Note 8 - Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Notes Tables

Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block]

	Year Ended December 31,
	2017		2016		2015
U.S.	$	11,203	$	2,207	$	(4,588	)
International		757		513		360
Income (loss) before income taxes	$	11,960	$	2,720	$	(4,228	)

The federal and statement income tax provision (benefit) is summarized as follows (in thousands):

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

	Year Ended December 31,
	2017			2016			2015
Current:
Federal	$	148		$	—		$	(7	)
State		71			16			23
International		511			131			218
Total Current		730			147			234
Deferred:
Federal		(17,393	)		(24	)		33
State		(1,348	)		(2	)		—
International		(22	)		22			(55	)
Total deferred tax benefit		(18,763	)		(4	)		(22	)
Total tax expense (benefit)	$	(18,033	)	$	143		$	212

Deferred income taxes reflect the net tax effects of (a) temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes, an

d (b) operating losses and tax credit carryforwards.

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

	December 31,
	2017			2016
Deferred Tax Assets:
Net operating loss carryforwards	$	8,604		$	15,487
Stock-based compensation		1,179			1,486
Other accruals and reserves		1,663			2,160
Credits		11,781			9,006
Foreign		399			377
Accrued warranty		847			890
Depreciation and amortization		1,592			2,627
Other		303			95
Deferred tax asset before valuation allowance		26,368			32,128
Valuation allowance		(7,242	)		(31,751	)
Deferred tax asset after valuation allowance		19,126			377
Deferred tax liability on goodwill		(71	)		(85	)
Net d eferred tax asset	$	19,055		$	292

Summary of Operating Loss Carryforwards and Tax Credit Carryforwards [Table Text Block]

	Amount		Expiration Years
Net operating losses, federal	$	34,700		2029-2035
Net operating losses, state		20,773		Various
Tax credits, federal		6,109		2024-2036
Tax credits, state	$	6,872		Various

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

	Year Ended December 31,
	2017			2016			2015
Statutory rate		34.00	%		34.00	%		34.00	%
State tax		(5.59	)		(14.56	)		1.94
General Business Credits		(2.72	)		(9.25	)		15.92
Stock-based compensation		(21.55	)		14.36			(19.19	)
Foreign Rate Differential		(0.50	)		(0.16	)		(1.47	)
Change in Federal Tax Rate		60.98			—			—
Other *		0.65			(2.15	)		(1.35	)
Meals and Entertainment*		2.15			7.56			(3.23	)
Valuation allowance		(218.17	)		(24.57	)		(31.63	)
Effective tax rate		(150.75	) %		5.23	%		(5.01	)%

Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block]

	2017		2016
Beginning of the year unrecognized tax benefits	$	707	$	651
Increases related to prior year tax positions		643		—
Increases related to current year tax positions		169		56
End of the year unrecognized tax benefits	$	1,519	$	707

It is the Company

’s policy to recognize interest and penalties related to income tax matters in income tax expense. As of

December 31, 2017,

the Company had accrued interest and penalties of $97,298 related to uncertain tax positions.