INCOME TAXES (Tables)

12 Months Ended

Mar. 31, 2022

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,
	2022		2021			2020
Current	$	179	$	244		$	84
Deferred		1,980		(19,860	)		75
Total	$	2,159	$	(19,616	)	$	159
	2022		2021			2020
Federal, Current	$	—	$	—		$	17
Federal, Deferred		1,658		(16,217	)	$	39
Total Federal		1,658		(16,217	)		56
State, Current		179		244			67
State, Deferred		322		(3,643	)		36
Total State		501		(3,399	)		103
Total	$	2,159	$	(19,616	)	$	159

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,
	2022			2021			2020
Statutory federal tax rate		21.0	%		21.0	%		21.0	%
State taxes, net		5.2	%		5.3	%		4.9	%
Change in valuation reserve		(0.4	)%		(321.4	)%		(25.0	)%
Permanent items		(1.9	)%		(3.4	)%		(1.0	)%
Change in tax contingency reserve		0.1	%		(0.5	)%		0.2	%
Equity compensation cancellations		0.1	%		0.6	%		0.2	%
State return to provision		2.3	%		(1.7	)%		1.2	%
Other, net		(0.2	)%		(0.9	)%		(0.2	)%
Effective income tax rate		26.2	%		(301.0	)%		1.3	%

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,
	2022			2021
Deferred tax assets:
Inventory, accruals and reserves		809			860
Federal and state operating loss carry-forwards		16,485			18,313
Tax credit carry-forwards		1,847			1,916
Equity compensation		231			198
Deferred revenue		29			38
Lease liability		670			853
Other		247			406
Total deferred tax assets		20,318			22,584
Valuation allowance		(1,249	)		(1,279	)
Deferred tax assets, net of valuation allowance		19,069			21,305
Deferred tax liabilities:
Lease ROU asset		(518	)		(670	)
Fixed assets		(529	)		(626	)
Intangible assets		(217	)		(224	)
Total deferred tax liabilities		(1,264	)		(1,520	)
Total net deferred tax assets	$	17,805		$	19,785

Unrecognized Tax Benefit Activity

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

	Fiscal Year Ended March 31,
	2022			2021			2020
Unrecognized tax benefits as of beginning of fiscal year	$	285		$	259		$	130
Additions based on tax positions related to the current period positions		39			123			23
Additions/(reductions) for tax positions of prior years		(109	)		(97	)		106
Unrecognized tax benefits as of end of fiscal year	$	215		$	285		$	259