Note 3 - Income Taxes

9 Months Ended

Jun. 30, 2018

Notes to Financial Statements

Income Tax Disclosure [Text Block]

NOTE

3.

Income Taxes

The Company has

not

recorded an income tax benefit on its net loss for the

three

and

nine

month periods ended

June 30, 2018

and

July 1, 2017

due to its uncertain realizability. During previous fiscal years, the Company recorded a valuation allowance for the full amount of its net deferred tax assets since it could

not

predict the realization of these assets.

On

December 22, 2017,

the Tax Cuts and Jobs Act (the “Tax Act”) was signed into law by the President of the United States. The Tax Act includes a number of changes, including the lowering of the U.S. corporate tax rate from

35%

to

21%,

effective

January 1, 2018.

The Company has determined and completed the accounting for certain income tax effects of the Tax Act to the current reporting period. Because the Company records a valuation allowance for its entire deferred income tax asset, there was

no

impact on the reported amounts in the unaudited consolidated financial statements included in this Quarterly Report on Form

10

-Q as a result of the Tax Act.