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Income Taxes (Tables) | 12 Months Ended
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Jan. 31, 2019
Income Tax Disclosure [Abstract] |
Components of Income before Income Taxes | The components of income before income taxes are as follows:
|  | January 31 |
|  | 2019 |  |  | 2018 |  |  | 2017 |
(In thousands) |  |  |  |  |  |  |  |  |
Domestic |  | $ | 6,859 |  |  | $ | 2,110 |  |  | $ | 4,026 |
Foreign |  |  | 449 |  |  |  | 3,047 |  |  |  | 2,579 |
|  | $ | 7,308 |  |  | $ | 5,157 |  |  | $ | 6,605 |
Components of Provision for Income Taxes | The components of the provision for income taxes are as follows:
|  | January 31 |
|  | 2019 |  |  | 2018 |  |  | 2017 |
(In thousands) |  |  |  |  |  |  |  |  |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 1,807 |  |  | $ | 592 |  |  | $ | 1,269 |
State |  |  | 457 |  |  |  | 251 |  |  |  | 209 |
Foreign |  |  | 952 |  |  |  | 284 |  |  |  | 725 |
|  |  | 3,216 |  |  |  | 1,127 |  |  |  | 2,203 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | (843 | ) |  | $ | 903 |  |  | $ | 150 |
State |  |  | (170 | ) |  |  | (25 | ) |  |  | 37 |
Foreign |  |  | (625 | ) |  |  | (134 | ) |  |  | (13 | )
|  |  | (1,638 | ) |  |  | 744 |  |  |  | 174 |
|  | $ | 1,578 |  |  | $ | 1,871 |  |  | $ | 2,377 |
Components of Difference Between Provision for Income Taxes and Amount Computed by Applying Statutory Federal Income Tax Rate | The provision for income taxes differs from the amount computed by applying the United States federal statutory income tax rate of 21.0% (32.9% for FY18 and 34% FY17) to income before income taxes. The reasons for this difference were due to the following:
|  | January 31 |
|  | 2019 |  |  | 2018 |  |  | 2017 |
(In thousands) |  |  |  |  |  |  |  |  |
Income Tax Provision at Statutory Rate |  | $ | 1,534 |  |  | $ | 1,697 |  |  | $ | 2,246 |
U.S Corporate Rate Change |  |  | 52 |  |  |  | 1,010 |  |  |  | — |
State Taxes, Net of Federal Tax Effect |  |  | 226 |  |  |  | 149 |  |  |  | 162 |
Transition Tax on Repatriated Earnings |  |  | 14 |  |  |  | 104 |  |  |  | — |
Capitalized Transaction Costs |  |  | — |  |  |  | — |  |  |  | 179 |
Unrecognized State Tax Benefits |  |  | (34 | ) |  |  | (20 | ) |  |  | 165 |
Domestic Production Deduction |  |  | — |  |  |  | (47 | ) |  |  | (103 | )
Return to Provision Adjustment |  |  | 58 |  |  |  | (122 | ) |  |  | (75 | )
TrojanLabel Earn Out Liability Adjustment |  |  | — |  |  |  | (316 | ) |  |  | — |
R&D Credits |  |  | (218 | ) |  |  | (537 | ) |  |  | (168 | )
Foreign Deferred Intangible Income |  |  | (53 | ) |  |  | — |  |  |  | — |
Other |  |  | (1 | ) |  |  | (47 | ) |  |  | (29 | )
|  | $ | 1,578 |  |  | $ | 1,871 |  |  | $ | 2,377 |
Tax Effects of Temporary Differences that gave Rise to Significant Portions of Deferred Tax Assets and Liabilities | The tax effects of temporary differences that gave rise to significant portions of the deferred tax assets and liabilities are as follows:
|  | January 31 |
|  | 2019 |  |  | 2018 |
(In thousands) |  |  |  |  |  |
Deferred Tax Assets: |  |  |  |  |  |  |  |
Inventory |  | $ | 1,800 |  |  | $ | 1,648 |
Honeywell Royalty Liability |  |  | 3,146 |  |  |  | 3,382 |
State R&D Credits |  |  | 1,305 |  |  |  | 1,161 |
Share-Based Compensation |  |  | 493 |  |  |  | 399 |
Compensation Accrual |  |  | 155 |  |  |  | 194 |
Warranty Reserve |  |  | 201 |  |  |  | 139 |
Unrecognized State Tax Benefits |  |  | 133 |  |  |  | 138 |
Deferred Service Contract Revenue |  |  | 91 |  |  |  | 84 |
Bad Debt |  |  | 101 |  |  |  | — |
Net Operating Loss |  |  | 505 |  |  |  | — |
Other |  |  | 142 |  |  |  | 176 |
|  |  | 8,072 |  |  |  | 7,321 |
Deferred Tax Liabilities: |  |  |  |  |  |  |  |
Intangibles |  |  | 2,660 |  |  |  | 3,679 |
Accumulated Tax Depreciation in Excess of Book Depreciation |  |  | 982 |  |  |  | 1,028 |
Other |  |  | 238 |  |  |  | 322 |
|  |  | 3,880 |  |  |  | 5,029 |
Subtotal |  |  | 4,192 |  |  |  | 2,292 |
Valuation Allowance |  |  | (1,304 | ) |  |  | (1,161 | )
Net Deferred Tax Assets |  | $ | 2,888 |  |  | $ | 1,131 |
Changes in Balance of Unrecognized Tax Benefits, Excluding Interest and Penalties | The changes in the balances of unrecognized tax benefits, excluding interest and penalties are as follows:
|  | 2019 |  |  | 2018 |  |  | 2017 |
(In thousands) |  |  |  |  |  |  |  |  |
Balance at February 1 |  | $ | 665 |  |  | $ | 708 |  |  | $ | 591 |
Increases in prior period tax positions |  |  | — |  |  |  | — |  |  |  | 75 |
Increases in current period tax positions |  |  | 7 |  |  |  | 55 |  |  |  | 133 |
Reductions related to lapse of statute of limitations |  |  | (54 | ) |  |  | (98 | ) |  |  | (91 | )
Balance at January 31 |  | $ | 618 |  |  | $ | 665 |  |  | $ | 708 |

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