Income Taxes (Tables)

12 Months Ended

Jun. 30, 2021

Income Tax Disclosure [Abstract]

Schedule of Income Tax (Expense) Benefit

The provision for the Company’s income tax (expense) benefit is comprised of the following:

For the years ended June 30,	2021			2020
Federal
Current tax expense	$	(755,000	)	$	(57,000	)
Deferred tax (expense) benefit		(1,848,000	)		1,828,000
		(2,603,000	)		1,771,000
State
Current tax expense		(605,000	)		(64,000	)
Deferred tax (expense) benefit		(395,000	)		1,087,000
		(1,000,000	)		1,023,000
Income Tax (Expense) Benefit	$	(3,603,000	)	$	2,794,000

Schedule of Effective Income Tax Rate Reconciliation

The provision for income taxes differs from the amount of income tax computed by applying the federal statutory income tax rate to income before taxes as a result of the following differences:

For the years ended June 30,	2021			2020
Statutory federal tax rate	$	(3,169,000	)	$	1,593,000
State income taxes, net of federal tax benefit		(834,000	)		812,000
Dividend received deduction		51,000			18,000
Disallowed interest		214,000			504,000
Net operating loss		105,000			-
Valuation allowance		(319,000	)		49,000
Basis difference in investments		-			39,000
Carryback claim refundable		304,000			-
Other		45,000			(221,000	)
	$	(3,603,000	)	$	2,794,000

Schedule of Deferred Tax Assets and Liabilities

The components of the deferred tax asset and liabilities are as follows:

	June 30, 2021			June 30, 2020
Deferred tax assets:
Net operating loss carryforwards	$	9,801,000		$	8,713,000
Capital loss carryforwards		614,000			1,074,000
Investment impairment reserve		671,000			1,156,000
Accruals and reserves		893,000			871,000
Interest expense		2,684,000			1,498,000
Tax credits		554,000			563,000
Unrealized loss on marketable securities		-			1,591,000
Other		225,000			221,000
Valuation allowance		(951,000	)		(497,000	)
		14,491,000			15,190,000
Deferred tax liabilities:
Equity earnings		(5,626,000	)		(4,306,000	)
Deferred gains on real estate sale and depreciation		(5,027,000	)		(6,249,000	)
Unrealized gain on marketable securities		(1,531,000	)		-
State taxes		(167,000	)		(252,000	)
		(12,351,000	)		(10,807,000	)
Net deferred tax asset	$	2,140,000		$	4,383,000

Schedule of Estimated Net Operating Losses (NOLs)

Below is the break-down of the NOLs for InterGroup and Portsmouth. The carryforward expires in varying amounts through the year 2039.

	Federal		State
InterGroup	$	-	$	-
Portsmouth		31,495,000		36,050,000
	$	31,495,000	$	36,050,000