INCOME TAXES (Tables)

12 Months Ended

Dec. 29, 2019

Income Taxes

Schedule of components of income (loss) before income taxes

	Year Ended
(in thousands)	December 29, 2019		December 30, 2018
United States	$	(2,072)	$	5,370
Foreign		166		221
Total	$	(1,906)	$	5,591

Schedule of components of income tax (expense) benefit

	Year Ended
(in thousands)	December 29, 2019		December 30, 2018
Current:
Federal	$	(10)	$	4
State		(48)		(17)
Foreign		(25)		(77)
		(83)		(90)
Deferred:
Federal		603		(532)
State		139		(107)
		742		(639)
Total income tax (expense) benefit	$	659	$	(729)

Schedule of reconciliation of gross unrecognized tax benefit

(in thousands)
Balance at December 31, 2017		13
Decreases due to lapses of statutes of limitations		(5)
Balance at December 30, 2018		8
Decreases due to lapses of statutes of limitations		(4)
Balance at December 29, 2019	$	4

Schedule of the components of net deferred tax assets

(in thousands)	December 29, 2019		December 30, 2018
Deferred tax asset:
Deferred rent	$	—	$	411
Federal net operating loss carry-forwards		1,980		1,812
State net operating loss carry-forwards		1,993		4,130
Intangible property basis difference		(7)		131
Financing lease obligation		—		299
Tax credit carryover		2,581		2,164
Accrued expenses		168		205
Stock-based compensation		187		103
Deferred revenue		693		666
Lease reserve		8,060		107
Accrued and deferred compensation		53		36
Contribution carryover		50		46
Transaction and organization costs		121		—
Inventories		10		5
Total deferred tax asset	$	15,889	$	10,115
Deferred tax liability:
Property and equipment basis difference	$	(755)	$	(568)
Inventories		(146)		(83)
Prepaid expenses		(365)		(236)
Right of use asset		(6,664)		—
Total deferred tax liability	$	(7,930)	$	(887)
Net deferred tax assets		7,959		9,228
Valuation allowance		(1,313)		(3,481)
Deferred tax asset, net	$	6,646	$	5,747

Schedule of reconciliation from statutory tax rate to effective tax rate

	Year Ended
	December 29, 2019		December 30, 2018
Federal statutory tax rate	21.0	%	21.0	%
State taxes, net of valuation allowance and federal benefit	(4.7)		2.2
Deferred rate change	11.9		(0.6)
Foreign taxes	(2.0)		1.4
Tax effect of permanent differences	0.5		(0.1)
Tax effect of general business credits	24.3		(3.4)
Tax effect of foreign tax credit	2.0		(3.2)
Uncertain tax positions	0.3		(0.1)
Return to provision update	(173.8)		(15.7)
Change in valuation allowance	171.8		11.5
Other	0.9		—
Effective tax rate	52.2	%	13.0	%