XML 24 R13.htm IDEA: XBRL DOCUMENT v3.20.2
Note 7 - Income Taxes
9 Months Ended
Sep. 30, 2020
Notes to Financial Statements  
Income Tax Disclosure [Text Block]
Note
7.
Income Taxes
 
Deferred tax assets and liabilities are recorded based on the difference between financial reporting and tax basis of assets and liabilities, and are measured by the enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. Deferred tax assets are computed with the presumption that they will be realizable in future periods when taxable income is generated. Predicting the ability to realize these assets in future periods requires judgment by management. U.S. generally accepted accounting principles prescribe a recognition threshold and measurement attribute for a tax position taken or expected to be taken in a tax return. Income tax benefits that meet the “more likely than
not”
recognition threshold should be recognized.
 
The Company has recognized a deferred tax asset of approximately
$1.4
million and has recorded a valuation allowance of approximately
$10.0
million against the other deferred tax assets. The Company reviews the assessment of the deferred tax asset and valuation allowance on an annual basis or more often when events indicate that a change to the valuation allowance
may
be warranted.
 
At 
December 31, 2019
, the Company had available net operating loss carryforwards of approximately
$48.2
million. Net operating loss carryforwards prior to
2017
are available to offset taxable income of future periods and begin to expire in
2021.
Effective for tax years ending in
2018,
net operating losses can be carried forward to future years indefinitely. Approximately
$0.1
million of the total net operating loss carryforward is subject to an IRS Section
382
limitation from
1999.
 
Management is
not
aware of any tax positions that would have a significant impact on the Company's financial position.