XML 28 R18.htm IDEA: XBRL DOCUMENT v3.7.0.1
INCOME TAXES
 9 Months Ended
Jun. 30, 2017
Income Tax Disclosure [Abstract]  
INCOME TAXES
INCOME TAXES
 
The components of earnings (loss) before income taxes, after adjusting the earnings (loss) for non-controlling interests, are as follows:
 
 
Three months ended 
 June 30,
 
Nine months ended 
 June 30,
 
2017
 
2016
 
2017
 
2016
United States
$
(619,000
)
 
$
2,201,000

 
$
792,000

 
$
793,000

Canada
(335,000
)
 
(1,498,000
)
 
(954,000
)
 
(3,564,000
)
 
$
(954,000
)
 
$
703,000

 
$
(162,000
)
 
$
(2,771,000
)

 
The components of the income tax benefit are as follows:
 
Three months ended 
 June 30,
 
Nine months ended 
 June 30,
 
2017
 
2016
 
2017
 
2016
Current
$
(392,000
)
 
$
(159,000
)
 
$
(740,000
)
 
$
(527,000
)
Deferred
(50,000
)
 
87,000

 
64,000

 
(2,000
)
 
$
(442,000
)
 
$
(72,000
)
 
$
(676,000
)
 
$
(529,000
)

 
Consolidated taxes do not bear a customary relationship to pretax results due primarily to the fact that the Company is taxed separately in Canada based on Canadian source operations and in the U.S. based on consolidated operations, and essentially all deferred tax assets, net of relevant offsetting deferred tax liabilities, are not estimated to have a future benefit as tax credits or deductions. Income from our non-controlling interest in the Kukio Resort land development partnerships is treated as non-unitary for state of Hawaii unitary filing purposes, thus unitary Hawaii losses provide limited sheltering of such non-unitary income. In addition, the current income tax benefit for the three and nine months ended June 30, 2017 includes a $369,000 benefit from the lapsing of the statute of limitations on a previously accrued uncertain tax position. The Company has no remaining uncertain tax positions as of June 30, 2017.