Alico, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Sep. 30, 2019

The income tax provision (benefit) for the years ended September 30, 2019, 2018 and 2017 consists of the following:



(in thousands)	Fiscal Year Ended September 30,
	2019		2018			2017
Current:
Federal income tax	$	7,314	$	1,961		$	102
State income tax	2,202		384			—
Total current	9,516		2,345			102

Deferred:
Federal income tax	2,995		(3,917		)	(3,286		)
State income tax	272		1,962			(662		)
Total deferred	3,267		(1,955		)	(3,948		)
Income tax provision (benefit)	$	12,783	$	390		$	(3,846	)

Schedule of income tax provision attributable to income from continuing operations

Income tax provision (benefit) attributable to income (loss) before income taxes differed from the amount computed by applying the statutory federal income tax rate of 21%, 24.53% and 35% to income (loss) before income taxes for the fiscal years ended September 30, 2019, September 30, 2018 and September 30, 2017, respectively, as a result of the following:



(in thousands)	Fiscal Year Ended September 30,
	2019		2018			2017
Income tax (benefit) at the statutory federal rate	$	10,587	$	3,198		$	(4,670	)
Increase (decrease) resulting from:
State income taxes, net of federal benefit	1,947		857			(402		)
Permanent and other reconciling items, net	166		221			548
Expiration of capital loss carryforward	—		5,634			581
Reduction in deferred tax liability resulting from the Act	—		(9,847		)	—
Stock option cancellation	—		347			—
Other	83		(20		)	97
Income taxes provision (benefit)	$	12,783	$	390		$	(3,846	)

Schedule of deferred tax assets and liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities as of September 30, 2019, and 2018 are presented below:



(in thousands)	September 30,
	2019			2018
Deferred tax assets:
Deferred retirement benefits	$	1,325		$	1,114
Investment in Citree	—			89
Deferred gain recognition	—			6,318
Goodwill	18,244			20,095
Inventories	930			711
Stock compensation	237			261
Accrued bonus	—			612
Tax credits	—			28
Intangibles	565			620
Other	168			190
Total deferred tax assets	21,469			30,038

Deferred tax liabilities:
Revenue recognized from citrus and sugarcane	—			162
Property and equipment	52,551			54,925
Investment in Citree	909			—
Prepaid insurance	134			104
Total deferred tax liabilities	53,594			55,191
Net deferred income tax liabilities	$	(32,125	)	$	(25,153	)