organizations. We presently concentrate our technology, services and experience to legacy software migration and modernization and developing web-based and mobile device solutions (including electronic forms conversions) for various agencies of the federal government. We provide software and services to government and commercial customers throughout the United States, with a concentration in the Washington, D.C. metropolitan area.

 

The accompanying unaudited financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions for Form -Q and Article - of Regulation S- Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, the unaudited financial statements include all adjustments necessary (which are of a normal and recurring nature) for the fair and misleading presentation of the results of the interim periods presented. These unaudited financial statements should be read in conjunction with our audited financial statements for the year ended included in the Annual Report on Form -K filed by the Company with the SEC on the “Annual Report”), as amended. The accompanying balance sheet was derived from our audited financial statements included in the Annual Report. The results of operations for any interim periods are necessarily indicative of the results of operations for any other interim period or for a full fiscal year.

 

There have been changes in the Company’s significant accounting policies as of with regard to the significant accounting policies disclosed in Note "Summary of Significant Accounting Policies" in the Company's Annual Report on Form -K for the fiscal year ended that was filed with the SEC on as amended, except as described in Note herein.

 

The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect certain reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results can, and in many cases will, differ from those estimates. 

 

As of there have been material changes to the Company’s uncertain tax position disclosures as provided in Note of the Annual Report. Through the filing of its federal income tax return, the Company has net operating loss carryforwards of approximately million, of which million will expire, if unused, on