INCOME TAXES (Tables)
|
12 Months Ended |
Mar. 31, 2020 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Schedule of pre-tax income (loss) |
Pre-tax loss reflected in the consolidated statements of operations for the years ended March 31, 2020, 2019 and 2018 is as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended March 31, |
|
2020 |
|
2019 |
|
2018 |
U.S. |
$ |
(6,318 |
) |
|
$ |
(40,935 |
) |
|
$ |
(46,923 |
) |
Foreign |
1,911 |
|
514 |
|
514 |
|
|
464 |
|
Total |
$ |
(4,407 |
) |
|
$ |
(40,421 |
) |
|
$ |
(46,459 |
) |
|
| Schedule of income tax provision (benefit) |
Income tax provision (benefit) consists of the following (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended March 31, |
|
2020 |
|
2019 |
|
2018 |
Current tax expense |
|
|
|
|
|
Federal |
$ |
(115 |
) |
|
$ |
(217 |
) |
|
$ |
(3,484 |
) |
State |
106 |
|
|
31 |
|
|
26 |
|
Foreign |
1,271 |
|
|
1,103 |
|
|
206 |
|
Total current tax expense |
1,262 |
|
|
917 |
|
|
(3,252 |
) |
Deferred tax expense |
|
|
|
|
|
|
|
|
State |
33 |
|
|
32 |
|
|
32 |
|
Foreign |
(492 |
) |
|
1,427 |
|
|
107 |
|
Total deferred tax expense |
(459 |
) |
|
1,459 |
|
|
139 |
|
Income tax provision (benefit) |
$ |
803 |
|
|
$ |
2,376 |
|
|
$ |
(3,113 |
) |
|
| Schedule of federal income tax rate reconciliation |
The income tax provision differs from the amount computed by applying the federal statutory rate of 21% for 2020 and 2019, and 31.5% for 2018 to income (loss) before income taxes as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the year ended March 31, |
|
2020 |
|
2019 |
|
2018 |
Expense (benefit) at the federal statutory rate |
$ |
(925 |
) |
|
$ |
(8,488 |
) |
|
$ |
(14,634 |
) |
Equity compensation |
280 |
|
|
905 |
|
|
1,024 |
|
Permanent items |
914 |
|
|
359 |
|
|
564 |
|
Foreign taxes |
1,612 |
|
|
(2,133 |
) |
|
1,336 |
|
State income taxes |
(20 |
) |
|
(997 |
) |
|
(830 |
) |
Valuation allowance |
(2,639 |
) |
|
10,913 |
|
|
(42,784 |
) |
Uncertain tax positions |
(8,654 |
) |
|
(9,278 |
) |
|
(336 |
) |
Tax reform |
— |
|
|
(207 |
) |
|
52,682 |
|
Credit monetization |
— |
|
|
— |
|
|
(323 |
) |
Expiration of attributes |
11,679 |
|
|
12,268 |
|
|
410 |
|
Research and development credits |
(1,566 |
) |
|
(879 |
) |
|
(1,714 |
) |
Other |
122 |
|
|
(87 |
) |
|
1,492 |
|
Income tax provision |
$ |
803 |
|
|
$ |
2,376 |
|
|
$ |
(3,113 |
) |
|
| Schedule of components of deferred tax assets and liabilities |
Significant components of deferred tax assets and liabilities are as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
As of March 31, |
|
2020 |
|
2019 |
Deferred tax assets |
|
|
|
Inventory valuation method |
$ |
924 |
|
|
$ |
882 |
|
Accrued warranty expense |
650 |
|
|
814 |
|
Distribution reserves |
187 |
|
|
2,137 |
|
Loss carryforwards |
85,638 |
|
|
93,308 |
|
Tax credits |
17,416 |
|
|
20,346 |
|
Restructuring charge accruals |
— |
|
|
678 |
|
Deferred revenue |
17,043 |
|
|
13,094 |
|
Acquired intangibles |
2,660 |
|
|
2,822 |
|
Lease obligations |
3,413 |
|
|
— |
|
Other accruals and reserves not currently deductible for tax purposes |
16,152 |
|
|
7,051 |
|
Gross deferred tax assets |
144,083 |
|
|
141,132 |
|
Valuation allowance |
(137,814 |
) |
|
(140,359 |
) |
Total deferred tax assets, net of valuation allowance |
$ |
6,269 |
|
|
$ |
773 |
|
Deferred tax liabilities |
|
|
|
Depreciation |
$ |
(1,440 |
) |
|
$ |
(450 |
) |
Lease assets |
(3,413 |
) |
|
— |
|
Other |
(967 |
) |
|
(524 |
) |
Total deferred tax liabilities |
$ |
(5,820 |
) |
|
$ |
(974 |
) |
Net deferred tax assets (liabilities) |
$ |
449 |
|
|
$ |
(201 |
) |
|
| Reconciliation of gross unrecognized tax benefits |
A reconciliation of the gross unrecognized tax benefits follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the year ended March 31, |
|
2020 |
|
2019 |
|
2018 |
Beginning Balance |
$ |
116,032 |
|
|
$ |
150,559 |
|
|
$ |
170,730 |
|
Increase in balances related to tax positions in current period |
2,275 |
|
|
1,718 |
|
|
3,298 |
|
Increase in balances related to tax positions in prior period |
144 |
|
|
— |
|
|
25 |
|
Decrease in balances related to tax positions in prior period |
(4 |
) |
|
(25,095 |
) |
|
(20,692 |
) |
Decrease in balances due to lapse in statute of limitations |
(11,165 |
) |
|
(11,150 |
) |
|
(810 |
) |
Settlement and effective settlements with tax authorities and related remeasurements |
— |
|
|
— |
|
|
(1,992 |
) |
Ending balance |
$ |
107,282 |
|
|
$ |
116,032 |
|
|
$ |
150,559 |
|
|