Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Income Tax Disclosure [Abstract]

Income (loss) before income tax, domestic and foreign

For financial reporting purposes, loss from continuing operations before income taxes includes the following components (in thousands):

	Years Ended December 31,
	2018			2017
United States	$	(43,694	)	$	(52,720	)
Foreign	(1,844		)	(583		)
Total	$	(45,538	)	$	(53,303	)

Components of income tax expense (benefit)

The provision for income taxes based on loss from continuing operations before income taxes is as follows (in thousands):

	Years Ended December 31,
	2018			2017
Federal:
Current	$	—		$	—
Deferred	(5,763		)	18,646
	(5,763		)	18,646
State:
Current	7			5
Deferred	(651		)	231
	(644		)	236
Foreign:
Current	405			519
Deferred	(703		)	(1,880		)
	(298		)	(1,361		)
(Decrease) increase in valuation allowance	5,609			(16,962		)
Tax provision	$	(1,096	)	$	559

Tax rate reconciliation

The primary components of such difference are as follows (in thousands):

	Years Ended December 31,
	2018			2017
Taxes at federal statutory rate	$	(9,563	)	$	(18,123	)
State taxes, net of federal benefit	(97		)	(236		)
Effect of tax rate differential for foreign subsidiary	176			(340		)
Valuation allowance, including tax benefits of stock activity	5,609			(16,962		)
Tax rate change	(244		)	34,732
Discontinued operations	1,927			—
Stock-based compensation	513			224
Foreign withholding taxes	414			295
Return to provision adjustments	667			(2,931		)
Subpart F income inclusion	—			2,998
SEC settlement penalty	—			959
Business combination	—			(1,914		)
Other, net	(498		)	1,857
Tax provision	$	(1,096	)	$	559

Deferred tax assets and liabilities

Items that give rise to significant portions of the deferred tax accounts are as follows (in thousands):

	December 31,
	2018			2017
Deferred tax assets:
Tax loss carryforwards	$	53,834		$	50,183
Accrued foreign taxes	—			1,044
Research and development and other tax credit carryforwards	1,149			792
Uniform capitalization, contract and inventory related reserves	1,388			982
Accrued vacation	327			301
Allowance for doubtful accounts	147			161
Stock-based compensation	2,309			2,029
Capitalized research and development	2,688			3,043
Tax basis depreciation less book depreciation	1,888			1,492
Pension assets	992			1,022
Deferred revenue	798			175
163(j) interest limitation	1,135			—
Other	1,741			2,367
Total	68,396			63,591
Deferred tax liabilities:
Withholding tax on undistributed earnings of foreign subsidiary	—			(4,879		)
Intangible assets	(978		)	(1,514		)
Foreign exchange gains/losses	(183		)	(351		)
Total	(1,161		)	(6,744		)
Net deferred tax assets before valuation allowance	67,235			56,847
Valuation allowance	(67,012		)	(61,403		)
Net deferred tax assets (liabilities)	$	223		$	(4,556	)

Unrecognized tax benefits rollforward

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

Balance at December 31, 2016	$	15,579
Increase in current period positions	1,081
Decrease in prior period positions	(518		)
Balance at December 31, 2017	16,142
Increase in current period positions	1,167
Increase in prior period positions	340
Decrease in prior period positions	(32		)
Balance at December 31, 2018	$	17,617