INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2016

INCOME TAXES [Abstract]

Components of Income Tax Expense (Benefit)

Income tax expense for the years ended December 31, 2014, 2015 and 2016 consisted of the following:

	2014			2015			2016
Current:
Federal	$	(16,309	)	$	33,519		$	38,504
State		34,829			14,933			-
		18,520			48,452			38,504
Deferred:
Federal		(357,224	)		(339,511	)		(734,951	)
State		(64,081	)		(29,973	)		(57,526	)
		(421,305	)		(369,484	)		(792,477	)
Total income tax benefit	$	(402,785	)	$	(321,032	)	$	(753,973	)

Effective Income Tax Rate Reconciliation

The Company's effective tax rate differs from the statutory rate due to the impact of the following (expressed as a percentage of income before income taxes):

	2014			2015			2016
Statutory federal income tax expense		34.0	%		34.0	%		34.0	%
State income tax expense		3.0			3.0			3.0
Effect of permanent differences -
Travel and entertainment expenses		(0.5	)		(0.5	)		(0.5	)
Share based compensation		(5.6	)		(3.4	)		(1.8	)
Other		(0.5	)		(1.8	)		0.5
		30.4	%		31.3	%		35.2	%

Deferred Tax Assets and Liabilities

Temporary differences comprise the deferred tax assets and liabilities in the consolidated balance sheets as follows:

	December 31,
	2015			2016
Deferred tax assets current:
Section 179 carryforward	$	-		$	44,209
Accruals not currently deductible		131,514			130,293
Allowance for doubtful accounts		144,300			151,700
Charitable contribution carryover		93			-
		275,907			326,202
Deferred tax assets long-term:
Stock option compensation		528,701			557,367
		528,701			557,367
Deferred tax liabilities long-term:
Depreciation for tax over books		(525,241	)		-
Contingent liabilities impairment		(198,790	)		(195,730	)
Intangible asset amortization for tax over books		(2,047,470	)		(1,862,255	)
		(2,771,501	)		(2,057,985	)
Net long-term deferred tax liability		(2,242,800	)		(1,500,618	)
Net deferred tax liability	$	(1,966,893	)	$	(1,174,416	)