Note O - Income Taxes

9 Months Ended

Dec. 31, 2021

Notes to Financial Statements

Income Tax Disclosure [Text Block]

NOTE O — INCOME TAXES

For the nine months ended December 31, 2021, the Company recorded an income tax provision of $6,303,899, or 22.7% of earnings before income taxes, compared to an income tax provision of $298,668, or 22.6% of earnings before income taxes for the nine months ended December 31, 2020. Typically, the Company’s effective tax rate differs from the federal statutory rate due to the inclusion of state tax expenses or benefits in the provision. However, for the nine months ended December 31, 2021, the Company’s effective tax rate differed from the federal statutory rate due to a combination of the inclusion of state tax expenses in the provision and the exclusion of the non-taxable gain associated with forgiveness of the Company’s PPP Loan from the provision. For the nine months ended December 31, 2020, the effective tax rate differed from the federal statutory rate due primarily to the inclusion of state tax benefits in the provision.