Income Taxes

3 Months Ended

Mar. 31, 2015

Income Taxes [Text Block]

Note 10 – Income Taxes

    At March 31, 2015 the Company has aggregate tax net operating loss carry forwards of approximately $86,868 ($58,068 of unrestricted net operating tax losses and approximately $28,800 of restricted net operating tax losses) and unused minimum tax credit carry forwards of $547. Substantially all of the net operating loss carry forwards and unused minimum tax credit carry forwards expire between 2025 and 2035.The Company’s utilization of restricted net operating tax loss carry forwards against future income for tax purposes is restricted pursuant to the “change in ownership” rules in Section 382 of the Internal Revenue Code.

     The reported tax expense varies from the amount that would be provided by applying the statutory U.S. Federal income tax rate to the loss from continuing operations before taxes for the following reasons:

		Three months
		ended March 31,
		2015			2014
Expected federal statutory tax benefit	$	(231	)	$	(354	)
Increase (reduction) in taxes resulting from:
State income taxes recoverable		3			—
Non-deductible expenses (permanent differences)		11			8
Change in valuation allowance		1,164			24,749
Rate changes		16			36
Other		(960	)		228
Income tax expense	$	3		$	24,667

      We record net deferred tax assets to the extent that we believe such assets will more likely than not be realized. As a result of our cumulative losses and uncertainty with respect to future taxable income, we have provided a full valuation allowance against our net deferred tax assets as March 31, 2014 and 2015.