InfuSystem Holdings, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

The following table summarizes income before income taxes for the years ended December 31 (in thousands):


	2014		2013
U.S income	$	5,670	$	2,281
Non-U.S. income		540		419

Income before income taxes	$	6,210	$	2,700

Summary of Components of Consolidated Provision for Income Taxes

The following table summarizes the components of the consolidated provision for income taxes for the years ended December 31 (in thousands):


	2014			2013
U.S Federal income tax expense
Current	$	(26	)	$	—
Deferred		(2,273	)		(1,107	)

Total U.S. Federal income tax expense		(2,299	)		(1,107	)
State and local income tax expense
Current		(68	)		(3	)
Deferred		(315	)		(73	)

Total state and local income tax expense		(383	)		(76	)

Foreign income tax expense (benefit)
Current		(171	)		152

Total income tax expense	$	(2,853	)	$	(1,031	)

Reconciliations of Effective Income Tax Rate to Federal Statutory Rate

The following table summarizes a reconciliation of the effective income tax rate to the U.S. federal statutory rate for the years ended December 31:


	2014			2013
Income tax expense at the statutory rate		34.00	%		34.00	%
State and local income tax expense		4.06	%		(0.35	%)
Foreign income tax		2.86	%		(2.88	%)
Permanent differences		2.06	%		2.85	%
Other adjustments		2.96	%		4.58	%

Effective income tax rate		45.94%			38.20%

Summary of Temporary Differences and Carryforwards that Gives Rise to Deferred Tax Assets and Liabilities

The following table summarizes the temporary differences and carryforwards that give rise to deferred tax assets and liabilities as of December 31 (in thousands):


	2014			2013
Deferred Federal tax assets —
Bad debt reserves	$	1,618		$	1,635
Stock based compensation		383			736
Net operating loss		5,058			4,728
Accrued compensation		184			166
Alternative minimum tax credit		73			47
Inventories		44			77
Accrued rent		39			27
Goodwill and intangible assets		9,186			10,376
Other		—			44

Total deferred Federal tax assets		16,585			17,836

Deferred Federal tax liabilities —
Depreciation and asset basis differences		(2,221	)		(1,199	)

Total deferred Federal tax liabilities		(2,221	)		(1,199	)

Net deferred Federal tax assets		14,364			16,637
Net deferred state and local tax assets		1,644			1,959

Net deferred tax assets	$	16,008		$	18,596

Classification of Net Deferred Income Taxes

The classification of net deferred income taxes as of December 31, 2014 is summarized (in thousands):


	Current		Long-term			Total
Deferred tax assets	$	2,252	$	17,339		$	19,591
Deferred tax liabilities		—		(3,583	)		(3,583	)

Net deferred tax assets	$	2,252	$	13,756		$	16,008

The classification of net deferred tax assets as of December 31, 2013 is summarized (in thousands):


	Current		Long-term			Total
Deferred tax assets	$	2,296	$	19,011		$	21,307
Deferred tax liabilities		—		(2,711	)		(2,711	)

Net deferred income taxes	$	2,296	$	16,300		$	18,596