INCOME TAXES:

12 Months Ended

Mar. 29, 2019

Income Tax Disclosure [Abstract]

INCOME TAXES

Note 7 INCOME TAXES:

The Company accounts for income taxes under the provisions of ASC Topic 740, “Income Taxes.” Under ASC Topic 740, deferred income tax assets or liabilities are computed based upon the temporary differences between the Financial Statement and income tax bases of assets and liabilities using the currently enacted marginal income tax rates. Deferred income tax expense or credits are based on the changes in the deferred income tax assets or liabilities from period to period.

The provision for income taxes consists of the following:

	March 29,		March 30,
	2019		2018
Current:
Federal	$	828,728	$	449,123
State and local		1,166,106		222,982
Total current tax provision		1,994,834		672,105
Deferred:
Federal		408,174		561,920
State and local		222,217		556,453
Total deferred tax expense		630,391		1,118,373
Total provision	$	2,625,225	$	1,790,478

With the enactment of the Tax Cuts and Jobs Act (TCJA) in December 2017, Federal corporate income tax rates were reduced from 35 percent to 21 percent. As the Company reported on a fiscal year ending in March, the federal income tax rate for the year ended March 30, 2018 was a blended rate.

The foregoing amounts are management’s estimates and the actual results could differ from those estimates. Future profitability in this competitive industry depends on continually obtaining and fulfilling net profitable contracts or the failure of the Company’s engineering development efforts could reduce estimates of future profitability, which could affect the Company’s ability to realize the deferred tax assets.

A reconciliation of the income tax benefit at the statutory Federal tax rate to the income tax benefit recognized in the financial statements is as follows:

	March 29,		March 30,
	2019		2018
Income tax expense (benefit) – twelve months	21%		—
Income tax expense (benefit) – nine months		—		26%
Income tax expense (benefit) – three months		—		5%
Income tax expense (benefit)		—		—
Income tax expenses – state and local, net of federal benefit		11%		10%

During the year ended March 29, 2019, the Company received a remittance of $460,442 from the Internal Revenue Service. The remittance did not indicate the basis for the payment. The Company has reported this payment as a current liability in the accompanying financial statements until such time that the basis for this remittance can be determined.