Income Taxes (Tables)

12 Months Ended

Jan. 28, 2017

Income Taxes

Schedule of income from continuing operations before income taxes

	Year Ended		Year Ended		Year Ended
	January 28,		January 30,		January 31,
(amounts in thousands)	2017		2016		2015
United States	$	(3,928)	$	12,791	$	14,534
Foreign		(741)		—		—
(Loss) income from continuing operations before income taxes	$	(4,669)	$	12,791	$	14,534

Schedule of income tax provision as shown in the income statements

	Year Ended		Year Ended		Year Ended
	January 28,		January 30,		January 31,
(amounts in thousands)	2017		2016		2015
Current:
Federal	$	813	$	2,585	$	2,979
State		252		(13)		(363)
Foreign		1,221		1,183		1,253
		2,286		3,755		3,869
Deferred:
Federal	$	1,088	$	644	$	630
State		108		33		17
Foreign		177		—		—
		1,373		677		647
Tax Expense (benefit) recorded as an increase (decrease) of paid-in capital:
Federal		(364)		(68)		182
State		(37)		(6)		16
		(401)		(74)		198
	$	3,258	$	4,358	$	4,714

Schedule of reconciliation of the actual income tax rates to the federal statutory rate

		Year Ended				Year Ended				Year Ended
		January 28,				January 30,				January 31,
		2017				2016				2015
Tax expense at U.S. statutory rate	$	(1,587.0)	34.0	%	$	4,349.0	34.0	%	$	4,942.0	34.0	%
State income taxes, net of federal income tax benefit		179.0	(3.8)			187.0	1.5			165.0	1.1
Adjustments to unrecognized tax benefits		233.0	(5.0)			(189.0)	(1.5)			(406.0)	(2.8)
Nondeductible expenses		151.0	(3.3)			17.0	0.1			14.0	0.1
Nondeductible transaction costs (a)		2,894.0	(62.0)			—	—			—	—
Valuation allowance		737.0	(15.8)			—	—			—	—
Foreign Taxes		86.0	(1.8)			—	—			—	—
Other		565.0	(12.1)			(6.0)	—			(1.0)	—
Tax provision	$	3,258.0	(69.8)	%	$	4,358.0	34.1	%	$	4,714.0	32.4	%

(a) Nondeductible transaction costs incurred in connection with the Hi-Tec acquisition.

Summary of deferred income tax assets

	January 28, 2017		January 30, 2016
(amounts in thousands)	Non-Current		Non-Current
Deferred tax assets:
Deferred revenue		478		492
Other		2,691		218
State income taxes		85		103
Compensation		1,630		1,789
Net operating loss and credit carryforwards		12,754		—
		17,638		2,602
Valuation Allowance		(14,889)		—
Total deferred tax assets		2,749		2,602
Deferred tax liabilities:
Amortization		(10,376)		(1,281)
Depreciation		(91)		(185)
Total deferred tax liabilities		(10,467)		(1,466)
Net deferred tax (liabilities) assets	$	(7,718)	$	1,136

Schedule of reconciliation of the beginning and ending amount of unrecognized tax benefits

	Year Ended		Year Ended		Year Ended
	January 28,		January 30,		January 31,
(amounts in thousands)	2017		2016		2015
Gross unrecognized tax benefits at beginning of year	$	—	$	449	$	1,045
Additions:
Tax positions taken in prior years  (a)		2,566		—		105
Tax positions taken in the current year (a)		1,411		—		57
Reductions:
Tax positions taken in prior years		—		(96)		(566)
Tax positions taken in the current year		—		—		—
Settlement with taxing authorities		—		(170)		(192)
Lapse in statute of limitations		—		(183)		—
Gross unrecognized tax benefits at year end	$	3,977	$	—	$	449

(a) As part of purchase price accounting for the Hi-Tec acquisition, the Company recorded $3.9 million of uncertain tax positions.