INCOME TAXES (Tables)

12 Months Ended

Mar. 31, 2023

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense (Benefit)

The total provision (benefit) for income taxes consists of the following for the fiscal years ended (dollars in thousands):

	Fiscal Year Ended March 31,
	2023		2022		2021
Current	$	97	$	179	$	244
Deferred		17,881		1,980		(19,860	)
Total	$	17,978	$	2,159	$	(19,616	)
	2023		2022		2021
Federal, Current	$	—	$	—	$	—
Federal, Deferred		14,557		1,658		(16,217	)
Total Federal		14,557		1,658		(16,217	)
State, Current		97		179		244
State, Deferred		3,324		322		(3,643	)
Total State		3,421		501		(3,399	)
Total	$	17,978	$	2,159	$	(19,616	)

Reconciliation of the Statutory Federal Income Tax Rate and the Effective Income Tax Rate

A reconciliation of the statutory federal income tax rate and effective income tax rate is as follows:

	Fiscal Year Ended March 31,
	2023			2022			2021
Statutory federal tax rate		21.0	%		21.0	%		21.0	%
State taxes, net		4.0	%		5.2	%		5.3	%
State tax credits, net		(1.9	)%		—	%		—	%
Change in valuation reserve		(131.3	)%		(0.4	)%		(321.4	)%
Permanent items		(1.0	)%		(1.9	)%		(3.4	)%
Change in tax contingency reserve		(0.1	)%		0.1	%		(0.5	)%
Equity compensation cancellations		(0.1	)%		0.1	%		0.6	%
State return to provision		(0.9	)%		2.3	%		(1.7	)%
Other, net		0.4	%		(0.2	)%		(0.9	)%
Effective income tax rate		(109.9	)%		26.2	%		(301.0	)%

Schedule of Deferred Tax Assets

The net deferred tax assets reported in the accompanying consolidated financial statements include the following components (dollars in thousands):

	March 31,
	2023			2022
Deferred tax assets:
Inventory, accruals and reserves		680			809
Interest deduction carry-forward		71			—
Federal and state operating loss carry-forwards		18,849			16,485
Tax credit carry-forwards		1,537			1,847
Equity compensation		188			231
Deferred revenue		25			29
Lease liability		669			670
Intangible assets		984			—
Other		798			247
Total deferred tax assets		23,801			20,318
Valuation allowance		(22,731	)		(1,249	)
Deferred tax assets, net of valuation allowance		1,070			19,069
Deferred tax liabilities:
Lease ROU asset		(549	)		(518	)
Fixed assets		(598	)		(529	)
Intangible assets		—			(217	)
Total deferred tax liabilities		(1,147	)		(1,264	)
Total net deferred tax (liabilities) assets	$	(77	)	$	17,805

Unrecognized Tax Benefit Activity

Orion had the following unrecognized tax benefit activity (dollars in thousands):

	Fiscal Year Ended March 31,
	2023		2022			2021
Unrecognized tax benefits as of beginning of fiscal year	$	215	$	285		$	259
Additions based on tax positions related to the current period positions		1		39			123
Additions/(reductions) for tax positions of prior years		9		(109	)		(97	)
Unrecognized tax benefits as of end of fiscal year	$	225	$	215		$	285