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Income Taxes | 12 Months Ended
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Oct. 31, 2021
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes A reconciliation of income before income taxes for domestic and foreign locations for the years ended October 31, 2021, 2020 and 2019 are as follows (in thousands):
| 2021 |  | 2020 |  | 2019
United States | $ | (1,459) |  |  | $ | (23,195) |  |  | $ | (6,285) |
Foreign | (2,704) |  |  | (3,240) |  |  | (278) |
Income before income taxes | $ | (4,163) |  |  | $ | (26,435) |  |  | $ | (6,563) |
The components of the provisions for income taxes for fiscal years 2021, 2020 and 2019 are as follows (in thousands):
| 2021 |  | 2020 |  | 2019
Current: |  |  |  |  |
Federal | $ | 37 |  |  | $ | 5,835 |  |  | $ | (7) |
State | 40 |  |  | 332 |  |  | 563 |
Foreign | — |  |  | 194 |  |  | (232) |
Total current benefit (provision) | 77 |  |  | 6,361 |  |  | 324 |
Deferred: |  |  |  |  |
Federal | (17) |  |  | 640 |  |  | 998 |
State | 127 |  |  | 1,177 |  |  | (302) |
Foreign | 79 |  |  | 316 |  |  | 77 |
Total deferred benefit | 189 |  |  | 2,133 |  |  | 773 |
Total income tax benefit | $ | 266 |  |  | $ | 8,494 |  |  | $ | 1,097 |
Deferred income taxes reflect the net of temporary differences between the carrying amount of the assets and liabilities for financial reporting and income tax purposes. The components of deferred income tax assets at October 31, 2021 and 2020 are as follows (in thousands): 16. Income Taxes (continued)
| 2021 |  | 2020
Deferred income tax assets: |  |  |
Reserve and other accruals | $ | 646 |  |  | $ | 643 |
Net operating losses | 6,312 |  |  | 4,983 |
Right-of-use asset | 531 |  |  | 578 |
Minimum pension liability adjustment | 231 |  |  | 962 |
Amortization | — |  |  | 325 |
Other assets | 240 |  |  | — |
Interest expense limitation | 2 |  |  | 306 |
Stock based compensation | 493 |  |  | 549 |
Total deferred income tax assets | 8,455 |  |  | 8,346 |
Valuation allowance | (1,324) |  |  | (540) |
Total net deferred income tax assets | 7,131 |  |  | 7,806 |
Deferred income tax liabilities: |  |  |
Property taxes | (161) |  |  | (173) |
Depreciation | (18,665) |  |  | (16,930) |
Amortization | (242) |  |  | — |
Land and other indefinite life assets | (6,581) |  |  | (6,905) |
Investment in joint ventures and other basis adjustments | (3,510) |  |  | (4,097) |
Right-of-use asset | (510) |  |  | (557) |
Prepaids and receivables | (260) |  |  | — |
Other | (55) |  |  | (1,241) |
Total deferred income tax liabilities | (29,984) |  |  | (29,903) |
Net deferred income tax liabilities | $ | (22,853) |  |  | $ | (22,097) |
Deferred income taxes — noncurrent assets | $ | — |  |  | $ | 333 |
Deferred income taxes — noncurrent liabilities | $ | (22,853) |  |  | $ | (22,430) |
The Company periodically evaluates the recoverability of the deferred tax assets. The Company recognized deferred tax assets to the extent that it believes that these assets are more likely than not to be realized. In making such a determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. The Company has recorded a valuation allowance of $1,324,000 on the net deferred tax assets of its subsidiaries in Argentina and Chile as of October 31, 2021 as the Company does not believe it is more likely than not that these deferred tax assets will be realized due to the recent history of cumulative pre-tax book losses and lack of objectively verifiable future source of taxable income. At October 31, 2021, the Company has recorded a deferred tax asset of $6,312,000 related to its federal, state, and foreign net operating loss carryforwards. The entire federal net operating loss is subject to the 80% taxable income limitation. The net operating losses begin to expire as follows (in thousands):
Jurisdiction |  | Gross Amount |  | Begin to Expire
Federal |  | 17,443 |  |  | Indefinite
State |  | 21,277 |  |  | 10/31/2039
Chile |  | 2,248 |  |  | Indefinite
Holland |  | 66 |  |  | 10/31/2025
Argentina |  | 2,390 |  |  | 10/31/2025
16. Income Taxes (continued) At October 31, 2021, the Company had disallowed federal and state interest expense carryforwards of approximately zero and $2,065,000, respectively, that do not expire. Because of the change of ownership provisions of the Tax Reform Act of 1986, use of a portion of the domestic net operating loss and disallowed interest expense carryforwards may be limited in future periods. Further, a portion of the carryforwards may expire before being applied to reduce future income tax liabilities.
| 2021 |  | 2020 |  | 2019
| Amount |  | % |  | Amount |  | % |  | Amount |  | %
Provision at statutory rates | $ | 874 |  |  | (21.0) | % |  | $ | 5,551 |  |  | (21.0) | % |  | $ | 1,351 |  |  | (21.0) | %
State income tax, net of federal benefit | 224 |  |  | (5.4) | % |  | 1,431 |  |  | (5.4) | % |  | 316 |  |  | (4.9) | %
Dividend exclusion | — |  |  | — |  |  | 27 |  |  | (0.1) | % |  | 28 |  |  | (0.4) | %
Meals and entertainment | — |  |  | — |  |  | (18) |  |  | 0.1 | % |  | (90) |  |  | 1.4 | %
Transaction costs | — |  |  | — |  |  | — |  |  | — |  |  | (137) |  |  | 2.1 | %
Shared-based compensation | (217) |  |  | 5.2 | % |  | — |  |  | — |  |  | — |  |  | — |
Executive compensation | (45) |  |  | 1.1 | % |  | — |  |  | — | % |  | — |  |  | — | %
Tax law change | 57 |  |  | (1.4) | % |  | 1,948 |  |  | (7.4) | % |  | — |  |  | — |
State rate adjustment | (78) |  |  | 1.9 | % |  | (82) |  |  | 0.3 | % |  | (109) |  |  | 1.7 | %
Valuation allowance | (831) |  |  | 20.0 | % |  | (168) |  |  | 0.6 | % |  | (393) |  |  | 6.1 | %
Foreign rate differential | 130 |  |  | (3.1) | % |  | — |  |  | — |  |  | — |  |  | — |
Noncontrolling interest | (83) |  |  | 2.0 | % |  | (305) |  |  | 1.1 | % |  | 116 |  |  | (1.8) | %
Other permanent items | 235 |  |  | (5.7) | % |  | 110 |  |  | (0.4) | % |  | 15 |  |  | (0.3) | %
Total income tax benefit | $ | 266 |  |  | (6.4) | % |  | $ | 8,494 |  |  | (32.2) | % |  | $ | 1,097 |  |  | (17.1) | %
At October 31, 2021 and 2020, the Company had no unrecognized tax benefits. The Company files income tax returns in the U.S., California, Arizona, Chile, Argentina and Holland. The Company is no longer subject to significant U.S., state and Chilean income tax examinations for years prior to the statutory periods of three years for federal, four years for state and three years for Chilean tax jurisdictions. The Company recognizes interest expense and penalties related to income tax matters as a component of income tax expense. There was no accrued interest or penalties associated with uncertain tax positions as of October 31, 2021. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was signed into law. The CARES Act includes numerous tax provisions and other stimulus measures, including temporary changes regarding the prior and future utilization of net operating losses, temporary changes to the prior and future limitations on interest deductions, temporary suspension of certain payment requirements for the employer portion of Social Security taxes, the creation of certain refundable employee retention credits, and technical corrections from prior tax legislation for tax depreciation of certain qualified improvement property. The Company evaluated the impact of the CARES Act and recorded a tax benefit of $1,948,000 and an income tax refund of $5,801,000 due to its ability to carryback and obtain federal tax refund by utilizing net operating losses under the provisions of the CARES Act at October 31, 2021, of which $841,000 and $4,960,000 were received in October 2020 and December 2020, respectively. An additional $948,000 of California state refunds were received in the third quarter of fiscal year 2021.

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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://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
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