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Unrecognized Tax Benefits & Impact of Tax Reform Act
9 Months Ended
Jan. 31, 2019
Income Tax Disclosure [Abstract]  
Unrecognized Tax Benefits & Impact of Tax Reform Act
Unrecognized Tax Benefits & Impact of Tax Reform Act
    
The total amount of gross unrecognized tax benefits was $6,421 at April 30, 2018. At January 31, 2019, gross unrecognized tax benefits were $8,331. If this unrecognized tax benefit were ultimately recognized, $6,604 is the amount that would impact our effective tax rate. The total amount of accrued interest and penalties for such unrecognized tax benefits was $318 at January 31, 2019, and $191 at April 30, 2018. Net interest and penalties included in income tax expense for the nine months ended January 31, 2019, was a net expense of $127, with a net expense of $113 for the same period in 2018.

A number of years may elapse before an uncertain tax position is audited and ultimately settled. It is difficult to predict the ultimate outcome or the timing of resolution for uncertain tax positions. It is reasonably possible that the amount of unrecognized tax benefits could significantly increase or decrease within the next twelve months. These changes could result from the expiration of the statute of limitations, examinations or other unforeseen circumstances. The IRS is currently examining tax year 2012. The Company has no other ongoing federal or state income tax examinations. At this time, the Company's best estimate of the reasonably possible change in the amount of the gross unrecognized tax benefits is a decrease of $1,300 during the next twelve months mainly due to the expiration of certain statute of limitations.
The federal statute of limitations remains open for the tax years 2012 and forward. Tax years 2012 and forward are subject to audit by state tax authorities depending on open statute of limitations waivers and the tax code of each state.
On December 22, 2017, H.R. 1, originally known as the Tax Cuts and Jobs Act (the “Tax Reform Act”) was enacted. U.S. GAAP requires that the impact of tax legislation be recognized in the period in which the law was enacted. In December 2017, the SEC issued Staff Accounting Bulletin No. 118, which allowed a company to report provisional numbers related to the Tax Reform Act and adjust those amounts during a measurement period not to exceed one year. The Company recorded the provisional impact of the Tax Reform Act in the fiscal year ended April 30, 2018. During the nine months ended January 31, 2019, the Company did not record any material adjustments to the amounts previously recorded as a result of the Tax Reform Act. The measurement period allowed by SAB No. 118 is now closed.