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INCOME TAXES
 12 Months Ended
Jun. 30, 2016
Income Tax Disclosure [Abstract]  
Income Tax Disclosure [Text Block]
NOTE 14. INCOME TAXES

The Company and its non-Canadian subsidiaries file a consolidated U.S. federal income tax return. USCAN and Galileo file separate tax returns in Canada. The current applicable U.S. statutory rate for the consolidated U.S. federal income tax return is approximately 34 percent and the current applicable Canadian statutory rate for the Canadian subsidiaries is approximately 26.5 percent. Provisions for income taxes include deferred taxes for temporary differences in the bases of assets and liabilities for financial and tax purposes, resulting from the use of the liability method of accounting for income taxes. The Company has not recognized deferred income taxes on undistributed earnings of USCAN and Galileo since such earnings are considered to be reinvested indefinitely.

For U.S. federal income tax purposes at June 30, 2016, the Company has charitable contribution carryovers totaling approximately $126,000 with $68,000 expiring in fiscal year 2018, $34,000 expiring in fiscal year 2019, $19,000 expiring in fiscal year 2020 and $5,000 expiring in fiscal year 2021. The Company has U.S. federal net operating loss carryovers of $5.5 million with $2.7 million expiring in fiscal year 2035 and $2.8 million expiring in fiscal year 2036. For Canadian income tax purposes, Galileo has cumulative eligible capital carryovers of $254,000 with no expiration and net operating loss carryovers of $66,000; $120,000; $45,000 and $123,000 expiring in fiscal 2025, 2027, 2030 and 2036, respectively. If certain changes in the Company's ownership should occur, there could be an annual limitation on the amount of net operating loss carryovers that could be utilized.

A valuation allowance is provided when it is more likely than not that some portion of the deferred tax amount will not be realized. At June 30, 2016, and 2015, a valuation allowance of $3.1 million and $2.1 million, respectively, was included to fully reserve for net operating loss carryovers, other carryovers and book/tax differences in the balance sheet.

The Company's components of income (loss) before tax by jurisdiction are as follows:

   
Year ended June 30,
  
(dollars in thousands)
  
2016
    
2015
    
2014
  
United States
  
$
(3,496
)
  
$
(3,400
)
  
$
(1,934
)
Canada
    
(213
)
    
246
      
329
  
Total
  
$
(3,709
)
  
$
(3,154
)
  
$
(1,605
)

The reconciliation of income tax computed for continuing operations at the U.S. federal statutory rates to income tax expense is as follows:

   
Year ended June 30,
  
 
(dollars in thousands)
  
 
2016
    
% of
Pretax
    
 
2015
    
% of
Pretax
    
 
2014
    
% of
Pretax
  
Tax expense (benefit) at statutory rate - continuing operations
  
$
(1,255
)
    
34.0
%
  
$
(1,045
)
    
34.0
%
  
$
(378
)
    
34.0
%
Valuation allowance
    
1,067
      
(28.9
)%
    
1,857
      
(60.4
)%
    
35
      
(3.1
)%
Income from controlled foreign corporation
    
51
      
(1.4
)%
    
-
      
0.0
%
    
-
      
0.0
%
Nondeductible meals and entertainment
    
18
      
(0.5
)%
    
15
      
(0.5
)%
    
25
      
(2.3
)%
Nondeductible membership dues
    
15
      
(0.4
)%
    
23
      
(0.7
)%
    
25
      
(2.2
)%
Nondeductible insurance
    
8
      
(0.2
)%
    
8
      
(0.3
)%
    
8
      
(0.7
)%
Nondeductible gain on business combination
    
-
      
0.0
%
    
-
      
0.0
%
    
(99
)
    
8.9
%
Non-taxable dividend income
    
(19
)
    
0.5
%
    
(25
)
    
0.8
%
    
(33
)
    
3.0
%
Other
    
109
      
(3.0
)%
    
(11
)
    
0.4
%
    
(58
)
    
5.1
%
Total tax expense (benefit) - continuing operations
  
$
(6
)
    
0.1
%
  
$
822
      
(26.7
)%
  
$
(475
)
    
42.7
%

Components of total tax expense (benefit) are as follows:

   
Year ended June 30,
  
(dollars in thousands)
  
2016
    
2015
    
2014
  
Continuing Operations
                  
Current tax benefit  - U.S. Federal
  
$
-
    
$
(21
)
  
$
(862
)
Current tax expense (benefit)  - Non-U.S.
    
(6
)
    
36
      
-
  
Deferred tax expense - U.S. Federal
    
-
      
807
      
387
  
Total tax expense (benefit) - continuing operations
    
(6
)
    
822
      
(475
)
                         
Discontinued Operations
                        
Current tax benefit - U.S. Federal
    
-
      
-
      
(167
)
Total tax expense (benefit)
  
$
(6
)
  
$
822
    
$
(642
)

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The Company’s deferred assets and liabilities using the effective U.S. statutory tax rate are as follows:

   
Year ended June 30,
  
(dollars in thousands)
  
2016
    
2015
  
Book/tax differences in the balance sheet
        
Trading securities
  
$
321
    
$
289
  
Prepaid expenses
    
(73
)
    
(115
)
Accumulated depreciation
    
142
      
129
  
Available-for-sale securities
    
436
      
366
  
Other Investments
    
83
      
-
  
Accrued expenses
    
99
      
125
  
Product start-up costs
    
63
      
-
  
Stock-based compensation expense
    
6
      
103
  
Tax Carryovers
                
Net operating loss carryover
    
1,953
      
1,051
  
Cumulative eligible capital carryover
    
67
      
76
  
Charitable contributions carryover
    
43
      
41
  
Capital loss carryover
    
-
      
8
  
Valuation Allowance
    
(3,140
)
    
(2,073
)
Net deferred tax asset
  
$
-
    
$
-