XML 27 R15.htm IDEA: XBRL DOCUMENT v3.22.0.1

INCOME TAXES

12 Months Ended

Dec. 31, 2021

INCOME TAXES

INCOME TAXES

NOTE 8: INCOME TAXES

The following table lists the components of the provision for income taxes:

​

​	​	​	​	​	​	​	​	​	​
Years ended December 31,		2021			2020			2019
(in thousands)		​			​			​
Current provision:		​			​			​
Federal	​	$	7,176	​	$	4,741	​	$	6,637
State	​		346	​		582	​		202
Deferred (benefit) provision:	​		​	​			​
Federal	​		(248)	​		(410)	​		(715)
State	​		108	​		99	​		95
Total income tax provision	​	$	7,382	​	$	5,012	​	$	6,219

​

A reconciliation between the federal statutory rate and Marine Products’ effective tax rate is as follows:

​

​	​	​	​	​	​	​	​
Years ended December 31,		2021		2020		2019
Federal statutory rate		21.0	%	21.0	%	21.0	%
State income taxes, net of federal benefit		0.9		1.4		1.0
Research and experimentation credit		(0.9)		(1.5)		(1.2)
Non-deductible expenses	​	(0.8)	​	0.1	​	(0.7)	​
Change in contingencies		0.4		0.1		(0.1)
Adjustments related to vesting of restricted stock		(1.0)		(1.5)		(1.5)
Other		0.7		0.9		(0.5)
Effective tax rate		20.3	%	20.5	%	18.0	%

​

Significant components of the Company’s deferred tax assets and liabilities are as follows:

​

​	​	​	​	​	​	​
December 31,		2021			2020
(in thousands)		​			​
Deferred tax assets:		​			​
Warranty costs	​	$	1,021	​	$	1,107
Sales incentives and discounts	​		83	​		278
Stock-based compensation	​		780	​		717
Pension	​		3,196	​		2,365
State NOL’s	​	​	283	​	​	423
State credits	​	​	—	​	​	1,818
All others	​		506	​		635
Valuation allowance	​		—	​		(1,818)
Total deferred tax assets	​		5,869	​		5,525
Deferred tax liabilities:	​			​
Depreciation and amortization expense	​		(1,033)	​		(965)
Basis differences in joint venture	​		(444)	​		(485)
Net deferred tax assets	​	$	4,392	​	$	4,075

​

Total net income tax payments were $7,493,000 in 2021, $4,099,000 in 2020, and $7,330,000 in 2019. As of December 31, 2021, the Company had net operating loss carryforwards related to state income taxes of approximately $8.2 million (gross) that will expire between 2022 and 2034. The Company does not have a valuation allowance related to net operating loss carryforwards due to implemented tax planning strategies.

The Company’s policy is to record interest and penalties related to income tax matters as income tax expense. Accrued interest and penalties were immaterial as of December 31, 2021 and 2020.

During 2021, the Company recognized an increase in its liability for unrecognized tax benefits related primarily to prior year positions. This liability, if released, would affect our effective rate. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

​

​	​	​	​	​	​	​
(in thousands)		2021			2020
Balance at January 1	​	$	401	​	$	358
Additions based on tax positions related to the current year	​		32	​		34
Additions for tax positions of prior years	​		106	​		9
Balance at December 31	​	$	539	​	$	401

​

It is reasonably possible that the amount of the unrecognized benefits with respect to the Company’s unrecognized tax positions will increase or decrease in the next 12 months. These changes may be the result of, among other things, state tax settlements

under voluntary disclosure agreements, or conclusions of ongoing examinations or reviews. However, quantification of an estimated range cannot be made at this time.

The Company and its subsidiaries are subject to U.S. federal and state income tax in multiple jurisdictions. In many cases, the uncertain tax positions are related to tax years that remain open and subject to examination by the relevant taxing authorities. In general, the Company’s 2018 through 2020 tax years remain open to examination. Additional years may be open to the extent attributes are being carried forward to an open year.

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/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 21
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 17
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 270
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-URI http://asc.fasb.org/topic&trid=2144680

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

Name:	us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration