Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Schedule of Income Tax (Benefit) Expense

Income tax (benefit) expense consists of the following for the years ended December 31, 2014 and 2013:

	2014			2013
Current tax (benefit) expense:
Federal	$	(49	)	$	(1,835	)
State		—			(79	)
Penalties and interest		—			55
		(49	)		(1,859	)
Deferred tax (benefit) expense:
Federal		(1,994	)		(806	)
State		(131	)		(60	)
Valuation allowance		2,125			1,935
		—			1,069
	$	(49	)	$	(790	)

Schedule of Reconciliation of Income Tax

A reconciliation of income tax computed at the U.S. statutory rate of 34% to the effective income tax rate is as follows:

	2014			2013
Statutory rate		(34	)%		(34	)%
State taxes		(2	)		(3	)
Permanent differences and other		2			3
Change in valuation allowance		34			24
Effective rate		0	%		(10	)%

Schedule of the Tax Effects of Temporary Differences That Give Rise to Deferred Tax Assets (Liabilities)

The tax effects of temporary differences that give rise to deferred tax assets (liabilities) at December 31, 2014 and 2013 are as follows:

	2014			2013
Current deferred tax assets (liabilities):
Accrued expenses	$	114		$	65
Accounts receivable		1,185			671
Inventory		1,603			970
Amortization		—			135
Prepaid expenses		(90	)		(99	)
Stock based compensation		23			23
Tax credits and NOL carryforward		—			233
Other		9			9
		2,844			2,007
Less: Valuation allowance		(2,844	)		(1,935	)
Net current deferred tax assets	$	—		$	72
Long-term deferred tax assets (liabilities):
Amortization	$	125		$	—
Property and equipment		(553	)		(969	)
Deferred rent		—			897
Tax credits and NOL carryforward		1,644			—
Net long-term deferred tax liabilities		1,216			(72	)
Less: valuation allowance		(1,216	)		—
Net deferred tax assets	$	—		$	—

Schedule of Reconciliation of the Beginning and Ending Amount of Unrecognized Tax Benefits

The accounting standard related to income taxes applies to all tax positions and defines the confidence level that a tax position must meet in order to be recognized in the financial statements. This accounting standard requires that the tax effects of a position be recognized only if it is “more-likely-than-not” to be sustained by the taxing authority as of the reporting date. If a tax position is not considered “more-likely-than-not” to be sustained, then no benefits of the position are to be recognized. This accounting standard requires additional disclosures. The recognition of uncertain tax benefits are not expected to have a material impact on the Company’s effective tax rate or results of operations. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	2014		2013
Unrecognized tax benefits at the beginning of the period	$	194	$	67
Gross increases for State income tax liabilities		56		127
Unrecognized tax benefits at the end of the period	$	250	$	194