Income Taxes

3 Months Ended

Sep. 29, 2012

Income Tax Disclosure [Abstract]

Income Taxes

(8) Income Taxes

At December 31, 2011, the Company had approximately $1,368,000 of net operating loss carryforwards available to offset future income for U.S. Federal income tax purpose.

The Company recorded a tax benefit of $274,000 and $741,000 for federal income taxes and a tax benefit of $77,000 and $209,000 for state income taxes during the three and nine months ended September 29, 2012.

The Company has a current and non-current deferred tax asset aggregating $2,430,817 and $1,480,817 on the Company’s balance sheet at September 29, 2012 and December 31, 2011, respectively. A valuation allowance is required to be established or maintained when it is "more likely than not" that all or a portion of deferred tax assets will not be realized. The Company believes that it will generate sufficient future taxable income to realize the tax benefits related to the remaining deferred tax assets and as such no valuation allowance has been provided against the deferred tax asset.