XML 27 R13.htm IDEA: XBRL DOCUMENT
v3.7.0.1

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2016
Income Tax Disclosure [Abstract] |
Income Taxes | (3) Income Taxes The components of income tax (benefit) expense are:
|  | 2016 |  |  | 2015 |  |  | 2014 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 5,136 |  |  | $ | 573 |  |  | $ | (4,256 | )
State |  |  | (122 | ) |  |  | 417 |  |  |  | 251 |
Foreign |  |  | 655 |  |  |  | 991 |  |  |  | 934 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | (1,345 | ) |  |  | (319 | ) |  |  | 3,492 |
State |  |  | 1,216 |  |  |  | 347 |  |  |  | (872 | )
|  | $ | 5,540 |  |  | $ | 2,009 |  |  | $ | (451 | )
Total income tax expense differed from the amounts computed by applying the U.S. Federal income tax rate of 35.0% to income before income tax expense as a result of the following:
|  | 2016 |  |  | 2015 |  |  | 2014 |
Computed tax expense at statutory federal rates |  | $ | 6,415 |  |  | $ | 3,010 |  |  | $ | 1,536 |
Increase (decrease) in taxes resulting from: |  |  |  |  |  |  |  |  |  |  |  |
State taxes, net of federal income tax benefit |  |  | 702 |  |  |  | 454 |  |  |  | (11 | )
Domestic production deduction |  |  | (1,272 | ) |  |  | (179 | ) |  |  | 420 |
Income tax credits |  |  | (335 | ) |  |  | (662 | ) |  |  | (728 | )
Foreign tax rate differential |  |  | (1,587 | ) |  |  | (1,590 | ) |  |  | (2,159 | )
Subpart F income |  |  | 14 |  |  |  | 9 |  |  |  | 338 |
Equity investment |  |  | 123 |  |  |  | 223 |  |  |  | 10 |
Stock based compensation |  |  | 208 |  |  |  | 244 |  |  |  | 219 |
State tax rate change |  |  | 116 |  |  |  | 185 |  |  |  | (257 | )
Tax interest |  |  | 920 |  |  |  | - |  |  |  | - |
Other expenses |  |  | 236 |  |  |  | 315 |  |  |  | 181 |
|  | $ | 5,540 |  |  | $ | 2,009 |  |  | $ | (451 | )
Income before provision for income taxes and losses on equity investment are:
|  | 2016 |  |  | 2015 |  |  | 2014 |
Domestic |  | $ | 12,513 |  |  | $ | 1,589 |  |  | $ | (5,196 | )
Foreign |  |  | 6,404 |  |  |  | 7,373 |  |  |  | 8,840 |
|  | $ | 18,917 |  |  | $ | 8,962 |  |  | $ | 3,644 |
Temporary differences between the financial statement carrying amounts and tax bases of assets and liabilities that give rise to significant portions of the net deferred tax liability at December 31, 2016 and 2015 relate to the following:
|  | 2016 |  |  | 2015 |
Deferred tax asset |  |  |  |  |  |  |  |
Inventories |  | $ | 5,359 |  |  | $ | 5,949 |
State income taxes |  |  | 213 |  |  |  | (215 | )
Program accrual |  |  | 12,318 |  |  |  | 12,598 |
Vacation pay accrual |  |  | 818 |  |  |  | 796 |
Accrued bonuses |  |  | 2,072 |  |  |  | 543 |
Bad debt |  |  | 6 |  |  |  | 45 |
Stock compensation |  |  | 1,614 |  |  |  | 1,781 |
NOL carryforward |  |  | 351 |  |  |  | 658 |
Tax credit |  |  | 14 |  |  |  | 524 |
Other |  |  | 2,707 |  |  |  | 1,659 |
Deferred tax asset |  | $ | 25,472 |  |  | $ | 24,338 |
Deferred tax liability |  |  |  |  |  |  |  |
Plant and equipment, principally due to differences in depreciation and capitalized interest |  | $ | 30,636 |  |  | $ | 30,038 |
Prepaid expenses |  |  | 1,542 |  |  |  | 1,157 |
Deferred tax liability |  |  | 32,178 |  |  |  | 31,195 |
Total net deferred tax liability |  | $ | 6,706 |  |  | $ | 6,857 |
The following is a roll-forward of the Company’s total gross unrecognized tax liabilities, not including interest and penalties, for the fiscal years ended December 31, 2016 and 2015:
|  | 2016 |  |  | 2015 |
Balance at beginning of year |  | $ | 2,007 |  |  | $ | 1,958 |
Additions for tax positions related to the current year |  |  | 65 |  |  |  | 85 |
Additions for tax positions related to the prior year |  |  | 86 |  |  |  | 86 |
Deletion for tax positions related to the prior year |  |  | (265 | ) |  |  | (122 | )
Balance at end of year |  | $ | 1,893 |  |  | $ | 2,007 |
The Company recognizes accrued interest and penalties related to unrecognized tax benefits in the provision for income taxes in the Company’s consolidated financial statements. For the year ended December 31, 2016 and 2015, the Company had recognized approximately $408 and $335, respectively in interest and penalties related to unrecognized tax benefits accrued. It is expected that the amount of unrecognized tax benefits will change within the next 12 months; however we do not expect the change to have a significant impact on our consolidated financial statements. At this time, an estimate of the range of the reasonable possible outcomes cannot be made. The Company believes it is more likely than not that the deferred tax assets detailed in the table above will be realized in the normal course of business. It is the intent of the Company that undistributed earnings of foreign subsidiaries are permanently reinvested and, accordingly, no deferred liability for federal and state income taxes has been recorded. The amount of undistributed earnings was $35,586 and $29,774 as of December 31, 2016 and December 31, 2015, respectively. Upon distribution of earnings in the form of dividends or otherwise, the Company would be subject to both federal and state income taxes (less any applicable foreign tax credits) and withholding taxes payable to the various foreign countries. Determination of the unrecognized deferred income tax liability is not practical due to the complexities of a hypothetical calculation. The Company is subject to both U.S. federal income tax and income tax in multiple state jurisdictions on income generated in the United States. Federal income tax returns, of the Company are subject to Internal Revenue Service (“IRS”) examination for the 2013 through 2015 tax years. State income tax returns are subject to examination for the 2012 through 2015 tax years. The Company currently is undergoing an examination by the IRS for the tax years ended December 31, 2013 and 2014. While the audit is ongoing, the Company has agreed to a proposed adjustment. As a result, the Company has increased deferred tax assets and income taxes payable at December 31, 2015 by $12,598.

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 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32559-109319 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32718-109319 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32639-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32537-109319 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration