Quarterly report pursuant to Section 13 or 15(d)

Note 5 - Income Taxes

v3.10.0.1
Note 5 - Income Taxes
6 Months Ended
Jun. 30, 2018
Notes to Financial Statements  
Income Tax Disclosure [Text Block]
5.
INCOME TAXES
 
The following table reconciles the difference between the statutory federal income tax rate for the Company and the effective income tax rate on continuing operations for the
six
months ended
June 30, 2018:
 
Statutory rate    
21.0
%
Noncontrolling interests    
(1.2
)%
Foreign earnings not subject to U.S. income tax    
(3.0
)%
Foreign taxes not creditable against U.S. income tax    
(2.4
)%
Unrecognized tax benefit    
5.4
%
Other
   
0.3
%
     
20.1
%
 
As of
December 31, 2017,
the Company's net operating loss carryforwards excluded potential tax benefits of
$3.9
million as a result of uncertainty regarding interpretation of the new U.S. tax legislation signed into law on
December 22, 2017.
Subsequent guidance has confirmed that the Company should recognize the tax benefits of
$3.9
million and therefore, for the
six
months ending June
30,
2018,
the Company removed the valuation allowance previously established against the net operating loss carryforwards.