Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

The components of income before income taxes and income tax expense for the years ended December 31, 2019, 2018 and 2017 are as follows (in thousands):



	Years ended December 31,
	2019			2018			2017
Income before income taxes:
Domestic	$	12,814		$	5,577		$	2,901
Foreign	9,555			9,186			16,788
Total income before income taxes	$	22,369		$	14,763		$	19,689

Income tax expense (benefit):
Current:
Federal	$	2,634		$	388		$	3,210
State and local	586			378			256
Foreign	5,046			3,285			3,645
Total current	8,266			4,051			7,111
Deferred:
Federal	(338		)	813			(241		)
State and local	(99		)	258			(176		)
Foreign	(649		)	(195		)	104
Total deferred	(1,086		)	876			(313		)
Total income tax expense	$	7,180		$	4,927		$	6,798

Schedule of effective income tax rate reconciliation

The provision for income taxes differs from the amount computed by applying the statutory federal income tax rate to income before income taxes. The sources and tax effects of the differences are as follows:



	December 31,
	2019		2018		2017
Federal income tax rate	21.0	%	21.0	%	35.0	%
State and local taxes net of federal benefit	3.0		1.9		0.2
Domestic production deduction	—		—		(1.1	)
Valuation allowance	6.3		0.4		0.9
Foreign tax credits	(5.0	)	—		—
Foreign tax rate differential	4.1		1.8		(8.8	)
Permanent differences	3.5		2.7		(6.2	)
Other	(1.0	)	2.2		(1.8	)
Global Intangible Low-taxed Income	0.2		1.5		—
Tax Cuts and Jobs Act of 2017	—		1.9		16.3
Effective tax rate	32.1	%	33.4	%	34.5	%

Schedule of deferred tax assets and liabilities

Significant components of our deferred tax assets and liabilities are as follows (in thousands):



	December 31,
	2019			2018
Deferred tax assets:
Allowance for doubtful accounts	$	291		$	531
Accrued liabilities and other	2,066			2,564
Stock-based compensation expense	297			296
Net federal, state and foreign operating loss carryforwards	2,825			1,953
Foreign tax credit carryforwards	1,379			266
Deferred tax assets	6,858			5,610
Valuation allowance on deferred tax assets	(4,025		)	(1,385		)
Deferred tax liabilities:
Other	182			1,181
Intangible assets, property and equipment, principally due to difference in depreciation and amortization	8,969			10,784
Net deferred tax liabilities	$	(6,318	)	$	(7,740	)