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7. Income Taxes
12 Months Ended
Dec. 31, 2017
Income Tax Disclosure [Abstract]  
Income Taxes

The Company had a deferred tax asset, as a result of prior operating losses, of $9.6 million at December 31, 2016 and $5.7 million at December 31, 2017, which expires between the years 2019 and 2036. The net operating loss carry-forward is approximately $22 million to prevent the Company from having to pay income tax on the amount of that operating loss carry-forward, however the carrying value of that deferred tax asset was significantly reduced by 2017 tax reform act which lowered the corporate income tax rate from 34% to 21%. In 2015, 2016 and 2017, the Company used deferred benefits to offset its tax expense of $513,000, $488,000 and $442,000, respectively, and tax benefits from loss on discontinued operations of $22,000 in 2015, $1.0 million in 2016 and $57,000 in 2017, however the Company recorded a tax expense of $4.1 million in 2017 to lower the carrying value of the deferred tax credit as a result of the corporate tax rate being reduced from 34% to 21%, as explained above. As a result of the loss carry-forwards, the Company did not pay any income taxes in 2015, 2016 and 2017. There are no other material differences between reported income tax expense or benefit and the income tax expense or benefit that would result from applying the Federal and state statutory tax rates.