Income Taxes (Tables)

12 Months Ended

Mar. 31, 2020

Income Tax Disclosure [Abstract]

Schedule of Income Tax Provision (Benefit)

The income tax(benefit) provision for federal, foreign, and state income taxes in the consolidated statements of income consisted of the following components for 2020 and 2019:

	2020			2019
Income tax benefit:
Current:
Federal	$	(104,437	)	$	(19,289	)
State		-			-
Total current Federal and State tax benefit	$	(104,437	)	$	(19,289	)
Deferred:
Federal	$	(521,776	)	$	159,881
State	$	(15,601	)	$	18,888
Total Deferred Federal and State	$	(537,377	)	$	178,769
Total income tax (benefit) provision	$	(641,814	)	$	159,480

Schedule of Income (Loss) Before Income Tax

The United States and foreign components of income (loss) before income taxes are as follows:

	2020			2019
United States	$	(3,765,272	)	$	607,652
Foreign		266,458			183,375
	$	(3,498,814	)	$	791,027

Schedule of Difference Between Actual Tax Expenses and Expected Tax Expenses

The actual tax provision differs from the “expected” tax expense for the years ended March 31, 2020 and 2019 (computed by applying the U.S. Federal Corporate tax rate of 21 percent to income before taxes) as follows:

	2020			2019
Expected tax (benefit) expense	$	(734,751	)	$	166,506
State income taxes, net of Federal income tax (benefit) provision		(175,245	)		13,478
Permanent differences		9,977			8,282
Deemed dividend from foreign subsidiary		-			20,813
Tax rate differential on foreign earnings		-			(20,813	)
Change in valuation allowance		87,842			-
Effect of IRC §382 on NOL		100,966			-
Tax rate differential on NOL carryback		16,263			-
Correction of state rate		83,803			-
Other		(30,669	)		(28,786	)
Actual tax (benefit) provision	$	(641,814	)	$	159,480

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of deferred tax assets and liabilities are as follows:

	2020			2019
NOL Federal Carryforward	$	312,430		$	236,476
State NOL Carryforward		157,967			272,758
AMT credit carryforward		-			19,289
General business credit		14,196			-
Inventory differences		303,529			176,967
Stock option compensation expense		128,220			109,464
Stock warrants		-			23,018
Allowance for doubtful accounts		143,748			11,599
Insurance contingency		220,425			-
Reserve for estimated returns		112,537			67,439
Accrued vacation		42,928			7,945
Business interest deduction		55,978			-
		1,491,958			924,955
Less: valuation allowance		(87,842	)		-
	$	1,404,116		$	924,955
Depreciable and amortizable assets		(82,512	)		(108,707	)
Prepaid expenses		(35,883	)		(57,882	)
Net deferred tax liability		(118,395	)		(166,589	)
Net deferred tax asset	$	1,285,721		$	758,366