INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2023

INCOME TAXES

Components of income (loss) before taxes

	Year Ended December 31,
(in thousands)	2023			2022
U.S. operations	$	(536	)	$	(1,622	)
Foreign operations		1,216			1,185
Total income (loss) before taxes	$	680		$	(437	)

Components of income tax expense (benefit)

	Year Ended December 31,
(in thousands)	2023		2022
Current tax expense (benefit)
U.S. federal	$	0	$	0
State		20		19
Foreign		174		664
		194		683
Deferred tax expense (benefit) – U.S. federal		-		-
Total income tax expense (benefit)	$	194	$	683

Reconciliation of effective income tax

	Year Ended December 31,
(in thousands)	2023			2022
Statutory tax	$	143		$	(92)
State and foreign income tax, net of federal tax benefit		(178	)		(189	)
Valuation allowance for deferred tax asset		139			370
Foreign sourced deemed dividend income		322			738
Stock based compensation		(250	)		(154	)
Other		18			10
Total income tax expense (benefit)	$	194		$	683

Schedule of deferred tax assets and liabilities

  Year Ended December 31,   2023  2022 (in thousands)      Deferred income tax assets:      Allowance for credit losses $14  $22 Inventory and product return reserves  1,168   477 Compensation accruals  2,750   2,511 Accrued liabilities  65   151 Book-over-tax depreciation and amortization  18   25 Foreign net operating loss carryforwards  184   149 U.S. net operating loss carryforwards  2,899   4,399 U.S. credit carryforwards  1,557   1,560    8,655   9,294          Valuation Allowance  (8,655)  (9,294)Total Deferred Income Tax Assets $-  $- 

Schedule of unrecognized tax benefits

	Year Ended December 31,
	2023			2022
(in thousands)
Unrecognized tax benefits, opening balance	$	422		$	392
Prior period tax position increases		(6	)		-
Additions based on tax positions related to current year		14			30
Unrecognized tax benefits, ending balance	$	430		$	422