INCOME TAXES (Tables)

12 Months Ended

Sep. 30, 2017

INCOME TAXES

Schedule of components of income tax expense from operations

	2017		2016
Current: Federal	$	2,348,725	$	3,355,335
Current: State		383,662		482,387
		2,732,387		3,837,722
Deferred: Federal		(223,283)		401,159
Deferred: State		(20,104)		36,119
		(243,387)		437,278
Income tax expense	$	2,489,000	$	4,275,000

Schedule of difference between the income tax expense and that which would be calculated using the statutory income tax rate

	2017		2016
Tax at statutory rate	$	1,903,502	$	3,589,485
Nondeductible business expenses		402,980		368,002
State income taxes, net of federal tax benefit		244,587		345,323
Valuation allowance, net operating losses		—		6,260
Other		(62,069)		(34,070)
	$	2,489,000	$	4,275,000

Schedule of temporary differences between the financial statement carrying balances and tax basis of assets and liabilities giving rise to the net deferred tax asset (liabilities)

	2017		2016
Deferred tax assets:
Allowance for doubtful accounts	$	282,576	$	246,178
Accrued expenses		1,185,624		1,084,140
Inventory		502,042		464,648
Property and equipment		28,713		21,087
Net operating loss carry forwards - federal		195,675		241,717
Net operating loss carry forwards - state		592,559		592,559
Total gross deferred tax assets		2,787,189		2,650,329
Less: Valuation allowance		(592,559)		(592,559)
Total net deferred tax assets		2,194,630		2,057,770
Deferred tax liabilities:
Trade discounts		410,793		353,047
Property and equipment		1,395,560		1,618,875
Goodwill		1,381,953		1,308,729
Intangible assets		1,342,587		1,356,769
Total deferred tax liabilities		4,530,893		4,637,420
Total net deferred income tax liability	$	2,336,263	$	2,579,650