Note 9 - Income Taxes
|6 Months Ended|
Mar. 31, 2020
|Notes to Financial Statements|
|Income Tax Disclosure [Text Block]||
March 31, 2020,the Company recorded income tax expense of
$313,000,reflecting an effective tax rate of
For theThe differences between the effective tax rate and the statutory tax rate were related to nondeductible meals and entertainment, nondeductible stock compensation, foreign derived intangibles deduction and research and development credits.
March 31, 2019,the Company recorded a provision for income taxes of
$395,000,respectively, reflecting an effective tax rate of
Deferred taxes recognize the impact of temporary differences between the amounts of the assets and liabilities recorded for financial statement purposes and these amounts measured in accordance with tax laws. The Company’s realization of deferred tax temporary differences is contingent upon future taxable earnings. The Company reviewed its deferred tax asset for expected utilization using a “more likely than
not”criteria by assessing the available positive and negative factors surrounding its recoverability.
March 31, 2020and
September 30, 2019,the Company had a remaining valuation allowance of approximately
related to state net operating loss carry forwards the Company does
notexpect to utilize. Based on the Company’s analysis and review of long-term forecasts and all available evidence, the Company determined that there should be
nofurther change in the valuation allowance for the
March 31, 2020.
As ofd tax benefits as a component of income tax expense. The Company does
March 31, 2020,we do
nothave any unrecognized tax benefits. It is the Company’s practice to recognize interest and penalties accrued on any unrecognize
notexpect any material changes in its unrecognized tax positions over the next
The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef