INCOME TAXES (Tables)

12 Months Ended

Jun. 30, 2021

Components of income tax expense (benefit)

The components of income tax expense (benefit) are as follows (in thousands):


	Year ended June 30,
	2021		2020		2019
Current:
Federal	$	—	$	(122)	$	(123)
State	375		35		42
Total current	$	375	$	(87)	$	(81)

Deferred:
Federal	$	1,205	$	(1,406)	$	217
State	(110)		(89)		34
Total deferred	1,095		(1,495)		251
Net income tax expense (benefit)	$	1,470	$	(1,582)	$	170

Effective income tax rate reconciliation

The reconciliation of the statutory income tax rate to the Company’s effective income tax rate for the fiscal years ended June 30, 2021, 2020 and 2019 is as follows:


	Year Ended June 30,
	2021		2020		2019
Statutory rate	21.0	%	21.0	%	21.0	%
State income taxes, net	1.4	%	(1.0)	%	22.9	%
Non-deductible expenses	0.2	%	1.6	%	2.7	%
Stock-based compensation	(10.5)	%	0.7	%	16.1	%
Non-deductible compensation	2.7	%	—	%	—	%
PPP loan	(3.2)	%	—	%	—	%
Research and development credits	(1.3)	%	(5.3)	%	7.3	%

Other	—	%	(1.5)	%	1.5	%
Effective rate before valuation allowance	10.3	%	15.5	%	71.5	%
Change in valuation allowance	—	%	(247.1)	%	(27.2)	%
Effective tax rate	10.3	%	(231.6)	%	44.3	%

Components of deferred tax assets and liabilities

At June 30, 2021 and 2020, the significant components of deferred tax assets and liabilities are as follows (in thousands):


	June 30,
	2021		2020
Deferred tax assets relating to:
Stock-based compensation	$	85	$	211
Research and development credits	717		490

Inventory	68		98
Professional fees	193		175





Deferred tax assets related to other items	251		140
Net operating loss carryforwards	142		1,016
Total deferred tax assets	1,456		2,130
Deferred tax liabilities related to depreciable and amortizable assets	(1,278)		(836)
Deferred tax liabilities related to other items	(21)		(42)

Net deferred tax asset	$	157	$	1,252