INCOME TAXES (Tables)

12 Months Ended

Mar. 31, 2020

INCOME TAXES

Schedule of income (loss) from continuing operations by location

	2020		2019
U.S. operations	$	(403,419)	$	1,390,485
Foreign operations		(11,191)		133,548
(Loss) income before income taxes		(414,610)		1,524,033
Income tax (benefit) expense		(73,041)		423,357
Net (loss) income	$	(341,569)	$	1,100,676

Schedule of components of income tax benefit

	2020		2019
Current:
Total Current	$	—	$	—
Deferred:
Federal		(26,328)		252,482
State		(46,713)		170,875
Total Deferred	$	(73,041)	$	423,357
Income tax (benefit) expense	$	(73,041)	$	423,357

Schedule of reconciliation between federal statutory income tax rate and effective income tax rate

	2020			2019
U.S. statutory income tax	$	(87,068)		$	320,047
State income tax, net of federal benefit		(35,969)			63,933
Stock based compensation		(17,587)			30,497
Change in valuation allowance		9,340			(32,642)
Global intangible income tax		28,045			—
Other		30,198			41,522
Income tax (benefit) expense	$	(73,041)		$	423,357
Effective tax rate*		17.6	%		27.8	%

*Effective tax rate is calculated by dividing the income tax expense by income before income taxes.

Summary of the components of deferred income tax assets and liabilities

	2020		2019
Deferred Tax Assets:
Compensation	$	341,900	$	334,090
AMT tax credits		76,186		60,841
Other items not currently deductible		88,090		94,207
Stock based compensation awards		213,854		224,975
Depreciation		68,486		—
Net operating loss carryforward		3,704,185		3,814,321
Valuation allowance		(1,710,616)		(1,701,276)
Total Deferred Tax Assets	$	2,782,085	$	2,827,158
Deferred Tax Liabilities:
Contract accounting methods	$	(666,605)	$	(751,723)
Depreciation		—		(71,089)
Total Deferred Tax Liabilities	$	(666,605)	$	(822,812)
Net Deferred Tax Asset	$	2,115,480	$	2,004,346

Summary of carryforwards of net operating losses

			Begins to
	Amount		Expire:
Federal net operating losses	$	7,501,833	2026
State net operating losses	$	27,392,814	2032