INCOME TAXES (Tables)

12 Months Ended

Oct. 01, 2022

Income Tax Disclosure [Abstract]

Schedule of Provision for Income Taxes

The provision for income taxes consists of the following:

	Year Ended
	October 1, 2022		October 2, 2021
	(in thousands)
Current provision (benefit):
Federal	$	817	$	(1,093)
State and local	49		77
	866		(1,016)
Deferred provision (benefit):
Federal	173		946
State and local	409		1,251
	582		2,197
	$	1,448	$	1,181

Schedule of Effective Tax Rate Reconciliation

The effective tax rate differs from the U.S. income tax rate as follows:

	Year Ended
	October 1, 2022		October 2, 2021
	(in thousands)
Provision at Federal statutory rate (21%)	$	2,440	$	3,240
State and local income taxes, net of tax benefits	275		433
Gain on forgiveness of PPP Loans	(432)		(1,974)
Tax credits	(998)		(741)
Income (loss) attributable to non-controlling interest	(188)		(287)
Changes in tax rates	22		33
Net operating loss carryback Federal rate benefit	—		(159)
Change in valuation allowance	149		845
Other	180		(209)
	$	1,448	$	1,181

Schedule of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities are as follows:

	October 1, 2022		October 2, 2021
	(in thousands)
Deferred tax assets:
State net operating loss carryforwards	$	5,293	$	5,595
Lease liabilities	22,570		12,116
Deferred compensation	336		310
Tax credits	2,269		2,777
Other	604		492
Deferred tax assets, before valuation allowance	31,072		21,290
Valuation allowance	(1,407)		(1,258)
Deferred tax assets, net of valuation allowance	29,665		20,032
Deferred tax liabilities:
Depreciation and amortization	(25,886)		(15,308)
Partnership investments	(271)		(566)
Prepaid expenses	(390)		(458)
Deferred tax liabilities	(26,547)		(16,332)
Net deferred tax assets	$	3,118	$	3,700

Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits excluding interest and penalties is as follows:

	October 1, 2022		October 2, 2021
	(in thousands)
Balance at beginning of year	$	120	$	102
Additions based on tax positions taken in current and prior years	39		18
Decreases based on tax positions taken in prior years	—		—
Balance at end of year	$	159	$	120