Income Taxes

12 Months Ended

Feb. 29, 2016

Income Tax Disclosure [Abstract]

Income Taxes

NOTE 12: INCOME TAXES

The annual provision (benefit) for income taxes differs from amounts computed by applying the maximum U.S. Federal income tax rate of 34% to pre-tax income as follows:

	February 29, 2016			February 28, 2015
Expected federal income tax	$	252,321		$	288,945
State tax, net of federal		39,059			31,371
Research and development tax credits		(135,904	)		(155,110	)
Overaccrual of prior year taxes		(67,579	)		—
Deferred tax expense		106,826			—
Permanent timing difference		—			54,218
Income tax	$	194,723		$	219,424

The deferred tax asset and liability are comprised of the following:

	February 29,			February 28,
	2016			2015
Inventory	$	87,000		$	127,000
Allowance for accounts receivable		18,000			17,000
Accrued expenses and other		50,000			97,000
Deferred tax asset - Current		155,000			241,000
Research tax credits		102,000			51,000
Accrued expenses		15,000			—
Intangible asset amortization		(39,000	)		(39,000	)
Building and leasehold depreciation		(250,000	)		(163,000	)
Deferred tax liability - Long Term	$	(172,000	)	$	(151,000	)

At February 29, 2016 and February 28, 2015, the Company has $102,000 and $51,000 of research and development tax credits, respectively, being carried forward.