INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2016

Income Tax Disclosure [Abstract]

Income tax expense (benefit) provision

	Year Ended December 31,
	2016		2015			2014
Federal income tax (benefit) expense:
Current	$	—	$	(228,000	)	$	(22,000	)
Deferred		—		—
		—		(228,000	)		(22,000	)
State and local:
Current		—		(47,000	)		(5,000	)
Deferred		—		—			—
		—		(47,000	)		(5,000	)
Total:
Current		—		(275,000	)		(27,000	)
Deferred		—		—			—
	$	—	$	(275,000	)	$	(27,000	)

Reconciliation between income tax benefit and income taxes

	Year Ended December 31,
	2016			2015			2014
Expected income tax (benefit) at statutory Federal tax rate (34%)	$	(1,897,000	)	$	(1,051,000	)	$	(2,251,000	)
State and local taxes, net of Federal tax effect		(400,000	)		(68,000	)		(464,000	)
Increase in valuation allowance		1,704,000	(1)		784,000			2,551,000
Nondeductible transaction costs related to change in control		482,000
Expiration of contribution carryforward		85,000
Permanent difference		19,000			13,000			39,000
Other		7,000			47,000			98,000
Income tax (benefit)	$	—		$	(275,000	)	$	(27,000	)

(1) Reflects a $264,000 reduction to the valuation allowance and related deferred tax assets as of December 31, 2015.

Deferred tax assets (liabilities)

	December 31,
	2016			2015
Deferred tax assets:
Net operating loss credit carryforwards	$	10,316,000		$	9,456,000
Capital loss carryforwards					395,000
					—
Employee stock based compensation		237,000			237,000
Retail brokerage accounts (b)		71,000			140,000
Contribution carryover		158,000			178,000
Furniture, equipment and leasehold improvements		312,000			181,000
Accrued settlement liability		340,000			252,000
Investment in former affiliate (a)		—			—
Other		8,000			44,000
Total		11,442,000,			10,883,000
Valuation allowance		(11,442,000	)		(10,002,000	)
Net deferred tax assets		—			881,000
Deferred tax liability:
Receivable from affiliate (a)		—			(881,000	)
		—			—

(a) Relates to receivable from business sold to affiliate treated as an installment sale for tax purposes.

(b) Related to acquired retail discount brokerage accounts, which are being amortized over 15 years for tax purposes and have been fully amortized for financial reporting purposes.