Income Taxes (Tables)

3 Months Ended

Mar. 31, 2013

Income Taxes [Abstract]

Components of income tax expense (benefit)

The components of income tax expense (benefit) are as follows:

(in thousands)	Three Months Ended March 31, 2013			Three Months Ended March 31, 2012
Federal - current	$	-		$	-
State - current		64			11
Total current		64			11
					-
Federal - deferred		(229	)		(170	)
Change in valuation allowance		229			170
Total deferred		-			-
Total income tax expense	$	64		$	11

Income tax reconciliation

The components of pretax income (loss) and the difference between income taxes computed at the statutory federal rate of 35% in 2013 and 2012, and the provision for income taxes are as follows:

(in thousands)	Three Months Ended March 31, 2013			Three Months Ended March 31, 2012
Income (loss) before income taxes	$	(653	)	$	(485	)
Tax expense (benefit) :
Tax at statutory federal rate	$	(229	)	$	(170	)
Permanent items		-			-
State income taxes		64			11
Accounting loss benefit not recognized		-			-
Change in valuation allowance		229			170
Income tax expense (benefit)	$	64		$	11

A reconciliation of the United States federal statutory rate to the Company's effective income tax rate is as follows:

	Three Months Ended March 31, 2013				Three Months Ended March 31, 2012
Tax at statutory federal rate		35.0		%		35.0		%
State income taxes		(9.8	)			(2.6	)
Accounting loss benefit not recognized		-				-
Change in valuation allowance		(35.0	)			(35.0	)
Permanent differences, tax credits and other adjustments		-				-
Effective income tax rate		(9.8	)	%		(2.6	)	%