Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

v3.20.4
INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2020
INCOME TAXES  
Schedule of components of income tax provision

The income tax (benefit) expense attributable to the Company’s income (loss) before income taxes consisted of the following:

 

 

 

 

 

 

 

(In Thousands)

 

Years Ended December 31, 

 

    

2020

    

2019

Current Taxes

 

 

 

 

 

 

Federal

 

$

 —

 

$

 —

State

 

 

 —

 

 

 —

 

 

 

 —

 

 

 —

Deferred Taxes

 

 

  

 

 

  

Federal

 

 

157

 

 

(1,014)

State

 

 

(395)

 

 

(743)

Increase in valuation allowance

 

 

146

 

 

1,837

 

 

 

(92)

 

 

80

 

 

$

(92)

 

$

80

 

Schedule of effective income tax rate reconciliation

 

 

 

 

 

 

 

(In Thousands)

 

Years Ended December 31, 

 

    

2020

    

2019

Current Taxes

 

 

 

 

 

 

Federal

 

$

 —

 

$

 —

State

 

 

 —

 

 

 —

 

 

 

 —

 

 

 —

Deferred Taxes

 

 

  

 

 

  

Federal

 

 

157

 

 

(1,014)

State

 

 

(395)

 

 

(743)

Increase in valuation allowance

 

 

146

 

 

1,837

 

 

 

(92)

 

 

80

 

 

$

(92)

 

$

80

 

 

A reconciliation of the federal income tax statutory rate and the Company’s effective tax rate is as follows:

 

 

 

 

 

 

 

 

 

 

 

(In Thousands)

 

Years Ended December 31, 

 

 

2020

 

2019

Tax Rate Reconciliation

    

Percent

    

Amount

    

Percent

    

Amount

Federal income tax expense (benefit) at U.S. statutory rate

 

21.0

%  

$

12

 

21.0

%  

$

(1,206)

State taxes, net of federal benefit

 

(567.3)

%  

 

(312)

 

10.2

%  

 

(587)

Change in valuation allowance

 

265.5

%  

 

146

 

(32.0)

%  

 

1,836

Permanent differences

 

221.8

%  

 

122

 

(3.7)

%  

 

215

Credits

 

(118.2)

%  

 

(65)

 

2.7

%  

 

(156)

Other

 

9.9

%  

 

 5

 

0.4

%  

 

(22)

 

 

(167.3)

%  

$

(92)

 

(1.4)

%  

$

80

 

Schedule of deferred tax assets and liabilities

The Company’s deferred tax assets (liabilities) consisted of the following:

 

 

 

 

 

 

 

(In Thousands)

 

December 31, 

 

    

2020

    

2019

Deferred tax assets:

 

 

 

 

 

 

Deferred compensation

 

$

637

 

$

591

Intangible assets and amortization

 

 

3,293

 

 

3,761

Net operating loss carry-forwards

 

 

7,486

 

 

7,834

Accrued expenses

 

 

984

 

 

853

Allowance for doubtful accounts

 

 

40

 

 

32

Credits

 

 

733

 

 

668

Common stock warrant liability

 

 

558

 

 

402

Loan Fees

 

 

157

 

 

129

Interest valuation

 

 

64

 

 

65

Interest limitation

 

 

 —

 

 

1,712

Lease liabilities

 

 

4,045

 

 

4,345

Charitable contribution carry-forward

 

 

137

 

 

125

Deferred revenues

 

 

1,408

 

 

 —

Accrued Social Security

 

 

291

 

 

 —

Valuation allowance

 

 

(11,108)

 

 

(10,962)

 

 

 

8,725

 

 

9,555

Deferred tax liabilities:

 

 

  

 

 

  

Depreciation of fixed assets

 

 

(1,054)

 

 

(1,711)

Amortization of indefinite-lived intangibles

 

 

(3,022)

 

 

(2,803)

Prepaid expenses

 

 

(571)

 

 

(656)

Effect of state taxes on future federal returns

 

 

(868)

 

 

(785)

Right of use assets

 

 

(3,856)

 

 

(4,282)

Other

 

 

26

 

 

(30)

 

 

 

(9,345)

 

 

(10,267)

 

 

$

(620)

 

$

(712)