10.	INCOME TAXES

The Company is no longer subject to examinations by income tax authorities in most jurisdictions for years prior to 2011.

Due to its losses and the valuation allowance recorded against it deferred tax assets related to its net operating losses carryforwards, the Company has not recorded any income tax benefit or expense for the years ended December 31, 2014 and 2013.

The components of pre-tax loss, including discontinued operations, are as follows:

	Years Ended December 31,
	2014			2013
Pre-tax loss	$	(1,587	)	$	(3,161	)

				Years Ended December 31,
	2014			% of Pretax			2013			% of Pretax

Tax at Federal statutory rate	$	(556	)		(35.0	)%	$	(1,106	)		(35.0	)%
Increase in: Valuation allowances		552			34.8			1,281			40.5
Permanent differences		97			6.1			8			0.3
State and local taxes - net		(93	)		(5.9	)		(183	)		(5.8	)
Income tax (benefit) provision	$	—			—	%	$	—			—	%

The components of the net deferred tax assets are as follows:

	December 31,
	2014			2013
Deferred Tax Assets:
Accounts receivable allowances	$	90		$	91
Net operating loss carryforwards		44,322			44,926
Inventory		68			—
Restricted stock/Stock options		206			42
Contributions		101			102
Deferred rent		9			17
Property and equipment		49			59
Gross deferred tax assets	$	44,845		$	45,237

Valuation allowance	$	(44,845	)	$	(45,237	)

Net deferred tax asset	$	—		$	—

A reconciliation of activity for the Company’s deferred tax asset valuation allowance is provided as follows:

	Years Ended December 31,
	2014			2013

Beginning balance	$	45,237		$	50,711
Reductions to provision		(392	)		(5,474	)
Ending balance	$	44,845		$	45,237

The expiration terms and amounts for which an allowance has been provided with respect to the loss and credit carryforwards reflected in the gross deferred tax assets above are comprised as follows:

Loss Carryforwards	Expiration		Gross Amount

Federal	2033		$	114,819
State and local		2016-2033		69,891

The Company has no unrecognized tax benefits recorded for the years ended December 31, 2014 and 2013.

When and if the Company were to recognize interest or penalties related to unrecognized tax benefits, they would be reported net of federal tax benefit in tax expense.

It is difficult to predict what would occur to change the Company’s unrecognized tax benefits over the next twelve months. The Company believes, however, that there should be no change during the next twelve months.