Income Taxes (Tables)

12 Months Ended

Feb. 01, 2020

Income Taxes [Abstract]

Income Tax Expense

Income tax expense consists of the following:

	Fiscal Year
	2019		2018
(amounts in thousands)
Federal - current	$	-	$	-
State - current		316		80
Income tax expense	$	316	$	80

Reconciliation Effective Income Tax Rate

A reconciliation of the Company’s effective income tax rate with the federal statutory rate is as follows:

	Fiscal Year
	2019			2018
Federal statutory rate		21.0	%		21.0	%
State income taxes, net of federal tax effect		(0.5	%)		(0.3	%)
Change in Valuation Allowance		(21.0	%)		(12.5	%)
Cash surrender value - insurance / benefit program		0.1	%		---	%
Goodwill Impairment		---	%		(8.5	%)
Contingent consideration		---	%		0.1	%
Other		(0.1	%)		0.1	%
Effective tax rate		(0.5	%)		(0.1	%)

Significant Components of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets are as follows:

	February 1, 2020			February 2, 2019
(amounts in thousands)
DEFERRED TAX ASSETS
Accrued Expenses	$	1,783		$	559
Inventory	$	32		$	-
Retirement and compensation related accruals		5,888			6,001
Fixed assets		6,470			6,463
Federal and state net operating loss and credit carry forwards		83,562			75,117
Real estate leases, included deferred rent		5,712			1,973
Losses on investment		896			584
Others		549			556
Gross deferred tax assets before valuation allowance		104,892			91,253
Less: valuation allowance		(104,556	)		(90,161	)
Total deferred tax assets	$	336		$	1,092
DEFERRED TAX LIABILITIES
Intangibles	$	(336	)	$	(922	)
Inventory		-			(170	)
Total deferred tax liabilities	$	(336	)	$	(1,092	)
NET DEFERRED TAX ASSET	$	-		$	-

Reconciliation of Unrecognized Tax Benefits

Amounts presented excluded interest and penalties, where applicable, on unrecognized tax benefits:

	Fiscal Year
	2019		2018
(amounts in thousands)
Unrecognized tax benefits at beginning of year	$	1,930	$	1,930
Increases in tax positions from prior years		-		-
Decreases in tax positions from prior years		-		-
Increases in tax positions for current years		-		-
Settlements		-		-
Lapse of applicable statute of limitations		-		-
Unrecognized tax benefits at end of year	$	1,930	$	1,930