Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Schedule of Components of Income Tax Expense (Benefit)

The following table sets forth the components of income tax expense (in thousands):



	Year Ended December 31,
	2015		2014
Current:
State	3		4
	3		4
Deferred:
Federal	154		124
State	13		11
	167		135
Income tax expense	$	170	$	139

Schedule of Effective Income Tax Rate Reconciliation

Our effective tax rate differs from the statutory federal tax rate as shown in the following table (in thousands):



	Year Ended December 31,
	2015			2014
U.S. federal income taxes at the statutory rate	$	(692	)	$	(916	)
State taxes, net of federal effects	(53		)	(77		)
Permanent differences	13			22
Impact of state tax rate change to deferred	119			1,282
Expired net operating loss carry-forwards	4,026			—
Other	12			297
Change in valuation allowance	(3,255		)	(469		)
Income tax expense	$	170		$	139

Schedule of Deferred Tax Assets and Liabilities

The tax effect of the temporary differences that give rise to significant portions of the deferred tax assets and liabilities is presented below (in thousands):



	December 31,
	2015			2014
Deferred tax assets:
Tax benefit of operating loss carry forward	$	10,385		$	14,280
Reserves and allowances	148			172
Accrued expenses	73			79
Charitable contributions	190			184
Stock-based compensation	846			543
Fixed assets	330			229
Texas margin tax temporary credit	246			253
Total deferred tax assets	12,218			15,740
Valuation allowance	(11,844		)	(15,099		)
Net deferred tax assets	$	374		$	641

Deferred tax liabilities:
481(a) adjustment	2			3
Goodwill	309			135
Intangible amortization	372			645
Total deferred tax liabilities	$	683		$	783

Net deferred tax liability	$	(309	)	$	(142	)