Income Taxes (Tables)

12 Months Ended

Sep. 29, 2018

The income tax provision of all the legal entities included in the Partnership’s consolidated statement of operations, which is composed primarily of state income taxes in the few states that impose taxes on partnerships and minimum state income taxes on the Corporate Entities, consists of the following:

	Year Ended
	September 29,			September 30,		September 24,
	2018			2017		2016
Current
Federal	$	7		$	13	$	7
State and local		473			446		581
		480			459		588
Deferred benefit		(1,086	)		—		—
	$	(606	)	$	459	$	588

Income tax reconciliation

The provision for income taxes differs from income taxes computed at the United States federal statutory rate as a result of the following:

	Year Ended
	September 29,			September 30,			September 24,
	2018			2017			2016
Income tax provision at federal statutory tax rate	$	15,945		$	13,459		$	5,260
Impact of Partnership income not subject to federal income taxes		(15,939	)		(13,892	)		(9,844	)
Permanent differences		65			3			182
Change in valuation allowance		(21,307	)		406			4,737
State income taxes		656			864			(211	)
Remeasurement of net deferred tax assets (1)		19,941			—			—
Other		33			(381	)		464
Provision for income taxes - current and deferred	$	(606	)	$	459		$	588

(1)

As described above, federal net deferred tax assets were remeasured, pursuant to the 2017 Act, using the new 21% federal income tax rate and the full valuation allowance was adjusted accordingly.

Deferred tax assets and liabilities

The components of net deferred taxes and the related valuation allowance using currently enacted tax rates are as follows:

	Year Ended
	September 29,			September 30,
	2018			2017
Deferred tax assets (1):
Net operating loss carryforwards	$	38,672		$	59,731
Allowance for doubtful accounts		225			315
Inventory		291			572
Deferred revenue		661			1,041
AMT credit carryforward		1,086			1,086
Other accruals		1,661			1,883
Total deferred tax assets		42,596			64,628
Deferred tax liabilities:
Intangible assets		1,131			1,223
Property, plant and equipment		2,498			4,217
Total deferred tax liabilities		3,629			5,440
Net deferred tax assets		38,967			59,188
Valuation allowance (1)		(37,881	)		(59,188	)
Net deferred tax assets	$	1,086		$	—

(1)

As described above, federal net deferred tax assets were remeasured, pursuant to the 2017 Act, using the new 21% federal income tax rate and the full valuation allowance was adjusted accordingly.