INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2021

Schedule of Domestic and Foreign Components of Income Before Tax for Operations

The domestic and foreign components of income (loss) before taxes for our operations consist of the following for the years ended December 31:


	2021		2020		2019
Domestic	$	(9,970)	$	(7,103)	$	33,837
Foreign	7,416		5,143		22,865
Total (loss) income before income taxes	$	(2,554)	$	(1,960)	$	56,702

Schedule of Components of the Provision for Income Taxes

The components of the (benefit) provision for income taxes consist of the following for the years ended December 31:


	2021		2020		2019
Current – Federal	$	(707)	$	162	$	4,543
Current – State	209		196		557
Current – Foreign	800		1,407		13,272
Current income tax expense	302		1,765		18,372

Deferred – Federal	(1,386)		(1,997)		1,770
Deferred – State	(996)		156		(290)
Deferred -– Foreign	536		(472)		2,809
Deferred income tax (benefit) expense	(1,846)		(2,313)		4,289
Income tax (benefit) provision	$	(1,544)	$	(548)	$	22,661

Schedule of Deferred Tax Assets and Liabilities

Our deferred tax assets and liabilities consist of the following at December 31:


	2021		2020
Deferred tax assets:
Net operating loss carryforward	$	7,388	$	8,715
Inventory differences	805		644
Equity compensation	1,661		1,357
Investment in joint venture	187		—
Restructuring	196		103
Purchased intangibles and goodwill	759		1,308
Accrued employee compensation and benefits	4,113		3,562
Lease liabilities	2,795		2,792
Other, net	826		753
Gross deferred tax assets	18,730		19,234
Less valuation allowances	(6,640)		(8,566)
Total deferred tax assets	12,090		10,668

Deferred tax liabilities:
Purchased intangible assets	—		(373)
Depreciation and amortization	(4,466)		(4,878)
Right of use assets	(2,551)		(2,550)
Other, net	(345)		(539)
Total deferred tax liabilities	(7,362)		(8,340)

Net deferred tax assets	$	4,728	$	2,328

Schedule of Reconciliation of Income Tax Provision

A reconciliation of our income tax provision computed by applying the Federal statutory income tax rate of 21% to income before taxes is as follows for the years ended December 31:


	2021		2020		2019
Statutory U.S. federal income tax	$	(536)	$	(412)	$	11,907
U.S. state income tax, net of federal benefit	(338)		(24)		492
Loss attributable to noncontrolling interest	170		—		—
Foreign rate differential	1,690		1,223		4,257

Tax audit adjustments	39		—		—
Permanent items	683		210		379

Equity compensation	(1,476)		(715)		(1,469)
Deemed repatriation of foreign earnings	—		—		187
German legal entity structuring	—		1,161		—





DynaEnergetics Siberia shut down	—		324		6,193
Return to provision adjustments	(345)		(565)		108
Research credits	—		(115)		(105)
Other	(28)		10		179
Change in valuation allowances	(1,403)		(1,645)		533

Income tax (benefit) provision	$	(1,544)	$	(548)	$	22,661