Note 9 - Income Taxes

9 Months Ended

Sep. 30, 2016

Notes to Financial Statements

Income Tax Disclosure [Text Block]

9. INCOME TAXES

Generally, accounting standards require companies to provide for income taxes each quarter based on their estimate of the effective tax rate for the full year. The authoritative guidance for accounting for income taxes allows use of the discrete method when it provides a better estimate of income tax expense. Due to the Company's valuation allowance position, it is the Company's position that the discrete method provides a more accurate estimate of income tax expense and therefore income tax expense for the current quarter has been presented using the discrete method.  As the year progresses, the Company refines its estimate based on the facts and circumstances by each tax jurisdiction.  The following table summarizes income tax (benefit) expense on loss from continuing operations and the effective tax rate for the three- and nine-month periods ended September 30, 2016 and 2015: 

 

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2016			2015			2016			2015
Provision (benefit) from income tax	$	173		$	(180	)	$	(54	)	$	(430	)
Effective income tax rate		(2.5%	)		2.4	%		0.4	%		1.9	%

Income tax expense and benefit for the three- and nine-month periods ended September 30, 2016 was primarily due to the reclassification of CSO as discontinued operations and the tax adjustments associated with that reclassification

. Income tax benefit for the three- and nine-month periods ended September 30, 2015 was primarily due to net operating losses, partially offset by minimum state and local taxes.