Income Taxes (Tables)

9 Months Ended

May 31, 2022

Schedule of Deferred Tax Assets and Liabilities

The following table details the categories of total income tax assets and liabilities resulting from the cumulative tax effects of temporary differences:


	May 31, 2022		August 25, 2021
	(In thousands)
Deferred income tax assets:
Workers’ compensation, employee injury, and general liability claims	$	219	$	402
Deferred compensation	—		80
Net operating losses	36		10,603
General business and foreign tax credits	10,823		12,105
Depreciation, amortization and impairments	2,772		2,291
Interest expense	—		1,953
Lease liabilities	987		1,551
Straight-line rent, dining cards, accruals, and other	395		416
Subtotal	15,232		29,401
Valuation allowance	(14,985)		(28,506)
Total deferred income tax assets	247		895
Deferred income tax liabilities:
Property taxes and other	763		680
Lease assets	588		924
Total deferred income tax liabilities	1,351		1,604
Net deferred income tax asset	$	(1,104)	$	(709)

Schedule of Components of Income Tax Expense (Benefit)

An analysis of the provision for income taxes for continuing operations under the going concern basis of accounting was as follows.


	12 Week Period Ended
	November 18, 2020
	(In thousands)
Current federal and state income tax expense	$	54
Current foreign income tax expense	4

Provision for income taxes	$	58

Income Tax Expense Benefit Continuing Operations Income Tax Reconciliation

Under the going concern basis of accounting and relative only to continuing operations, the reconciliation of the expense for income taxes to the expected income tax expense, computed using the statutory tax rate, was as follows.


	12 Week Period Ended
	November 18, 2020
	Amount		%
	(in thousands, except percentages)
Income tax benefit from continuing operations at the federal rate	$	(618)	21.0	%
Permanent and other differences:

Stock options and restricted stock	4		(0.1)
Other permanent differences	1		—
State income tax, net of federal benefit	53		(1.8)


Other	70		(2.4)
Change in valuation allowance	548		(18.7)
Provision for income taxes from continuing operations	$	58	(2.0)	%

Schedule of Unrecognized Tax Benefits Reconciliation

The following table is a reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of fiscal year 2021 and the fiscal period ended May 31, 2022.


Balance as of August 26, 2020	$	25
Decrease based on prior year tax positions	—
Interest Expense	—
Balance as of August 25, 2021	$	25
Decrease based on prior year tax positions	—
Interest Expense	—
Balance as of May 31, 2022	$	25