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Note 4 - Income Taxes | 9 Months Ended
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Sep. 30, 2018
Notes to Financial Statements |
Income Tax Disclosure [Text Block] | Note 4. Income Taxes Major components of our income tax provision (benefit) for the three and nine months ended September 30, 2018 and 2017 are as follows (in thousands):
|  | Three Months Ended |  |  | Nine Months Ended |
|  | September 30, |  |  | September 30, |
|  | 2018 |  |  | 2017 |  |  | 2018 |  |  | 2017 |
Current: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Domestic |  | $ | — |  |  | $ | — |  |  | $ | 1 |  |  | $ | (12,797 | )
Foreign |  |  | 80 |  |  |  | (3,959 | ) |  |  | 4,250 |  |  |  | 17,491 |
Total current income tax provision (benefit) |  |  | 80 |  |  |  | (3,959 | ) |  |  | 4,251 |  |  |  | 4,694 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Domestic |  |  | (3,778 | ) |  |  | 1,980 |  |  |  | (3,778 | ) |  |  | (13,958 | )
Foreign |  |  | 1,019 |  |  |  | (3,151 | ) |  |  | (1,957 | ) |  |  | (8,300 | )
Total deferred income tax provision (benefit) |  |  | (2,759 | ) |  |  | (1,171 | ) |  |  | (5,735 | ) |  |  | (22,258 | )
Total income tax provision (benefit) |  | $ | (2,679 | ) |  | $ | (5,130 | ) |  | $ | (1,484 | ) |  | $ | (17,564 | )
The current income tax provisions for the three and nine months ended September 30, 2018 and 2017 vary from the amounts that would have resulted from applying the statutory income tax rate to pre-tax income due primarily to the impact of taxation in foreign jurisdictions, a valuation allowance on the majority of U.S. deferred taxes and the impact of the change in accounting method treatment of the #4 Shaft development costs in 2017. As of September 30, 2018, we have a net deferred tax liability in the U.S. of $46.7 million, a net deferred tax liability in Canada of $118.1 million and a net deferred tax asset in Mexico of $1.9 million, for a consolidated worldwide net deferred tax liability of $162.9 million. With the acquisition of Klondex on July 20, 2018 ( see Note 14 ), we acquired a U.S. consolidated tax group (the "Klondex U.S. Group") that did not join the existing consolidated U.S. tax group of Hecla Mining Company and subsidiaries (“Legacy Hecla”). Under acquisition accounting, we recorded a net deferred tax liability of $50.1 million. For the three and nine months ended September 30, 2018, we recorded a tax benefit of $3.8 million on a net tax loss of $15.2 million in the Klondex U.S. group. For Legacy Hecla, we recorded a full valuation allowance in the U.S. in December 2017 as a result of U.S. tax reform. Our circumstances at September 30, 2018 continued to support a full valuation allowance in the U.S. for Legacy Hecla. In the first quarter of 2017, we received consent from the Internal Revenue Service to permit us to take a different income tax position relating to the timing of deductions for the #4 Shaft development costs at Lucky Friday. This tax accounting method change substantially revised the timing of deductions for these costs for regular tax and Alternative Minimum Tax ("AMT") relative to our projected life of mine and projected taxable income. These timing changes caused us to revise our assessment of the ability to generate sufficient future taxable income to realize our deferred tax assets, resulting in a valuation allowance release of approximately $15 million.

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- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 + Details
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