XML 15 R39.htm IDEA: XBRL DOCUMENT v2.4.0.6
Note 11 - INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2012
Note 11 - Income Taxes Tables  
Pre-tax income (loss) from continuing operations

Pre-tax income (loss) from continuing operations was taxed in the following jurisdictions:

 

    Year ended December 31,  
    2010     2011     2012  
                   
Thailand   $ 24,750     $ 8,760     $ 23,265  
Singapore     1,671       (80 )     2,235  
Australia     2,176       3,130       5,426  
The People’s Republic of China     6,921       985       (142 )
Myanmar     –       –       279  
Others     (3,665 )     (12,101 )     (2,212 )
                         
      31,853       694       28,851  
                         
Equity investees                        
Thailand     –       –       (2 )
The People’s Republic of China     (21 )     (58 )     (19 )
                         
    $ 31,832     $ 636     $ 28,830  
Components of the provision (benefit) for income taxes

    Year ended December 31,
    2010   2011   2012
             
Allocated to net income (loss)            
             
Current:            
Thailand   $ 4,069   $ 4,869   $ 4,442
Singapore   –   –   382
PRC   1,324   679   149
Australia   956   1,291   1,069
Total current   6,349   6,839   6,042
             
Deferred:            
Thailand   170   (1,446)   1,583
Singapore   59   (154)   512
PRC   197   (43)   (192)
Australia   (262)   (316)   438
Total deferred   164   (1,959)   2,341

 

The benefits of operating loss carried forwards

  

 

(72)

 

  

 

(314)

 

  

 

–

    $ 6,441   $ 4,566   $ 8,383
Allocated to other comprehensive income (loss)   $ 84   $ –   $ (1,045)
Reconciliation of the statutory tax rate and effective tax rate

The reconciliation of the statutory tax rate and the Company’s effective tax rate is as follows:

 

    Year ended December 31,  
Income tax at statutory tax rate in:   2010     2011     2012  
                   
Tax provision at statutory rate (30%)   $ 9,608     $ 191     $ 6,631  
                         
Foreign income taxed at different rate     881       1,350       695  
Expenses not deductible for tax purpose Impairment of goodwill not deductible for tax     1,684 –       753 2,637       169 –  
Written-off deferred tax assets arising from liquidation of a subsidiary     –       3,633       –  
Reversal of valuation allowance arising from liquidation of a subsidiary     –       (3,633 )     –  
Utilization of prior year tax losses     (6,186 )     –       –  
Changes in valuation allowance     2,473       (291 )     466  
Written-off deferred tax     215       -       184  
Tax exempt on income     (2,583 )     (1,453 )     (26 )
Difference due to effect of tax holidays     (583 )     –       –  
Unrecognized tax benefits     354       1,026       34  
Deferred tax liability arising from undistributed earnings     578       193       429  
Effect of temporary tax rate changes on deferred tax assets     –       862       408  
Return to provision adjustment     –       –       (8 )
Others     –       (702 )     (607 )
                         
Total tax income for the year   $ 6,441     $ 4,566     $ 8,383  
Deferred tax liabilities and assets

Deferred tax liabilities and assets comprised the following:

 

    As of December 31  
    2011     2012  
             
Deferred tax liabilities:            
             
Outside basis differences   $ (2,172 )   $ (2,650 )
                 
Total deferred tax liabilities     (2,172 )     (2,650 )
                 
Deferred tax assets:                
Unused tax losses     1,181       1,140  
Allowance for doubtful accounts     682       372  
Inventory impairment     744       359  
Allowance for impairment in investment     933       913  
Rebates and other accrued liabilities     1,980       1,299  
Unpaid retirement benefits     854       660  
Charges related to flooding     874       8  
Deferred revenue and cost of sales     320       625  
Actuarial gain (loss)             1,045  
Unabsorbed depreciation     320       960  
                 
Total deferred tax assets     7,568       7,381  
Valuation allowance for deferred tax assets (note 10)     (875 )     (1,341 )
                 
Total deferred tax assets     6,693       6,040  
                 
Net deferred tax assets   $ 4,521     $ 3,390  
Amount of deferred tax liabilities and assets

The amount of deferred tax liabilities and assets at December 31, 2011 and 2012 were as follows:

 

    As of December 31,  
    2011     2012  
             
Gross current deferred tax liabilities   $ (49 )   $ (63 )
                 
Gross current deferred tax assets     5,234       3,282  
Valuation allowance for deferred tax assets     –       (85 )
                 
      5,234       3,197  
                 
Net current deferred tax assets     5,185       3,134  
                 
Gross non-current deferred tax liabilities     (2,123 )     (2,587 )
                 
Gross non-current deferred tax assets     2,334       4,099  
Valuation allowance for deferred tax assets     (875 )     (1,256 )
                 
      1,459       2,843  
                 
Net non-current deferred tax assets     (664 )     256  
                 
Net deferred tax assets   $ 4,521     $ 3,390  
Deferred tax liabilities and assets accompanying consolidated balance sheets

The deferred tax liabilities and assets are presented in the accompanying consolidated balance sheets as follows:

 

    As of December 31,  
    2011     2012  
             
Current            
Deferred tax assets   $ 5,185     $ 3,134  
                 
Total current     5,185       3,134  
                 
Non-current                
Deferred tax assets     517       2,475  
Deferred tax liabilities     (1,181 )     (2,219 )
                 
Total non-current     (664 )     256  

 

             
Net deferred tax assets   $ 4,521     $ 3,390  
Future taxable income

As of each of December 31, 2012 and 2012, the Company has available unused net operating losses that may be applied against future taxable income and that expire as follows:

 

Date of expiration   2011     2012  
             
2011   $  –     $  –  
2012     656       –  
2013     461       477  
2014     853       864  
2015     356       361  
2016     839       856  
2017     –       1,661  
No expiration     1,801       –  
    $ 4,966     $ 4,219  
Unrecognized tax benefits

A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows:

 

Change in Uncertain Tax Positions   As of December 31,  
    2010     2011     2012  
Balance at January 1   $ 2,198     $ 2,332     $ 2,640  
Additions based on tax positions related to the current year     134       308        –  
Additions for tax positions of prior years     –       –       –  
Settlements     –       –       –  
Decrease due to lapses in statute of limitions     –       –       (338 )
                         
Balance at December 31   $ 2,332     $ 2,640     $ 2,302  
Component of income tax expense

The amount of related interest and penalties the Company have provided as of the dates listed below were:

 

    As of December 31,  
    2010     2011     2012  
Accrued interest on unrecognized tax benefits   $ 1,373     $ 1,783     $ 2,143  
Accrued penalties on unrecognized tax benefits     1,948       2,256       2,284  
                         
Total accrued interest and penalties on Unrecognized tax benefits   $ 3,321     $ 4,039     $ 4,427