XML 49 R19.htm IDEA: XBRL DOCUMENT
v3.8.0.1

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2017
Income Tax Disclosure [Abstract] |
Income Taxes | INCOME TAXES The Company accounts for income taxes using ASC 740, “Income Taxes” which is an asset and liability approach that requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized differently in the financial statements and the tax returns. The provision for income taxes consists of the following at December 31:
($ in thousands) |  | 2017 |  | 2016 |  | 2015
Total (benefit) provision: |  | $ | (1,123 | ) |  | $ | 336 |  |  | $ | 1,125 |
Federal: |  |  |  |  |  |
Current |  | (1,266 | ) |  | (758 | ) |  | 1,521 |
Deferred |  | 380 |  |  | 1,021 |  |  | (682 | )
|  | (886 | ) |  | 263 |  |  | 839 |
State: |  |  |  |  |  |
Current |  | (120 | ) |  | (145 | ) |  | 585 |
Deferred |  | (117 | ) |  | 218 |  |  | (299 | )
|  | (237 | ) |  | 73 |  |  | 286 |
|  | $ | (1,123 | ) |  | $ | 336 |  |  | $ | 1,125 |
The provision for income taxes for fiscal year 2017 includes a $54,000 estimated tax expense as a result of the revaluation of federal net deferred tax assets from 34% to 21% due to the impact of the enactment of U.S. Tax Reform. The final impact of U.S. Tax Reform may differ from these estimates, due to, among other things, changes in interpretations, analysis and assumptions made by management, additional guidance that may be issued by the U.S. Department of the Treasury and the Internal Revenue Service, and any updates or changes to estimates we have utilized to calculate the transition impact. Therefore, our accounting for the elements of U.S. Tax Reform is incomplete. However, we were able to make reasonable estimates of the effects of U.S. Tax Reform on a provisional basis. A reconciliation of the provision for income taxes, with the amount computed by applying the statutory Federal income tax rate of 34% to income before provision for income taxes is as follows for the years ended December 31:
($ in thousands) |  | 2017 |  | 2016 |  | 2015
Income tax at statutory rate |  | $ | (910 | ) |  | $ | 304 |  |  | $ | 1,360 |
State income taxes, net of Federal benefit |  | (161 | ) |  | 42 |  |  | 213 |
Oil and mineral depletion |  | (180 | ) |  | (161 | ) |  | (213 | )
Permanent differences |  | 25 |  |  | 82 |  |  | (92 | )
Excess stock compensation expense |  | 107 |  |  | — |  |  | — |
Tax Reform adjustment |  | 54 |  |  | — |  |  | — |
Other |  | (58 | ) |  | 69 |  |  | (143 | )
(Benefit) provision for income taxes |  | $ | (1,123 | ) |  | $ | 336 |  |  | $ | 1,125 |
Effective tax rate |  | 42.0 | % |  | 37.6 | % |  | 28.1 | %
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets and liabilities are as follows at December 31:
($ in thousands) |  | 2017 |  | 2016
Deferred income tax assets: |  |  |  |
Accrued expenses |  | $ | 393 |  |  | $ | 561 |
Deferred revenues |  | 209 |  |  | 654 |
Capitalization of costs |  | 2,138 |  |  | 3,224 |
Pension adjustment |  | 2,996 |  |  | 4,690 |
Stock grant expense |  | 2,130 |  |  | 2,309 |
State deferred taxes |  | — |  |  | 37 |
Book deferred gains |  | 941 |  |  | 1,912 |
Joint venture allocations |  | 1,025 |  |  | 932 |
Provision for additional capitalized costs |  | 699 |  |  | 1,003 |
Interest rate swap |  | 267 |  |  | 799 |
Other |  | 423 |  |  | 41 |
Total deferred income tax assets |  | $ | 11,221 |  |  | $ | 16,162 |
Deferred income tax liabilities: |  |  |  |
Deferred gains |  | $ | 32 |  |  | $ | 51 |
Depreciation |  | 3,563 |  |  | 5,279 |
Cost of sales allocations |  | 872 |  |  | 1,252 |
Joint venture allocations |  | 3,972 |  |  | 5,389 |
Straight line rent |  | 631 |  |  | 926 |
Prepaid expenses |  | 132 |  |  | 323 |
State deferred taxes |  | 322 |  |  | 470 |
Other |  | 135 |  |  | 190 |
Total deferred income tax liabilities |  | $ | 9,659 |  |  | $ | 13,880 |
Net deferred income tax asset |  | $ | 1,562 |  |  | $ | 2,282 |
Allowance for deferred tax assets |  | — |  |  | — |
Net deferred taxes |  | $ | 1,562 |  |  | $ | 2,282 |
Due to the nature of our deferred tax assets, the Company believes they will be used through operations in future years and a valuation allowance is not necessary. The Company made total federal and state income tax payments of $0 in 2017 and $1,750,000 during 2016. The Company received refunds of $124,000 and $615,000 in 2017 and 2016, respectively. The Company evaluates its tax positions for all income tax items based on their technical merits to determine whether each position satisfies the “more likely than not to be sustained upon examination” test. The tax benefits are then measured as the largest amount of benefit, determined on a cumulative basis, that is “more likely than not” to be realized upon ultimate settlement. As a result of this evaluation, the Company determined there were no uncertain tax positions that required recognition and measurement for the years ended December 31, 2017 and 2016 within the scope of ASC 740, "Income Taxes." Tax years from 2014 to 2016 and 2013 to 2016 remain available for examination by the Federal and California State taxing authorities, respectively.

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration