Income Taxes (Tables)

12 Months Ended

Sep. 30, 2016

The provision for income taxes consists of the following (in thousands):



	Years Ended September 30,
	2016		2015
Current tax expense U.S.	$	136	$	137
Current tax expense (benefit) foreign	133		(30		)
Deferred income tax expense	—		—
Provision for income taxes	$	269	$	107

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

U.S. and foreign components of income (loss) before income taxes were as follows (in thousands):



	Years Ended September 30,
	2016			2015
U.S.	$	(3,504	)	$	(4,122	)
Foreign	456			(296		)
Income (loss) before income taxes	$	(3,048	)	$	(4,418	)

Reconciliation of Income Tax Expense (Benefit) Computed at Country Specific Rate

The reconciliation of income tax expense (benefit) computed at the appropriate country specific rate to income tax expense (benefit) is as follows (in thousands):



	Years Ended September 30,
	2016			2015
Income tax expense (benefit) at statutory rate	$	(1,036	)	$	(1,502	)
State income tax expense (benefit)	(130		)	(131		)
Foreign tax activity	9			56
R&D tax credit expiration	—			—
Permanent differences, net	274			523
Adjustment of temporary differences to income tax returns	—			189
Change in valuation allowance	1,152			972
Income tax expense	$	269		$	107

Components of Deferred Tax Accounts Recognized for Financial Purposes

The significant components of the deferred tax accounts recognized for financial reporting purposes are as follows (in thousands):



	September 30,
	2016			2015
Deferred tax assets:
Net operating loss and other carryforwards	$	34,563		$	36,492
Common stock options	1,134			961
Unearned revenue	389			439
Other	423			63
Total deferred tax assets	36,509			37,955
Deferred tax liabilities:
Fixed assets	—			(149		)
Other	(144		)	(157		)
Total deferred tax liabilities	(144		)	(306		)

Net deferred tax asset	36,365			37,649
Valuation allowance	(36,299		)	(37,525		)
Equity gains on investment in Mediasite KK	(916		)	(916		)
Customer relationships	(718		)	(716		)
Goodwill amortization	(2,930		)	(2,690		)
Net deferred tax liability for goodwill and intangible assets amortization	$	(4,498	)	$	(4,198	)