INCOME TAXES |
6 Months Ended |
|---|---|
Dec. 30, 2017 | |
| Income Tax Disclosure [Abstract] | |
| INCOME TAXES | INCOME TAXES Deferred income taxes arise from temporary differences between the tax and financial statement recognition of revenue and expenses. The Company regularly assesses the need for a valuation allowance against its deferred tax assets. In evaluating whether it is more likely than not that some or all of the Company’s deferred tax assets will not be realized, it considers all available positive and negative evidence, including recent year’s operational results which is objectively verifiable evidence. As a result of its evaluation of the realizability of its deferred tax assets as of December 30, 2017, the Company continues to believe, based upon all available evidence, that it is more likely than not that the majority of its deferred tax assets will continue to not be realized. Accordingly, the tax benefit related to the current quarter losses is not recognized. The Company will continue to maintain a valuation allowance against its deferred tax assets until the Company believes it is more likely than not that these assets will be realized in the future. If sufficient positive evidence arises in the future indicating that all or a portion of the deferred tax assets meet the more likely than not standard, the valuation allowance will be reversed accordingly in the period that such determination is made. On December 22, 2017, the Tax Cuts and Jobs Act was signed into law, which reduced the current corporate federal income tax rate to 21% from 35%. Accordingly, during the second quarter of fiscal 2018, we revalued our U.S. deferred tax assets and liabilities based on the lower rate. We simultaneously recognized the effect of this rate change on our deferred tax asset valuation allowances. As a result, the Act had no impact to the statement of operations and comprehensive loss. |