XML 18 R25.htm IDEA: XBRL DOCUMENT v2.4.1.9
8 - INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2014
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] Income tax provision is summarized as follows:

   
Year Ended December 31,
 
   
2014
   
2013
 
Current:
           
Federal
  $ -     $ -  
State
    3,000       2,000  
      3,000       2,000  
Deferred:
               
Federal
    (362,000 )     (257,000 )
State
    (65,000 )     (76,000 )
Increase in valuation allowance
    427,000       333,000  
      -       -  
                 
Income tax provision
  $ 3,000     $ 2,000  
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] The actual income tax provision differs from the “expected” tax computed by applying the Federal corporate tax rate of 34% to the loss before income taxes as follows:

   
Year Ended December 31,
 
   
2014
   
2013
 
“Expected” income tax benefit
  $ (386,000 )   $ (327,000 )
State tax expense, net of Federal benefit
    2,000       2,000  
Foreign (income) loss
    10,000       -  
Increase in valuation allowance
    427,000       333,000  
Other
    (50,000 )     (6,000 )
Income tax provision
  $ 3,000     $ 2,000  
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] The tax effects of temporary differences which give rise to significant portions of the deferred taxes are summarized as follows:

   
December 31,
 
   
2014
   
2013
 
Deferred tax assets:
           
Inventory reserves
  $ 2,820,000     $ 2,544,000  
Section 263a adjustment
    79,000       82,000  
Allowances for bad debts and returns
    21,000       22,000  
Accrued expenses
    23,000       24,000  
Asset valuation reserve
    187,000       57,000  
State net operating loss carry forward
    40,000       101,000  
Other
    226,000       107,000  
Total deferred tax assets
    3,396,000       2,937,000  
Valuation allowance
    (3,150,000 )     (2,721,000 )
      246,000       216,000  
Deferred tax liabilities:
               
Deferred state taxes
    (246,000 )     (216,000 )
                 
Net deferred tax assets
  $ -     $ -