Income Taxes (Tables)
|
12 Months Ended |
Nov. 30, 2020 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Summary of Income Tax Provision (Benefit) |
The Company recorded the following income tax provision for the years ended November 30, 2020 and 2019.
|
|
|
2020
|
|
|
2019
|
|
|
Current:
|
|
|
|
|
|
|
|
|
|
Federal
|
|
$
|
1,757,000
|
|
|
$
|
1,637,000
|
|
|
State
|
|
|
598,000
|
|
|
|
769,000
|
|
|
Foreign
|
|
|
68,000
|
|
|
|
108,000
|
|
|
Subtotal
|
|
|
2,423,000
|
|
|
|
2,514,000
|
|
|
Deferred:
|
|
|
|
|
|
|
|
|
|
Federal
|
|
|
(847,000
|
)
|
|
|
(1,106,000
|
)
|
|
State
|
|
|
(161,000
|
)
|
|
|
(307,000
|
)
|
|
Foreign
|
|
|
—
|
|
|
|
—
|
|
|
Subtotal
|
|
|
(1,008,000
|
)
|
|
|
(1,413,000
|
)
|
|
Income Tax Expense
|
|
$
|
1,415,000
|
|
|
$
|
1,101,000
|
|
|
| Summary of Deferred Tax Assets and Liabilities |
As of November 30, 2020 and 2019, the tax effects of temporary differences that give rise to the deferred tax assets are as follows:
|
|
|
2020
|
|
|
2019
|
|
|
Tax Assets:
|
|
|
|
|
|
|
|
|
|
Deferred income (Net of Discounts)
|
|
$
|
7,024,000
|
|
|
$
|
6,256,000
|
|
|
Tax over book basis in unconsolidated affiliate
|
|
|
1,209,000
|
|
|
|
1,224,000
|
|
|
Accrued payroll
|
|
|
100,000
|
|
|
|
82,000
|
|
|
Reserves and other accruals
|
|
|
1,895,000
|
|
|
|
1,589,000
|
|
|
Stock compensation
|
|
|
567,000
|
|
|
|
411,000
|
|
|
Depreciation and Amortization
|
|
|
483,000
|
|
|
|
450,000
|
|
|
Transaction costs
|
|
|
19,000
|
|
|
|
18,000
|
|
|
RSA Buy-out
|
|
|
1,482,000
|
|
|
|
1,095,000
|
|
|
Lease Liability
|
|
|
81,000
|
|
|
|
—
|
|
|
Total Assets:
|
|
|
12,860,000
|
|
|
|
11,125,000
|
|
|
Tax Liabilities:
|
|
|
|
|
|
|
|
|
|
Unrealized gains on securities
|
|
|
(134,000
|
)
|
|
|
(117,000
|
)
|
|
NOLs, Credits, and Other Carryforward Items
|
|
|
(782,000
|
)
|
|
|
(282,000
|
)
|
|
Right of Use Asset
|
|
|
(81,000
|
)
|
|
|
—
|
|
|
Total Liabilities:
|
|
|
(997,000
|
)
|
|
|
(399,000
|
)
|
|
Less: Valuation Allowance
|
|
|
(1,499,000
|
)
|
|
|
(1,646,000
|
)
|
|
Net Deferred Tax Asset
|
|
$
|
10,364,000
|
|
|
$
|
9,080,000
|
|
|
| Summary of Federal Statutory Rate to Pretax Income |
A reconciliation of the income tax provision with the amount of tax computed by applying the federal statutory rate to pretax income follows:
|
|
|
For the Years Ended November 30
|
|
|
|
|
2020
|
|
|
%
|
|
|
2019
|
|
|
%
|
|
|
Tax at Federal Statutory Rate
|
|
|
1,061,885
|
|
|
|
21.00
|
|
|
|
733,198
|
|
|
|
21.00
|
|
|
State Income Tax Effect
|
|
|
282,514
|
|
|
|
5.59
|
|
|
|
220,527
|
|
|
|
6.32
|
|
|
Change in Valuation Allowance
|
|
|
(147,528
|
)
|
|
|
(2.92
|
)
|
|
|
12,158
|
|
|
|
0.35
|
|
|
Tax Compensation Differences
|
|
|
6,870
|
|
|
|
0.14
|
|
|
|
26,330
|
|
|
|
0.75
|
|
|
Permanent Disallowances
|
|
|
55,372
|
|
|
|
1.10
|
|
|
|
76,775
|
|
|
|
2.20
|
|
|
Deferred Repricing
|
|
|
80,692
|
|
|
|
1.60
|
|
|
|
12,375
|
|
|
|
0.35
|
|
|
Other
|
|
|
74,922
|
|
|
|
1.47
|
|
|
|
19,278
|
|
|
|
(0.10
|
)
|
|
Foreign tax credits
|
|
(68,102)
|
|
|
|
(1.35
|
)
|
|
|
(108,150
|
)
|
|
|
(3.10
|
)
|
|
Foreign tax withholding
|
|
|
68,102
|
|
|
|
1.35
|
|
|
|
108,150
|
|
|
|
3.10
|
|
|
Total income taxes
|
|
$
|
1,414,727
|
|
|
|
27.98
|
|
|
$
|
1,100,641
|
|
|
|
30.87
|
|
|
| Summary of Open Tax Years and Ongoing Tax Examinations in Major Jurisdictions |
The table below summarizes the open tax years and ongoing tax examinations in major jurisdictions as of November 30, 2020:
|
Jurisdiction
|
|
Open Tax Years
|
|
Examinations in Process
|
|
United States – Federal Income Tax
|
|
2017 – 2019
|
|
N/A
|
|
United States – Various States
|
|
2016 - 2019
|
|
N/A
|
|