Income Taxes (Tables)

12 Months Ended

Mar. 31, 2013

Income Taxes [Abstract]

Schedule of income tax expense (benefit)

	Years Ended March 31,
	2013			2012			2011
Current tax expense
Federal	$	3,987,000		$	4,476,000		$	4,797,000
State		256,000			379,000			718,000
Foreign		480,000			448,000			267,000
Total current tax expense		4,723,000			5,303,000			5,782,000
Deferred tax expense (benefit)
Federal		(24,119,000	)		1,039,000			1,206,000
State		(2,535,000	)		494,000			821,000
Foreign		211,000			(64,000	)		-
Total deferred tax expense (benefit)		(26,443,000	)		1,469,000			2,027,000
Total income tax (benefit) expense	$	(21,720,000	)	$	6,772,000		$	7,809,000

Schedule of deferred income taxes

Deferred income taxes consist of the following at March 31:

	2013			2012
Assets
Accounts receivable valuation	$	4,690,000		$	4,465,000
Allowance for customer incentives		1,216,000			626,000
Inventory obsolescence reserve		962,000			839,000
Stock options		1,551,000			1,239,000
Property and equipment, net		468,000			492,000
Intangibles, net		701,000			-
Estimate for returns		10,831,000			-
Deferred core revenue		10,255,000			14,524,000
Claims payable		174,000			288,000
Acquisition cost		-			35,000
Accrued compensation		1,820,000			1,310,000
Net operating losses		32,214,000			29,195,000
Other		1,892,000			1,165,000
Total deferred tax assets	$	66,774,000		$	54,178,000
Liabilities
Prepaid expenses	$	(639,000	)	$	(363,000	)
Intangibles, net		-			(3,812,000	)
Cancellation for indebtedness		(1,412,000	)		-
Estimate for returns		-			(3,287,000	)
Other		(2,253,000	)		(496,000	)
Total deferred tax liabilities	$	(4,304,000	)	$	(7,958,000	)
Less valuation allowance	$	(30,296,000	)	$	(40,716,000	)
Net deferred tax assets	$	32,174,000		$	5,504,000
Net current deferred income tax asset	$	34,711,000		$	3,647,000
Net long-term deferred income tax assets		(2,537,000	)		1,857,000
Total	$	32,174,000		$	5,504,000

Schedule of difference between income tax expense at the federal statutory rate and effective tax rate

The difference between the income tax expense at the federal statutory rate and the Company's effective tax rate is as follows:

	Years Ended March 31,
	2013			2012			2011
Statutory federal income tax rate		34	%		34	%		34	%
State income tax rate, net of federal benefit		1	%		(1	) %		3	%
Change in deferred tax rate		-	%		-	%		2	%
Foreign income taxed at different rates		(9	) %		(12	) %		(1	) %
Goodwill impairment		(16	) %		-	%		-	%
Valuation allowance		9	%		(36	) %		-	%
Other income tax		-	%		(1	) %		1	%
		19	%		(16	) %		39	%

Schedule of unrecognized tax benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows at March 31:

	2013			2012			2011
Balance at beginning of period	$	3,613,000		$	576,000		$	711,000
Additions based on tax positions related to the current year		227,000			116,000			128,000
Additions for tax positions of prior year		57,000			2,997,000			298,000
Reductions for tax positions of prior year		(440,000	)		(76,000	)		(561,000	)
Settlements		-			-			-
Balance at end of period	$	3,457,000		$	3,613,000		$	576,000