INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2013

Schedule of Effective Income Tax Rate Reconciliation

Income tax expense (benefit) attributable to income from continuing operations differed from the amounts computed by applying the U.S. Federal income tax of 34% to pretax income from continuing operations as a result of the following:



	December 31, 2013			December 31, 2012
Statutory tax on book income	$	2,136,000		$	768,000
Permanent differences	(746,000		)	44,000
Net operating loss utilization	(969,000		)	(812,000		)
Reduction in valuation allowance	(1,700,000		)	(1,408,000		)
Other	(421,000		)	7,359
Income tax benefit	$	(1,700,000	)	$	(1,400,641	)

Schedule of Components of Income Tax Expense (Benefit)

The components of income tax (benefit) expense for the years ended December 31, 2013 and 2012 are as follows:



	December 31, 2013			December 31, 2012
Current federal tax expense	$	244,000		$	31,359
Deferred federal tax benefit	(1,944,000		)	(1,432,000		)
Total federal tax benefit	$	(1,700,000	)	$	(1,400,641	)

Schedule of Deferred Tax Assets and Liabilities

The cumulative tax effect of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2013 and 2012, are presented below:



	December 31, 2013			December 31, 2012
Deferred tax assets:
Alternative minimum tax credits	$	220,000		$	130,000
Accrued compensation	233,000			173,000
Net operating loss carry forwards	10,482,000			11,536,000
Less valuation allowance	(5,251,000		)	(8,136,000		)
Net deferred tax assets	$	5,684,000		$	3,703,000

	December 31, 2013			December 31, 2012
Deferred tax liabilities:
Accelerated tax depreciation	$	(378,000	)	$	(341,000	)
Net deferred tax liabilities	$	(378,000	)	$	(341,000	)