Income taxes (Tables)
|
12 Months Ended |
Aug. 31, 2019 |
Income Taxes |
|
Schedule of net deferred tax assets |
|
|
|
|
|
|
|
|
|
August 31,
|
|
|
2019
|
|
2018
|
|
|
in thousands
|
Deferred tax liabilities:
|
|
|
|
|
|
|
Depreciation
|
|
$
|
(122,000)
|
|
$
|
(21,000)
|
Software development costs
|
|
|
(845,000)
|
|
|
(835,000)
|
Total deferred tax liabilities
|
|
|
(967,000)
|
|
|
(856,000)
|
|
|
|
|
|
|
|
Deferred tax assets:
|
|
|
|
|
|
|
Net operating loss carryforward
|
|
|
7,000,000
|
|
|
7,653,000
|
Business interest
|
|
|
2,539,000
|
|
|
—
|
Workers’ compensation accruals
|
|
|
1,763,000
|
|
|
360,000
|
Stock-based compensation
|
|
|
354,000
|
|
|
172,000
|
Deferred rent
|
|
|
15,000
|
|
|
16,000
|
Total deferred tax assets
|
|
|
11,671,000
|
|
|
8,201,000
|
Valuation allowance
|
|
|
(10,704,000)
|
|
|
(7,345,000)
|
Total net deferred tax assets
|
|
$
|
967,000
|
|
$
|
856,000
|
|
|
|
|
|
|
|
Net deferred tax assets
|
|
$
|
—
|
|
$
|
—
|
|
Schedule of Income tax expense |
|
|
|
|
|
|
|
|
|
For the Year Ended
|
|
|
August 31,
|
|
|
2019
|
|
2018
|
Current
|
|
|
|
|
|
|
Federal
|
|
$
|
—
|
|
$
|
—
|
State
|
|
|
—
|
|
|
—
|
Total current
|
|
|
—
|
|
|
—
|
Deferred
|
|
|
|
|
|
|
Federal
|
|
|
3,162,000
|
|
|
2,729,000
|
State
|
|
|
197,000
|
|
|
407,000
|
Total deferred
|
|
|
3,359,000
|
|
|
3,136,000
|
Change in valuation allowance
|
|
$
|
(3,359,000)
|
|
$
|
(3,136,000)
|
Total Income Tax Expense (Benefit)
|
|
$
|
—
|
|
$
|
—
|
|
Reconciliation of the statutory federal rate |
|
|
|
|
|
|
|
|
|
August 31,
|
|
August 31,
|
|
|
2019
|
|
2018
|
Pre-tax book loss
|
|
$
|
2,673,000
|
|
$
|
3,880,000
|
Non-deductible penalties and other permanent differences
|
|
|
(430,000)
|
|
|
(177,000)
|
State taxes (8.84%)
|
|
|
1,116,000
|
|
|
1,374,000
|
Redetermination of prior year taxes
|
|
|
—
|
|
|
—
|
Enactment of the 2017 Tax Reform Act
|
|
|
—
|
|
|
(1,941,000)
|
Change in valuation allowance
|
|
|
(3,359,000)
|
|
|
(3,136,000)
|
Net income tax provision
|
|
$
|
—
|
|
$
|
—
|
|