Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Schedule of Income Tax Expense (Benefit)

The components of income before income taxes and the income tax provision for the years ended December 31 are as follows:



	As Restated
	2019			2018			2017
Income (loss) before income taxes
Domestic	$	24,835		$	30,835		$	34,136
Foreign	(658		)	(350		)	2,940
	$	24,177		$	30,485		$	37,076
Income tax provision (benefit)
Current income tax provision (benefit):
Federal	$	2,966		$	(323	)	$	12,647
State	1,106			356			1,396
Foreign	3,525			1,919			1,449
Total current	7,597			1,952			15,492
Deferred income tax provision (benefit):
Federal	856			5,592			3,417
State	1,676			447			(96		)
Foreign	(1,045		)	(565		)	154
Total deferred	1,487			5,474			3,475
	$	9,084		$	7,426		$	18,967

Effective Income Tax Rate Reconciliation

A reconciliation of the federal statutory and effective income tax rate for the years ended December 31 is as follows:



	As Restated
	2019					2018					2017
	$			%		$			%		$			%
Income before income taxes	$	24,177				$	30,485				$	37,076
Statutory taxes at 21.0% (35.0% in 2017)	$	5,077		21.0	%	$	6,402		21.0	%	$	12,976		35.0	%
State and local income taxes	1,031			4.3	%	729			2.4	%	824			2.2	%
Valuation allowances	2,190			9.1	%	42			0.1	%	344			0.9	%
Other non-deductible expenses	253			1.0	%	429			1.4	%	—			—	%
Credits	(1,195		)	(4.9	)%	(348		)	(1.1	)%	(458		)	(1.2	)%
Provisional effect of the Tax Cuts and Jobs Act (the "Tax Act")	—			—	%	—			—	%	4,654			12.6	%
Non-deductible spin-related costs	—			—	%	—			—	%	540			1.5	%
Unrecognized tax benefits	2,719			11.2	%	1,427			4.7	%	(12		)	—	%
Other, net	(991		)	(4.1	)%	(1,255		)	(4.1	)%	99			0.3	%
Income tax provision	$	9,084		37.6	%	$	7,426		24.4	%	$	18,967		51.2	%

Deferred Tax Assets and Liabilities

A detailed summary of the total deferred tax assets and liabilities in the Company's Consolidated Balance Sheets resulting from differences in the book and tax basis of assets and liabilities follows:



	As Restated
	December 31
	2019			2018
Deferred tax assets
Tax carryforwards	$	2,867		$	1,456
Inventory	316			—
Accrued expenses and reserves	5,896			5,505
Other employee benefits	1,500			2,349
Other	1,412			996
Total deferred tax assets	11,991			10,306
Less: Valuation allowances	(1,069		)	(1,162		)
	10,922			9,144
Deferred tax liabilities
Inventory	—			37
Accrued pension benefits	2,623			1,854
Depreciation and amortization	2,051			1,459
Total deferred tax liabilities	4,674			3,350
Net deferred tax asset	$	6,248		$	5,794

Summary of Tax Credit Carryforwards

The following table summarizes the tax carryforwards and associated carryforward periods and related valuation allowances where the Company has determined that realization is uncertain:



	As Restated
	December 31, 2019
	Net deferred tax asset		Valuation allowance		Carryforwards expire during:
Non-U.S. net operating loss	$	2,867	$	987	2020 - Indefinite
Total	$	2,867	$	987



	As Restated
	December 31, 2018
	Net deferred tax asset		Valuation allowance		Carryforwards expire during:
Non-U.S. net operating loss	$	1,456	$	917	2020 - Indefinite
Total	$	1,456	$	917

Unrecognized Tax Benefits Roll Forward

The following is a reconciliation of the Company's total gross unrecognized tax benefits, defined as the aggregate tax effect of differences between tax return positions and the benefits recognized in the financial statements for the years ended December 31, 2019, 2018, and 2017. Approximately $3.0 million, $1.4 million, and $0.6 million of these gross amounts as of December 31, 2019, 2018, and 2017, respectively, relate to permanent items that, if recognized, would impact the effective income tax rate. This amount differs from the gross unrecognized tax benefits presented in the table below due to the decrease in U.S. federal income taxes which would occur upon the recognition of the state tax benefits included herein.



	As Restated
	2019		2018			2017
Balance at January 1	$	1,576	$	881		$	671
Additions based on tax positions related to prior years	97		91			—
Additions based on tax positions related to the current year	2,593		1,110			210
Reductions due to settlements with taxing authorities	—		(506		)	—
Balance at December 31	$	4,266	$	1,576		$	881