TAXES ON INCOME (Tables)

12 Months Ended

Dec. 31, 2020

TAXES ON INCOME

Schedule of income (loss) before taxes on income

	Year Ended December 31,
	2020		2019		2018
Domestic	$	30,008	$	(18,264)	$	10,084
Foreign		6,639		6,949		6,503
	$	36,647	$	(11,315)	$	16,587

Schedule of taxes on income (tax benefits)

	Year Ended December 31,
	2020		2019		2018
Current taxes	$	742	$	990	$	843
Deferred tax expense (income)		8,657		(16,282)		2,251
	$	9,399	$	(15,292)	$	3,094
Domestic	$	7,519	$	(10,421)	$	1,610
Foreign		1,880		(4,871)		1,484
	$	9,399	$	(15,292)	$	3,094

Summary of significant components of the deferred tax liabilities and assets

f. Deferred income taxes:

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Group’s deferred tax liabilities and assets are as follows:

	December 31,
	2020		2019
Deferred tax assets:
Net operating loss carryforward	$	26,506	$	31,391
Reserves and allowances		10,861		12,588
Net deferred tax assets before valuation allowance		37,367		43,979
Less - valuation allowance		(25,286)		(23,513)
Deferred tax asset	$	12,081	$	20,466
Deferred tax liability	$	(206)	$	(139)
Deferred tax asset:
Domestic		6,643		13,863
Foreign		5,438		6,603
	$	12,081	$	20,466
Deferred tax liability:
Foreign	$	(206)	$	(139)

Schedule of reconciliation of the theoretical tax expense (benefit)

g. Reconciliation of the theoretical tax expenses:

A reconciliation between the theoretical tax expense (benefit), assuming all income is taxed at the Israeli statutory corporate tax rate applicable to the income of the Company, and the actual tax expense (benefit) as reported in the statement of operations is as follows:

	Year Ended December 31,
	2020			2019			2018
Income (loss) before taxes, as reported in the consolidated statements of operations	$	36,647		$	(11,315)		$	16,587
Israeli statutory corporate tax rate		(*)11.5	%		23.0	%		23.0	%
Theoretical tax expense (benefit) on the above amount at the Israeli statutory corporate tax rate	$	4,215		$	(2,602)		$	3,815
Income tax at rate other than the Israeli statutory corporate tax rate		1,201			78			458
Non-deductible expenses, including share-based compensation expenses		405			693			384
Losses for which valuation allowance was utilized		(2,500)			(12,076)			(2,874)
Changes in exchange rates of subsidiaries		(1,324)			(1,455)			1,388
Impact of rate change		6,931			—			—
Unrecognized tax benefits		—			—			(386)
Impact of TCJA in the U.S.		—			—			271
Other		471			70			38
Actual tax expense (benefit)	$	9,399		$	(15,292)		$	3,094

(*) The revised Israeli tax in accordance with the Company’s PTE effective tax rate