Income Taxes	9 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]
Income Taxes	NOTE 5 — INCOME TAXES At December 31, 2020, the Company had $10.6 million of U.S. federal net operating loss (“NOL”) carry forwards. These losses do not expire but are limited to utilization of 80% of taxable income in any one year. At December 31, 2020, the Company had approximately $18.5 million of U.S. state NOL carry forwards. The tax benefits related to these state NOL carry forwards and future deductible temporary differences are recorded to the extent management believes it is more likely than not that such benefits will be realized. The income of foreign subsidiaries before taxes was $103,000 for the nine months ended December 31, 2020 as compared to income before taxes of $393,000 for the nine months ended December 31, 2019. The Company analyzed the future reasonability of recognizing its deferred tax assets at December 31, 2020. As a result, the Company concluded that a 100% valuation allowance of approximately $3,700,000 would be recorded against the assets. During the three months ended December 31, 2020, the Company recorded income tax expense of approximately $10,000. During the three months ended December 31, 2019, the Company recorded income tax expense of approximately $4,000, primarily resulting from state income taxes. During the nine months ended December 31, 2020, the Company recorded income tax expense of $15,000 and for the nine months ended December 31, 2019, the Company recorded income tax expense of $19,000. The Company is subject to examination and assessment by tax authorities in numerous jurisdictions. As of December 31, 2020, the Company’s open tax years for examination for U.S. federal tax are 2016-2019, and for U.S. states’ tax are 2015-2019. Based on the outcome of tax examinations or due to the expiration of statutes of limitations, it is reasonably possible that the unrecognized tax benefits related to uncertain tax positions taken in previously filed returns may be different from the liabilities that have been recorded for these unrecognized tax benefits. As a result, the Company may be subject to additional tax expense. As of December 31, 2020 the Company had a federal tax liability of approximately $2,031,000 related to the repatriation of the Company’s undistributed earnings of its foreign subsidiaries as required by the Tax Cuts and Jobs Act of 2017. As of December 31, 2020, the short term portion was approximately $195,000 and the long term portion was approximately $1,836,000. As of March 31, 2020, the short term portion was approximately $195,000 and the long term portion was approximately $2,033,000.The liability is payable over 8 years. The first five installments are each 8% of the liability, the sixth is 15%, the seventh is 20% and the final installment is 25%. As of December 31, 2020, the Company has made three of the eight installments.

Income Taxes

9 Months Ended

Dec. 31, 2020

NOTE 5 — INCOME TAXES

At December 31, 2020, the Company had $10.6 million of U.S. federal net operating loss (“NOL”) carry forwards. These losses do not expire but are limited to utilization of 80% of taxable income in any one year. At December 31, 2020, the Company had approximately $18.5 million of U.S. state NOL carry forwards. The tax benefits related to these state NOL carry forwards and future deductible temporary differences are recorded to the extent management believes it is more likely than not that such benefits will be realized. The income of foreign subsidiaries before taxes was $103,000 for the nine months ended December 31, 2020 as compared to income before taxes of $393,000 for the nine months ended December 31, 2019.

The Company analyzed the future reasonability of recognizing its deferred tax assets at December 31, 2020. As a result, the Company concluded that a 100% valuation allowance of approximately $3,700,000 would be recorded against the assets.

During the three months ended December 31, 2020, the Company recorded income tax expense of approximately $10,000. During the three months ended December 31, 2019, the Company recorded income tax expense of approximately $4,000, primarily resulting from state income taxes. During the nine months ended December 31, 2020, the Company recorded income tax expense of $15,000 and for the nine months ended December 31, 2019, the Company recorded income tax expense of $19,000.

The Company is subject to examination and assessment by tax authorities in numerous jurisdictions. As of December 31, 2020, the Company’s open tax years for examination for U.S. federal tax are 2016-2019, and for U.S. states’ tax are 2015-2019. Based on the outcome of tax examinations or due to the expiration of statutes of limitations, it is reasonably possible that the unrecognized tax benefits related to uncertain tax positions taken in previously filed returns may be different from the liabilities that have been recorded for these unrecognized tax benefits. As a result, the Company may be subject to additional tax expense.

As of December 31, 2020 the Company had a federal tax liability of approximately $2,031,000 related to the repatriation of the Company’s undistributed earnings of its foreign subsidiaries as required by the Tax Cuts and Jobs Act of 2017. As of December 31, 2020, the short term portion was approximately $195,000 and the long term portion was approximately $1,836,000. As of March 31, 2020, the short term portion was approximately $195,000 and the long term portion was approximately $2,033,000.The liability is payable over 8 years. The first five installments are each 8% of the liability, the sixth is 15%, the seventh is 20% and the final installment is 25%. As of December 31, 2020, the Company has made three of the eight installments.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References + Details