TAXES ON INCOME (Tables)

12 Months Ended

Dec. 31, 2018

Profit Before Income Tax Expense (Benefit) Included In The Statement Of Operations

Profit before tax and income tax expense included in the consolidated statements of comprehensive income:

	Year ended December 31,
	2018			2017			2016

Loss before income tax expense:
Israel		(2,663	)		(3,701	)		(2,767	)
Foreign jurisdictions		119			-			200

		(2,544	)		(3,701	)		(2,567	)

Current tax expense:
Israel	14	-	-
Foreign jurisdictions	49	74	73

	63	74	73

Deferred taxes:
Israel	-	-	1,085

	-	-	1,085

Income tax expense	63	74	1,158

Reconciliation Of The Theoretical Income Tax Expense To The Actual Income Tax Expense

A reconciliation of the theoretical income tax benefit, assuming all income is taxable at the statutory rates applicable in Israel, and the actual income tax expense, is as follows:

	Year ended December 31,
	2018			2017			2016

Loss before income tax expense as reported in the consolidated statements of comprehensive income		(2,544	)		(3,701	)		(2,567	)

Statutory tax rates		23	%		24	%		25	%

Theoretical tax benefit calculated		(585	)		(888	)		(642	)

Changed in liability for undistributed income of subsidiaries		-			29			37
Losses and other items for which a valuation allowance was provided		271			1,218			1,160
Change in effective on corporate tax rate		-			(49	)		(17	)
Changes in deferred tax of carryforward losses due to sale of investment in previously consolidated subsidiaries		-			-			492
Tax benefit (expense) arising from "Preferred enterprises"		189			296			250
Foreign tax rate differential in subsidiaries		22			44			20
Other		166			(576	)		(142	)

Total		648			962			1,800

Income tax expense		63			74			1,158

Deferred Tax Assets And Liabilities

Deferred taxes reflect the tax effects of temporary differences were been the carrying amounts of assets and liabilities for financial reporting purposes and such amounts for income tax purposes. Significant components of the Company's deferred tax liabilities and assets are as follows:

	December 31,
	2018			2017

Deferred tax assets:

Net operating loss carryforwards (in Israel)		3,892			3,614
Capital loss carryforwards (in Israel)		2,137			1,170
Severance benefits		25			28
Provision for vacation		174			218
Tax credit carryforward		992			1,065
Allowance for doubtful accounts		29			37

Total gross deferred tax assets		7,249			6,132

Less valuation allowance		(6,418	)		(5,256	)

Net deferred tax assets		831			876

Deferred tax liabilities:
Undistributed income of subsidiaries		(275	)		(275	)

Fixed assets - differences in depreciation		(556	)		(601	)

Total gross deferred tax liabilities		(831	)		(876	)