Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.20.1
Income Taxes (Tables)
12 Months Ended
Jan. 31, 2020
Income Tax Disclosure [Abstract]  
Components of Loss from Operations before Income Taxes

The components of loss from operations before income taxes are as follows:

 

 

 

For the Fiscal Years Ended January 31,

 

 

 

2020

 

 

2019

 

 

 

(Amounts in thousands)

 

Domestic

 

$

(3,314

)

 

$

(16,087

)

Foreign

 

 

(5,559

)

 

 

(23,933

)

Loss before income taxes

 

$

(8,873

)

 

$

(40,020

)

Components of Income Tax Provision (Benefit) from Operations

The components of the income tax provision (benefit) from operations are as follows:

 

 

 

For the Fiscal Years Ended January 31,

 

 

 

2020

 

 

2019

 

 

 

(Amounts in thousands)

 

Current:

 

 

 

 

 

 

 

 

State

 

$

20

 

 

$

5

 

Foreign

 

 

210

 

 

 

(1,882

)

Total

 

 

230

 

 

 

(1,877

)

Deferred:

 

 

 

 

 

 

 

 

Foreign

 

 

(182

)

 

 

(141

)

Total

 

 

(182

)

 

 

(141

)

Income tax provision (benefit)

 

$

48

 

 

$

(2,018

)

Income Tax Provision (Benefit) for Continuing Operations Computed Using Federal Statutory Income Tax Rate

The income tax provision (benefit) for continuing operations computed using the federal statutory income tax rate differs from our effective tax rate primarily due to the following:

 

 

 

 

For the Fiscal Years Ended January 31,

 

 

 

2020

 

 

2019

 

 

 

(Amounts in thousands)

 

Statutory U.S. federal tax rate

 

$

(1,863

)

 

$

(8,404

)

State taxes, net of federal tax benefit

 

 

20

 

 

 

5

 

Losses not benefitted

 

 

(3,207

)

 

 

3,464

 

Non-deductible stock compensation expense

 

 

326

 

 

 

267

 

Other non-deductible items

 

 

406

 

 

 

347

 

Innovative technology and development incentive

 

 

(298

)

 

 

(317

)

Foreign tax rate differential

 

 

447

 

 

 

(388

)

Tax gain on restructuring activities

 

 

4,196

 

 

 

 

Goodwill impairment

 

 

 

 

 

3,647

 

Current fiscal year impact of FIN 48

 

 

21

 

 

 

(639

)

Income tax provision (benefit)

 

$

48

 

 

$

(2,018

)

Components of Deferred Income Taxes

The components of deferred income taxes are as follows:

 

 

 

As of January 31,

 

 

 

2020

 

 

2019

 

 

 

(Amounts in thousands)

 

Deferred tax assets:

 

 

 

 

 

 

 

 

Accruals and reserves

 

$

545

 

 

$

1,518

 

Deferred revenue

 

 

274

 

 

 

760

 

Stock-based compensation expense

 

 

503

 

 

 

1,373

 

U.S. federal, state and foreign tax credits

 

 

7,929

 

 

 

7,949

 

Property and equipment

 

 

119

 

 

 

278

 

Intangible assets

 

 

 

 

 

54

 

Loss carryforwards

 

 

29,373

 

 

 

29,909

 

Deferred tax assets

 

 

38,743

 

 

 

41,841

 

Less: Valuation allowance

 

 

(38,248

)

 

 

(41,979

)

Net deferred tax assets

 

 

495

 

 

 

(138

)

Deferred tax liabilities:

 

 

 

 

 

 

 

 

Other

 

 

46

 

 

 

46

 

Intangible assets

 

 

449

 

 

 

 

Total net deferred tax liabilities

 

$

 

 

$

(184

)

Reconciliation of Total Amounts of Gross Unrecognized Tax Benefits

A reconciliation of the total amounts of gross unrecognized tax benefits, is as follows:

 

 

 

For the Fiscal Years Ended January 31,

 

 

 

2020

 

 

2019

 

 

 

(Amounts in thousands)

 

Balance of gross unrecognized tax benefits, beginning of period

 

$

4,318

 

 

$

4,856

 

Decrease due to expiration of statute of limitation

 

 

 

 

 

(477

)

Effect of currency translation

 

 

(12

)

 

 

(61

)

Balance of gross unrecognized tax benefits, end of period

 

$

4,306

 

 

$

4,318