10. Income Taxes

12 Months Ended

Dec. 31, 2018

Income Tax Disclosure [Abstract]

Income Taxes

Reconciliation of the statutory federal income tax rates, 21% and 34% for the years ended December 31, 2018 and 2017, to the Company’s effective income tax rates follows:

	2018						2017
	($ in thousands)
				Percent of						Percent of
	Amount of tax			Pre-tax Loss			Amount of tax			Pre-tax Loss
Expected tax credit	$	(155	)		-21.0	%	$	(513	)		-34.0	%
State income taxes, net of
federal tax benefits		(29	)		-4.0	%		(60	)		-4.0	%
Decrease in environmental
liability		-			0.0	%		7			0.0	%
Increase (decrease) in valuation
allowance		184			25.0	%		623			41.0	%
	$	-			0.0	%	$	57			3.0	%

The Company recognized an income tax expense of $57,000 during the year ended December 31, 2017 for the 2016 Alternative Minimum tax on the 2016 gain recognized on the sales of real estate.

At December 31, 2018, the Company had an operating loss carryforward of approximately $68,476,000, the majority of which will expire at various dates through 2037.

	2018			2017
	($ in thousands)
Deferred tax asset:
Net operating loss carryover	$	17,119		$	16,948
Expenses capitalized under IRC 263(a)		37			37
Tax credits (AMT)		57			57
Valuation allowance		(17,213	)		(17,042	)
Net deferred tax asset	$	-		$	-

The Company is no longer subject to U.S. federal or state income tax examinations by tax authorities for years before 2015.