Taxes on Income
|12 Months Ended|
Dec. 31, 2018
|Income Tax Disclosure [Abstract]|
|TAXES ON INCOME||
The Israeli corporate tax rates applicable to the Company, Nano Size and Digiflex:
2016 – 25%
2017 – 24%
2018 and thereafter – 23%
Non-Israeli subsidiaries are taxed according to the tax laws in their respective countries of residence.
As of December 31, 2018, the Company and its Israeli subsidiaries has accumulated losses for tax purposes in the amount of $36 million which may be carried forward and offset against taxable income for an indefinite period.
For the years ended December 31, 2018, 2017 and 2016, the Company did not have any unrecognized tax benefits and no interest and penalties related to unrecognized tax benefits had been accrued. The Company does not expect that the amount of unrecognized tax benefits will change significantly within the next 12 months.
Tax reports filed by the Company and its Israeli subsidiaries through the year ended December 31, 2013 are considered final.
Significant components of the Company’s deferred tax assets are as follows:
The net change in the total valuation allowance for the year ended December 31, 2018 related primarily to an increase in deferred taxes on NOLs for which a full valuation allowance was recorded. In assessing the likelihood that deferred tax assets will be realized, management considers whether it is more likely than not that some or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets depends on the generation of future taxable income during the periods in which those temporary differences and tax loss carryforwards are deductible.
The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef