Note 16 - Subsequent Event

6 Months Ended

Jun. 30, 2018

Notes to Financial Statements

Subsequent Events [Text Block]

16.

SUBSEQUENT EVENT

On

July 24, 2018,

the U.S. Ninth Circuit Court of Appeals overturned the U.S. Tax Court’s unanimous

2015

decision in 

Altera v. Commissioner

, holding that the Internal Revenue Service ("IRS") did

not

violate the rule-making procedures required by the Administrative Procedures Act. In the case

, 

the taxpayer challenged IRS's regulations that required participants in qualified cost sharing arrangements to share stock based compensation costs. The Tax Court had invalidated those regulations, in part because the Treasury Department failed to adequately consider significant taxpayer comments when adopting them. The Ninth Circuit Court of Appeals' decision reverses the Tax Court’s decision on this issue, holding that the Treasury Department’s rule was

not

arbitrary and capricious because the Treasury Department provided a sufficient basis for its decision making. The Company is evaluating the impact of this court decision on its income tax provision.