Franchise (TAX) 10-Q/A 20 Dec 13 2013 Q1 Quarterly report (amended) Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Jul. 31, 2012	Aug. 27, 2012
Document and Entity Information	'	'
Entity Registrant Name	'JTH Holding, Inc.	'
Entity Central Index Key	'0001528930	'
Document Type	'10-Q	'
Document Period End Date	31-Jul-12	'
Amendment Flag	'true	'
Amendment Description	'We are filing this Amendment No. 1 on Form 10-Q/A (the “Amended Filing”) to our Quarterly Report on Form 10-Q for the quarterly period ended July 31, 2012 originally filed with the Securities and Exchange Commission (“SEC”) on August 29, 2012 (the “Original Filing”) to restate our condensed consolidated financial statements as of and for the three months ended July 31, 2012 and 2011. Details regarding the restatement can be found in our Annual Report on Form 10-K for the year ended April 30, 2013, filed with the SEC on October 1, 2013. Items Amended in This Filing This Amended Filing amends and restates the following items of our Original Filing as of and for the quarterly period ended July 31, 2012 and 2011: Part I — Item 1. Financial Statements (Unaudited), Part I — Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations Part I — Item 4. Controls and Procedures Part II — Item 6. Exhibits In accordance with applicable SEC rules, this Amended Filing includes new certifications as required by Rule 12b-15 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) from our Chief Executive Officer and Chief Financial Officer dated as of the date of filing of this Amended Filing. Pursuant to Rule 12b-15 under the Exchange Act, this Amended Filing contains only the items and exhibits to the Original Filing that are being amended and restated, and unaffected items and exhibits are not included herein. Except as noted herein, the information included in the Original Filing remains unchanged. This Amended Filing continues to describe the conditions as of the date of the Original Filing and, except as contained herein, we have not updated or modified the disclosures contained in the Original Filing to reflect any events that have occurred after the Original Filing. Accordingly, forward-looking statements included in this Amended Filing may represent management’s views as of the Original Filing and should not be assumed to be accurate as of any date thereafter. This Amended Filing should be read in conjunction with our filings made with the SEC subsequent to the filing of the Original Filing, including any amendment to those filings.	'
Current Fiscal Year End Date	'--04-30	'
Entity Current Reporting Status	'No	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	12,141,500
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q1	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Jul. 31, 2012	Apr. 30, 2012
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$2,228	$19,848
Receivables (note 2):	'	'
Trade accounts	18,533	38,321
Notes	46,916	30,283
Interest, net	1,520	674
Allowance for doubtful accounts	-4,474	-4,496
Total receivables, net	62,495	64,782
Prepaid expenses and other current assets	2,125	5,328
Income tax receivable	6,095	286
Deferred income taxes (note 7)	3,319	3,901
Total current assets	76,262	94,145
Property, equipment, and software, net of accumulated depreciation of $17,536 and $16,682 for July 31, 2012 and April 30, 2012, respectively	25,462	23,948
Notes receivable, excluding current portion, net of allowance for uncollectible amounts of $885 and $794 for July 31, 2012 and April 30, 2012, respectively, (note 2)	12,314	11,711
Goodwill (note 3)	6,350	5,400
Other intangible assets, net of accumulated amortization of $4,227 and $3,485 for July 31, 2012 and April 30, 2012, respectively, (note 3)	12,348	10,314
Deferred income taxes (note 7)	2,845	4,093
Other assets, net	2,590	2,585
Total assets	138,171	152,196
Current liabilities:	'	'
Current installments of long-term debt (note 5)	3,174	2,736
Accounts payable and accrued expenses (notes 6 and 12)	7,301	14,170
Due to area developers (note 2)	9,987	15,956
Income taxes payable (note 7)	'	6,689
Deferred revenue-short-term portion	7,325	6,920
Total current liabilities	27,787	46,471
Long-term debt, excluding current installments (note 5)	36,834	26,249
Deferred revenue-long-term portion	11,616	12,411
Total liabilities	76,237	85,131
Commitments and contingencies (note 12)	'	'
Stockholders' equity (notes 6, 8, 9, and 11):	'	'
Additional paid-in capital	6,708	3,182
Accumulated other comprehensive income, net of taxes	493	676
Retained earnings	54,602	60,965
Total stockholders' equity	61,934	67,065
Total liabilities and stockholders' equity	138,171	152,196
Class A Preferred stock	'	'
Stockholders' equity (notes 6, 8, 9, and 11):	'	'
Preferred stock	'	2,129
Special voting preferred stock	'	'
Stockholders' equity (notes 6, 8, 9, and 11):	'	'
Preferred stock	'	'
Class A Common stock	'	'
Stockholders' equity (notes 6, 8, 9, and 11):	'	'
Common stock	121	103
Class B Common stock	'	'
Stockholders' equity (notes 6, 8, 9, and 11):	'	'
Common stock	9	9
Exchangeable shares	'	'
Stockholders' equity (notes 6, 8, 9, and 11):	'	'
Common stock	$1	$1

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Jul. 31, 2012	Apr. 30, 2012
In Thousands, except Share data, unless otherwise specified
Property, equipment, and software, accumulated depreciation (in dollars)	$17,536	$16,682
Notes receivable, excluding current portion, allowance for uncollectible (in dollars)	885	794
Other intangible assets, accumulated amortization (in dollars)	$4,227	$3,485
Class A Preferred stock	'	'
Preferred stock, par value (in dollars per share)	$0.01	$0.01
Preferred stock, shares authorized	190,000	190,000
Preferred stock, shares issued	0	170,320
Preferred stock, shares outstanding	0	170,320
Special voting preferred stock	'	'
Preferred stock, par value (in dollars per share)	$0.01	$0.01
Preferred stock, shares authorized	10	10
Preferred stock, shares issued	10	10
Preferred stock, shares outstanding	10	10
Class A Common stock	'	'
Common stock, par value (in dollars per share)	$0.01	$0.01
Common stock, shares authorized	21,200,000	21,200,000
Common stock, shares issued	12,141,500	10,343,957
Common stock, shares outstanding	12,141,500	10,343,957
Class B Common stock	'	'
Common stock, par value (in dollars per share)	$0.01	$0.01
Common stock, shares authorized	1,000,000	1,000,000
Common stock, shares issued	900,000	900,000
Common stock, shares outstanding	900,000	900,000
Exchangeable shares	'	'
Common stock, par value (in dollars per share)	$0.01	$0.01
Common stock, shares issued	100,000	100,000
Common stock, shares outstanding	100,000	100,000

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011
Revenues:	'	'
Franchise fees	$666	$800
Area developer fees	1,923	1,683
Royalties and advertising fees	1,324	1,309
Financial products	302	159
Interest income (note 2)	2,548	1,798
Tax preparation fees, net of discounts	216	156
Net gain on sale of company-owned offices and other revenue	265	427
Total revenues	7,244	6,332
Operating expenses:	'	'
Employee compensation and benefits	6,666	5,650
General and administrative expenses	5,816	3,844
Area developer expense	717	622
Advertising expense	2,560	1,790
Depreciation, amortization, and impairment charges	1,591	1,374
Total operating expenses	17,350	13,280
Loss from operations	-10,106	-6,948
Other income (expense):	'	'
Foreign currency transaction gains	2	2
Interest expense (notes 5 and 6)	-292	-312
Loss before income taxes	-10,396	-7,258
Income tax benefit (note 7)	-4,033	-2,707
Net loss	($6,363)	($4,551)
Net loss per share of Class A and Class B common stock:	'	'
Basic and Diluted (in dollars per share)	($0.52)	($0.40)

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Comprehensive Loss (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011
Net loss	($6,363)	($4,551)
Interest rate swap agreements, net of taxes (note 6)	45	-65
Foreign currency translation adjustment	-228	-218
Comprehensive loss	($6,546)	($4,834)

Condensed_Consolidated_Stateme2

Condensed Consolidated Statements of Cash Flows (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011
Cash flows from operating activities:	'	'
Net loss	($6,363)	($4,551)
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Provision for doubtful accounts	1,528	990
Depreciation and amortization	1,591	1,374
Amortization of deferred financing costs	69	84
Stock-based compensation expense	398	396
Gain on bargain purchases and sales of company-owned offices	-60	-159
Equity in loss of affiliate	69	'
Deferred tax expense	1,941	1,583
Changes in assets and liabilities decreasing cash flows from operating activities	-15,390	-11,101
Net cash used in operating activities	-16,217	-11,384
Cash flows from investing activities:	'	'
Issuance of operating loans to franchisees	-9,956	-7,985
Payments received on operating loans from franchisees	999	1,134
Purchases of area developer rights and company-owned offices	-1,329	-285
Proceeds from sale of company-owned offices and area developer rights	350	87
Purchases of property and equipment	-1,976	-3,267
Net cash used in investing activities	-11,912	-10,316
Cash flows from financing activities:	'	'
Proceeds from the exercise of stock options	1,592	21
Repurchase of common stock	-843	-1,654
Repayment of long-term debt	-1,561	-704
Borrowings under revolving credit facility	11,078	28,597
Repayments under revolving credit facility	'	-4,145
Payment for debt issue costs	-8	'
Tax benefit of stock option exercises	269	458
Net cash provided by financing activities	10,527	22,573
Effect of exchange rate changes on cash, net	-18	-1
Net increase (decrease) in cash and cash equivalents	-17,620	872
Cash and cash equivalents at beginning of period	19,848	1,662
Cash and cash equivalents at end of period	2,228	2,534
Supplemental disclosures of cash flow information:	'	'
Cash paid for interest, net of capitalized interest	199	197
Cash paid for taxes, net of refunds	6,364	6,968
During the three months ended July 31, 2012 and 2011, the Company acquired certain assets from franchisees and area developers as follows:	'	'
Fair value of assets purchased	3,975	3,933
Receivables applied	-2,370	-4,209
Accounts payable canceled	874	547
Notes payable issued	-1,506	-100
Elimination of related deferred revenue	356	114
Cash paid to franchisees and area developers	1,329	285
During the three months ended July 31, 2012 and 2011, the Company sold certain assets to franchisees and area developers as follows:	'	'
Book value of assets sold	437	473
Deferred gain on sale	269	51
Notes received	-356	-437
Cash received from franchisees and area developers	350	87
Accrued capitalized software costs included in accounts payable	$850	$577

Organization_and_Significant_A

Organization and Significant Accounting Policies	3 Months Ended
	Jul. 31, 2012
Organization and Significant Accounting Policies	'
Organization and Significant Accounting Policies	'
	(1)           Organization and Significant Accounting Policies
	(a)                     Organization
	JTH Holding, Inc. (the Company), a Delaware corporation, is a holding company engaged through its subsidiaries as a franchisor and operator of a system of income tax preparation offices located in the United States and Canada. The Company’s principal operations are conducted through JTH Tax, Inc. (d/b/a Liberty Tax Service) the Company’s largest subsidiary. Through this system of income tax preparation offices, the Company also facilitates to its customers refund-based tax settlement financial products such as refund anticipation loans, electronic refund checks, and personal income tax refund discounting. The Company also offers online tax preparation services.
	Unless specifically noted otherwise, as used throughout these condensed consolidated financial statements, the term “Company” or “Liberty” refers to the consolidated entities of JTH Holding, Inc.
	(b)                     Principles of Consolidation and Unaudited Financial Statements
	The condensed consolidated financial statements include the accounts of JTH Holding, Inc. and its wholly owned subsidiaries. Assets and liabilities of the Company’s Canadian operations have been translated into U.S. dollars using the exchange rate in effect at the end of the period. Revenues and expenses have been translated using the average exchange rates in effect each month of the period. Transaction gains and losses are recognized in income when incurred. The Company also consolidates any variable interest entities of which it is the primary beneficiary. When the Company does not have a controlling interest in an entity, but exerts significant influence over the entity, the Company applies the equity method of accounting. All significant intercompany balances and transactions have been eliminated in consolidation.
	The unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (US GAAP) for interim financial information.  The condensed consolidated financial statements, including these notes, are unaudited and exclude some of the disclosures required in annual financial statements.  Consolidated balance sheet data as of April 30, 2012 was derived from the Company’s April 30, 2013 Annual Report to Shareholders on Form 10-K.  As discussed in Note 14, the Company has restated its condensed consolidated financial statements as of and for the three months ended July 31, 2012 and 2011.
	In the opinion of management, all adjustments necessary for a fair presentation of such financial statements in accordance with US GAAP have been recorded.  Such adjustments consisted only of normal recurring items.  The accompanying condensed consolidated financial statements should be read in conjunction with the Company’s financial statements and notes thereto included in its April 30, 2013 Annual Report to Shareholders on Form 10-K.
	(c)                      Use of Estimates
	Management has made a number of estimates and assumptions relating to the reporting of assets and liabilities, and the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period, to prepare these condensed consolidated financial statements and accompanying notes in conformity with US GAAP. Actual results could differ from those estimates.
	(d)                     Recently Issued Accounting Standards
	In June 2011, Financial Accounting Standards Board (‘‘FASB’’) issued Accounting Standards Update (‘‘ASU’’) 2011-05, Presentation of Comprehensive Income. This update changes the methods for presenting comprehensive income, and eliminates the method of including comprehensive income in the statement of stockholders’ equity. Under ASU 2011-05, an entity has the option to present the total of comprehensive income, the components of net income, and the components of other comprehensive income either in a single continuous statement of comprehensive income or in two separate but consecutive statements. The amendments in this ASU did not change the items that must be reported in other comprehensive income or when an item of other comprehensive income must be reclassified to net income. The Company adopted this guidance in the first quarter of fiscal 2013.  Because it only affects presentation, this guidance did not have a material effect on the Company’s consolidated financial statements.
	In September 2011, FASB issued ASU 2011-08, Intangibles-Goodwill and Other (ASC Topic 350): Testing Goodwill for Impairment. This amendment provides the option of first using a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If a company concludes that it is more likely than not that fair value exceeds carrying value, the two-step test for impairment is not required. The amendment includes a revised list of considerations in completing the qualitative assessment. The Company adopted this ASU in fiscal 2013 but this guidance did not have a material effect on the Company’s consolidated financial statements.
	(e)                      Foreign Operations
	Canadian operations contributed $484,000 in revenues for the three months ended July 31, 2012 and $613,000 for the three months ended July 31, 2011.
	(f)                        Seasonality of Business
	The Company’s operating revenues are seasonal in nature with peak revenues occurring in the months of January through April.  Therefore, results for interim periods are not indicative of results to be expected for the full year.

Notes_and_Accounts_Receivable

Notes and Accounts Receivable	3 Months Ended
	Jul. 31, 2012
Notes and Accounts Receivable	'
Notes and Accounts Receivable	'
	(2)           Notes and Accounts Receivable
	The Company provides financing to franchisees for the purchase of franchises, clusters of territories, company-owned offices and/or for working capital and equipment needs. The franchise-related notes generally are payable over five years and the working capital and equipment notes generally are due within one year. All notes bear interest at 12%. Activity related to notes receivable for the three months ended July 31, 2012 and the fiscal year ended April 30, 2012 is as follows:
		July 31,			April 30,
		2012			2012
		As Restated
		(In thousands)
	Balance at beginning of period	$	79,838		$	70,564
	Notes received for:
	Sales of franchises and clusters of territories	2,799			8,131
	Sales of company-owned offices	125			12,554
	Franchisee to franchisee note assumptions	2,488			7,439
	Working capital and equipment loans to franchisees	9,956			67,969
	Refinancing of accounts receivable	10,576			16,787
		25,944			112,880
	Repayment of notes	(3,070		)	(82,258		)
	Notes canceled	(6,218		)	(21,188		)
	Foreign currency adjustment	(138		)	(160		)
	Balance at end of period		96,356			79,838
	Unrecognized revenue portion of notes receivable	(36,241		)	(37,050		)
	Notes receivable less unrecognized revenue	$	60,115		$	42,788
	Most of the notes receivable are due from the Company’s franchisees and area developers (ADs) and are collateralized by the underlying franchise and are guaranteed by the respective franchisee or AD and franchise or AD owner(s). The franchisees’ ability to repay the notes is dependent upon both the performance of the tax preparation industry as a whole and the individual franchisees’ or ADs’ areas.
	The refinancing of accounts receivable results from a franchisee electing to deliver to the Company a promissory note for past-due royalties and advertising fees that have been previously recorded as accounts receivable in the Company’s condensed consolidated financial statements.
	Notes canceled are comprised of the cancellation of existing unpaid notes of selling franchisees in franchisee to franchisee sales that include the assumption of debt by the acquiring franchisee, and any unpaid notes receivable from a franchisee or AD related to specific territories or clusters of territories that the Company reacquires. In the latter transactions, the cancellation of notes is part of the consideration paid by the Company, and any excess of the consideration paid over the fair value of assets acquired is written off to the allowance for doubtful accounts.
	Unrecognized revenue relates to the financed portion of franchise fees and area developer fees and, in the case of sales of company-owned offices, the financed portion of gains related to these sales, in each case where revenue has not yet been recognized. For franchise fees and gains related to the sale of company-owned offices, revenue is recorded as note payments are received by the Company. Payments on area developer fee notes receivable generate a corresponding increase in deferred revenue, which is amortized into revenue over the life of the area developer contract, generally 10 years.
	Management believes that the recorded allowance is adequate based upon its consideration of the estimated value of the franchises and AD areas supporting the receivables. Any adverse change in the tax preparation industry or the individual franchisees’ or ADs’ areas could affect the Company’s estimate of the allowance.
	Notes and accounts receivable include royalties billed that relate to territories operated by franchisees located in AD territories. The Company has recorded amounts payable to area developers for their share of these receivables of $9,987,000 and $15,956,000 at July 31, 2012 and April 30, 2012, respectively.
	Activity in the allowance for doubtful accounts for the three months ended July 31, 2012 and 2011 is as follows:
		2012			2011
		As Restated
		(In thousands)
	Beginning balance	$	5,290		$	4,827
	Additions charged to expense	1,528			990
	Write-offs	(1,425		)	(1,809		)
	Foreign currency adjustment	(34		)	(13		)
	Ending balance	$	5,359		$	3,995
	Management considers accounts and notes receivable to be impaired if the amounts due exceed the fair value of the underlying franchise and estimates an allowance for doubtful accounts based on that excess. Amounts due include contractually obligated accounts and notes receivable less unrecognized revenue, reduced by the allowance for uncollected interest, amounts due ADs, the related deferred revenue and amounts owed to the franchisee by the Company. In establishing the fair value of the underlying franchise, management considers net fees of open offices earned during the most recently completed tax season and the number of unopened offices.
	The allowance for doubtful accounts at July 31, 2012 and April 30, 2012 is allocated as follows:
		July 31,			April 30,
		2012			2012
		As Restated
		(In thousands)
	Impaired:
	Notes receivable including interest and less unrecognized revenue	$	5,739		$	6,728
	Accounts receivable	3,687			4,375
	Less allowance for uncollected interest, amounts due ADs, related deferred revenue and amounts due franchisees	(1,702		)	(1,704		)
	Net amount due	$	7,724		$	9,399
	Allowance for doubtful accounts for impaired notes and accounts receivable	$	3,951		$	4,488
	Non-impaired:
	Notes receivable including interest and less unrecognized revenue	$	57,194		$	37,936
	Accounts receivable	16,526			35,259
	Less allowance for uncollected interest, amounts due ADs, related deferred revenue and amounts due franchisees	(12,027		)	(17,432		)
	Net amount due	$	61,693		$	55,763
	Allowance for doubtful accounts for non-impaired notes and accounts receivable	$	1,408		$	802
	Total allowance for doubtful accounts	$	5,359		$	5,290
	The aging of accounts and notes receivable at July 31, 2012 is as follows:
					Allowance
		Total			for Uncollected					Total
		Past Due			Interest			Current		Receivables
		As Restated
		(In thousands)
	Accounts receivable	$	18,693		$	(1,680	)	$	1,520	$	18,533
	Notes receivable including interest and less unrecognized revenue (As restated)	6,102			(1,298		)	56,831		61,635
	Total	$	24,795		$	(2,978	)	$	58,351	$	80,168
Accounts receivable are considered to be past due if unpaid after 30 days and notes receivable are considered past due if unpaid after 90 days, at which time the notes are put on nonaccrual status.
The Company’s average investments in impaired notes receivable during the three months ended July 31, 2012 and 2011 was $6,234,000 and $5,322,000, respectively.  Interest income related to impaired notes was $138,000 for the three months ended July 31, 2012 and $94,000 for the three months ended July 31, 2011.  The Company’s investment in notes receivable on nonaccrual status at July 31, 2012 and April 30, 2012 was $4,804,000 and $5,274,000, respectively.
At July 31, 2012 the Company has unfunded lending commitments for working capital loans to franchisees and area developers of $15,482,000.

Goodwill_and_Intangible_Assets

Goodwill and Intangible Assets	3 Months Ended
	Jul. 31, 2012
Goodwill and Intangible Assets	'
Goodwill and Intangible Assets	'
	(3)           Goodwill and Intangible Assets
	Changes in the carrying amount of goodwill for the three months ended July 31, 2012 are as follows:
		Goodwill			Accumulated			Net
					impairment loss
		As Restated
		(In thousands)
	Balance at April 30, 2012	$	6,157		$	(757	)	$	5,400
	Acquisitions of assets from franchisees	1,065			—			1,065
	Disposals and foreign currency changes, net	—			—			—
	Impairments	(134		)	19			(115		)
	Balance at July 31, 2012	$	7,088		$	(738	)	$	6,350
	Components of intangible assets are as follows:
				As of July 31, 2012								As of April 30, 2012
		Amortization		Gross			Accumulated			Net		Gross		Accumulated			Net
		period		carrying			amortization			carrying		carrying		amortization			carrying
				amount						amount		amount					amount
				As Restated
				(In thousands)
	Amortizable other intangible assets:
	Assets acquired from franchisees:
	Customer lists and reacquired rights	3 years		$	3,997		$	(1,530	)	$	2,467	$	3,370	$	(1,195	)	$	2,175
	Area developer rights	10 years		12,578			(2,697		)	9,881		10,429		(2,290		)	8,139
				$	16,575		$	(4,227	)	$	12,348	$	13,799	$	(3,485	)	$	10,314
	During the three months ended July 31, 2012, the Company acquired the assets of various franchisees for $1,742,000.  These acquisitions were accounted for as business combinations, with the value allocated to identifiable intangible assets and goodwill.  The acquired businesses are operated as Company-owned offices until a buyer is found.
	The purchase price of assets acquired from franchisees was allocated as follows:
		Three Months Ended July 31,
		2012			2011
		As Restated
		(In thousands)
	Customer lists and reacquired rights	$	677		$	1,499
	Goodwill	1,065			2,268
	Total	$	1,742		$	3,767

Leases

Leases	3 Months Ended
	Jul. 31, 2012
Leases	'
Leases	'
	(4)           Leases
	The Company is obligated under various operating leases for office space that expire at various dates.  Total rent expense for operating leases, net of subleases, was $642,000 for the three months ended July 31, 2012 and $431,000 for the three months ended July 31, 2011.

Debt

Debt	3 Months Ended
	Jul. 31, 2012
Debt	'
Debt	'
	(5)           Debt
	The Company has a credit facility that consists of a $25,000,000 term loan and a $105,000,000 revolving credit facility, with an accordion feature permitting the Company to request an increase in availability of up to an additional $70,000,000.  Outstanding borrowings accrue interest at one-month London Inter-Bank Offered Rate (LIBOR) plus a margin ranging from 1.50% to 2.25% depending on the Company’s leverage ratio. At July 31, 2012, the interest rate was 1.87%. The indebtedness is collateralized by substantially all the assets of the Company and both loans expire on April 30, 2017.  The credit facility contains certain financial covenants that the Company must meet, including leverage and fixed charge coverage ratios as well as minimum net worth requirements.  The Company’s borrowing availability under the credit facility at July 31, 2012 was $59,800,000. The Company was in compliance with the financial covenants of its credit facility at July 31, 2012 and April 30, 2012.  Debt at July 31, 2012 and April 30, 2012 consisted of the following:
		July 31,			April 30,
		2012			2012
		(In thousands)
	Credit Facility:
	Revolver	$	11,078		$	—
	Term loan	24,688			25,000
		35,766			25,000
	Other debt	4,242			3,985
		40,008			28,985
	Less: current portion	(3,174		)	(2,736		)
	Long-term debt	$	36,834		$	26,249

Derivative_Instruments_and_Hed

Derivative Instruments and Hedging Activities	3 Months Ended
	Jul. 31, 2012
Derivative Instruments and Hedging Activities	'
Derivative Instruments and Hedging Activities	'
	(6)                                 Derivative Instruments and Hedging Activities
	The Company uses interest-rate-related derivative financial instruments to manage its exposure related to changes in interest rates on its variable-rate credit facility, and forward contracts to manage its exposure to foreign currency fluctuation related to short-term advances made to its Canadian subsidiary. The Company does not speculate using derivative instruments nor does it enter into derivative instruments for any purpose other than cash flow hedging.
	By using derivative financial instruments to hedge exposures to changes in interest rates, the Company exposes itself to credit risk and market risk. Credit risk is the failure of the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes the Company, which creates credit risk for the Company. When the fair value of a derivative contract is negative, the Company owes the counterparty, and therefore, the Company is not exposed to the counterparty’s credit risk in those circumstances. The Company minimizes counterparty credit risk in derivative instruments by entering into transactions with high-quality counterparties. The derivative instruments entered into by the Company do not contain credit-risk-related contingent features.
	Market risk is the adverse effect on the value of a derivative instrument that results from a change in interest rates. The market risk associated with interest rates is managed by establishing and monitoring parameters that limit the types and degree of market risk that may be undertaken.
	The Company assesses interest rate risk by continually identifying and monitoring changes in interest rates that may adversely impact expected future cash flows and by evaluating hedging opportunities. The Company maintains risk management control systems to monitor interest rate risk attributable to both the Company’s outstanding or forecasted debt obligations and forecasted revenues, as well as the Company’s offsetting hedge positions. The risk management control systems involve the use of analytical techniques, including cash flow sensitivity analysis, to estimate the expected impact of changes in interest rates and foreign currency rates on the Company’s future cash flows.
	It is the policy of the Company to enter into forward contacts at the time short-term advances are made to its Canadian subsidiary.
	Interest rate swap agreements: The Company has interest rate swap agreements with a financial institution to manage fluctuations in cash flows resulting from changes in the one-month LIBOR interest rate on its credit facility. These swaps effectively change the variable-rate of the credit facility into a fixed-rate loan. For the notional amounts, the Company receives a variable interest rate based on the one-month LIBOR and pays a fixed interest rate of 2.49% to 2.52%, depending on the agreement. The notional amounts of the interest rate swaps vary from $10,000,000 to $70,000,000 per month, in relation to the Company’s forecasted seasonal borrowings. These interest rate swaps are designated as cash flow hedges. At July 31, 2012 and April 30, 2012, the fair value of interest rate swaps was a liability of $647,000 and $694,000, respectively, and was included in accounts payable and accrued expenses. During the three months ended July 31, 2012 and 2011, no amounts were recognized in the consolidated statements of income due to the ineffectiveness of these interest rate swaps.
	Forward contracts related to foreign currency exchange rates: In connection with short-term advances made to its Canadian subsidiary related to personal income tax refund discounting, the Company enters into forward contracts to eliminate the exposure related to foreign currency fluctuations. Under the terms of the forward currency contracts, the exchange rate for repayments is fixed at the time an advance is made and the advances are repaid prior to April 30 of the year of the advance. These forward contracts are designated as cash flow hedges. At July 31, 2012 and April 30, 2012, there were no forward currency contracts outstanding. During the three months ended July 31, 2012 and 2011, no amounts were recognized in the consolidated statements of income due to the ineffectiveness of these foreign currency hedges.
	At July 31, 2012, there are no deferred gains on derivative instruments accumulated in other comprehensive income that are expected to be reclassified to earnings during the next 12 months. There were no cash flow hedges discontinued during the three months ended July 31, 2012.

Income_Taxes

Income Taxes	3 Months Ended
	Jul. 31, 2012
Income Taxes	'
Income Taxes	'
	(7)                                 Income Taxes
	For the three months ended July 31, 2012 and July 31, 2011, the Company recognized income tax benefits of $4,033,000 and $2,707,000, respectively. The Company has determined no reserves for uncertain tax positions were required at July 31, 2012 or April 30, 2012. The Company computes its provision or benefit from income taxes by applying the estimated annual effective tax rate to income or loss from recurring operations and adding the effects of any discrete income tax items specific to the period.

Stockholders_Equity

Stockholders' Equity	3 Months Ended
	Jul. 31, 2012
Stockholders' Equity	'
Stockholders' Equity	'
	(8)                                 Stockholders’ Equity
	During the three months ended July 31, 2012 and 2011, activity in stockholders’ equity was as follows:
		July 31,			July 31,
		2012			2011
		(In thousands)
	Class A common shares issued from the exercise of stock options	151			2
	Proceeds from exercise of stock options	$	1,592		$	21
	Class A common shares repurchased	56			113
	Payments for repurchased shares	$	843		$	1,654
	Tax benefit of stock option exercises	$	269		$	458
	Class A common shares issued upon conversion of Class A preferred shares	1,703			—
	(a)                                 Loss per Share
	Net loss per share of Class A and Class B common stock is computed using the two-class method. Basic net loss per share is computed by allocating undistributed earnings to common shares and participating securities (Class A preferred stock and exchangeable shares) and using the weighted-average number of common shares outstanding during the period.  Undistributed losses are not allocated to these participating securities as they do not meet the required criteria for such allocation.  During the three months ended July 31, 2012, two of the Company’s major shareholders elected to convert 170,320 shares of the Class A preferred stock to 1,703,200 shares of Class A common stock. As a result of the conversion, 861,000 additional shares are included in the weighted-average number of Class A common shares used to calculate the loss per share for the three months ended July 31, 2012. If the Class A preferred stock had not been converted, these shares would not have been included in the weighted-average number of Class A common shares used to calculate the loss per share for the three months ended July 31, 2012.
	Diluted net loss per share is computed using the weighted-average number of common shares and, if dilutive, the potential common shares outstanding during the period. Potential common shares consist of the incremental common shares issuable upon the exercise of stock options. The dilutive effect of outstanding stock options is reflected in diluted earnings per share by application of the treasury stock method. Additionally, the computation of the diluted net loss per share of Class A common stock assumes the conversion of Class B common stock, Class A preferred stock and exchangeable shares, while the diluted net loss per share of Class B common stock does not assume conversion of those shares.
	The rights, including liquidation and dividends rights, of the holders of Class A and Class B common stock are identical, with the exception of the election of directors. As a result, the undistributed earnings for each year are allocated based on the contractual participation rights of the Class A and Class B as if the earnings for the year had been distributed.  Participating securities have dividend rights that are identical to Class A and Class B common stock.
	The computation of basic and diluted net loss per share for the three months ended July 31, 2012 and 2011 is as follows:
		Three Months Ended
		July 31, 2012
		As Restated
		Class A			Class B
		Common Stock			Common Stock
		(in thousands, except for share and per
		share amounts)
	Basic and diluted net loss per share:
	Numerator
	Allocation of undistributed losses	$	(5,892	)	$	(471	)
	Denominator
	Weighted-average common shares outstanding	11,270,977			900,000
	Basic and diluted net loss per share	$	(0.52	)	$	(0.52	)
		Three Months Ended
		July 31, 2011
		As Restated
		Class A			Class B
		Common Stock			Common Stock
		(in thousands, except for share and per
		share amounts)
	Basic and diluted net loss per share:
	Numerator
	Allocation of undistributed losses	$	(4,190	)	$	(361	)
	Denominator
	Weighted-average common shares outstanding	10,461,258			900,000
	Basic and diluted net loss per share	$	(0.40	)	$	(0.40	)
	As a result of the net losses for the periods, diluted net loss per share excludes the impact of shares of potential common stock from the exercise of options to purchase 2,802,275 shares and 2,674,756 shares for the three months ended July 31, 2012 and 2011, respectively, because the effect would be antidilutive.

Stock_Compensation_Plans

Stock Compensation Plans	3 Months Ended
	Jul. 31, 2012
Stock Compensation Plans	'
Stock Compensation Plans	'
	(9)                                 Stock Compensation Plans
	(a)                                 Stock Options
	At July 31, 2012, 1,939,805 shares of Class A common stock are available for grant under the 2011 Equity and Cash Incentive Plan.
	The following table summarizes the information for options granted in the three months ended July 31, 2012:
		2012
	Weighted average fair value of options granted	$	1.80
	Dividend yield	0.00%
	Expected volatility	13.0% - 14.9%
	Expected terms	4 - 6 years
	Risk-free interest rates	0.6% - 1.0%
	Stock option activity during the three months ended July 31, 2012 is as follows:
				Weighted
		Number of		average
		options		exercise price
	Outstanding at April 30, 2012	2,729,013		$	14.21
	Granted	332,035		15
	Exercised	(150,571	)	10.57
	Canceled	(82,565	)	12.12
	Outstanding at July 31, 2012	2,827,912			14.55
	Stock options were granted to employees of the Company except for 43,000 options granted to nonemployee directors during the three months ended July 31, 2012.
	The total intrinsic value of options exercised during the three months ended July 31, 2012 was approximately $667,000.
	Nonvested stock option (options that did not vest in the period in which granted) activity during the three months ended July 31, 2012 is as follows:
				Weighted
		Nonvested		average
		options		exercise price
	Outstanding at April 30, 2012	452,500		$	15
	Granted	332,035		15
	Vested	—		—
	Canceled	(1,600	)	15
	Outstanding at July 31, 2012	782,935			15
	At July 31, 2012, unrecognized compensation costs related to nonvested stock options are $1,487,000. These costs are expected to be recognized between 2013 and 2016.
	The following table summarizes information about stock options outstanding and exercisable at July 31, 2012:
							Weighted
					Weighted		average		Weighted
	Number of shares	Range of			average		remaining	Number of shares	average
	outstanding	exercise			exercise		contractual	exercisable at	exercise
	at July 31, 2012	prices			price		life	July 31, 2012	price
	40,000	$	5.5		$	5.5	0.7 years	40,000	$	5.5
	24,902	8.50-9.00			8.63		0.7 years	24,902	8.63
	170,000	10.5			10.5		2.1 years	170,000	10.5
	2,262,575	14.00-16.50			15.02		3.6 years	1,810,075	15
	330,435	15			15		4.4 years	—	—
								2,044,977
	(b)                                 Restricted Stock Units
	On June 1, 2012, the Company awarded 9,305 shares of restricted stock units to its non-employee directors.  The fair value at grant date was $15.00 and the vesting or service period is 18 months.  Compensation costs associated with these restricted shares are amortized over the service period and recognized as an increase in additional paid-in capital.

Fair_Value_of_Financial_Instru

Fair Value of Financial Instruments	3 Months Ended
	Jul. 31, 2012
Fair Value of Financial Instruments	'
Fair Value of Financial Instruments	'
	(10)                          Fair Value of Financial Instruments
	The Company uses the following methods and assumptions to estimate the fair value of financial instruments.
	Cash equivalents, receivables, other current assets, accounts payable and accrued expenses, and due to area developers: The carrying amounts approximate fair value because of the short maturity of these instruments. At July 31, 2012 and April 30, 2012 the Company had cash equivalents of:
		July 31,		April 30,
		2012		2012
		(In thousands)
	Money market account	$	—	$	18,848
	Notes receivable: The carrying amount of the Company’s notes receivable approximates fair value based upon the present value of expected future cash flows discounted at the interest rate currently offered by the Company, which approximates rates currently offered by local lending institutions for loans of similar terms to individuals/entities with comparable credit risk.
	Nonfinancial assets and liabilities: The fair value of customer lists and reacquired rights is measured on a nonrecurring basis in the period that the Company deemed the assets impaired.  Fair value is determined based on historical transactions involving sales of company-owned offices.
	Long-term debt: The carrying amount of the Company’s long-term debt approximates fair value based on the present value of expected future cash flows discounted at the interest rates offered by the lenders, which approximates rates currently offered by local lending institutions for loans of similar terms to companies with comparable credit risk.
	Concentrations of credit risks: Financial instruments that could potentially subject the Company to concentrations of credit risks consist of accounts and notes receivable with its franchisees.
	The Company maintains its cash and cash equivalents in bank deposit accounts, which, at times may exceed federally insured limits.  The Company has not experienced any losses in such accounts. The Company believes it is not exposed to any significant credit risk on its cash and cash equivalents balances.
	The Company manages such risk by evaluating the financial position of the franchisee, value of the franchises, as well as the personal guarantee of the individual franchisees. At July 31, 2012 and April 30, 2012, there were no significant concentrations of credit risk associated with any individual franchisee or group of franchisees. The Company maintains an allowance for potential losses based on its expected collectibility of the receivables, which the Company believes is adequate for its credit loss exposure.
	The condensed consolidated financial statements include various estimated fair value information at July 31, 2012 and April 30, 2012.
	Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial assets and liabilities subject to fair value measurements on a recurring basis are classified according to a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value.
	·                                          Level 1 — quoted prices for identical assets and liabilities in active markets.
	·                                          Level 2 — quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, and model-based valuations in which all significant inputs are observable in the market.
	·                                          Level 3 — unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.
	At July 31, 2012 and April 30, 2012, the following tables present, for each of the fair value hierarchy levels, the assets and liabilities that are measured at fair value on a recurring and nonrecurring basis (in thousands):
				July 31, 2012
				Fair value measurements using
				As Restated
		Total		Level 1		Level 2		Level 3
	Assets:
	Nonrecurring:
	Impaired accounts and notes receivable	$	4,497	$	—	$	—	$	4,497
		$	4,497	$	—	$	—	$	4,497
	Liabilities:
	Recurring:
	Interest rate swap agreements	647		—		647		—
		$	647	$	—	$	647	$	—
				April 30, 2012
				Fair value measurements using
		Total		Level 1		Level 2		Level 3
	Assets:
	Recurring:
	Cash equivalents	$	18,848	$	18,848	$	—	$	—
	Nonrecurring:
	Impaired accounts and notes receivable	$	5,746	$	—	$	—	$	5,746
	Impaired goodwill	1,477		—		—		1,477
	Impaired reacquired rights	412		—		—		412
	Impaired customer lists	564		—		—		564
		8,199		—		—		8,199
		$	27,047	$	18,848	—		$	8,199
	Liabilities:
	Recurring:
	Interest rate swap agreements	$	694	$	—	$	694	$	—
		$	694	$	—	$	694	$	—
	The Company’s policy is to recognize transfers between levels of the fair value hierarchy on the date of the event or change in circumstances that caused the transfer.  There were no transfers into or out of level 1 or 2 recurring fair value measurements for the quarters ended July 31, 2012 and 2011.
	Management considers accounts and notes receivable to be impaired if the amounts due exceeds the fair value of the underlying franchise.  In establishing the estimated fair value of the underlying franchise, consideration is given to the net fees of open offices earned during the most recently completed tax season and the number of unopened offices.
	Management considers reacquired rights, customer lists and goodwill associated with a company-owned office to be impaired if the net carrying amount exceeds the fair value of the underlying franchise.  In establishing the fair value of the underlying franchise, consideration is given to historical transactions involving sales of company-owned offices and the net fees of the underlying franchise.
	The fair value of the Company’s interest swap agreements is the difference between the present value of interest payments due under the current swap agreements and similar swap agreements using a market rate of interest on the date of valuation.

Related_Party_Transactions

Related Party Transactions	3 Months Ended
	Jul. 31, 2012
Related Party Transactions	'
Related Party Transactions	'
	(11)                          Related Party Transactions
	The Company considers directors and their affiliated companies, and executive officers of the Company,  and members of their immediate family, to be related parties. For the three months ended July 31, 2012 and 2011, the Company repurchased common stock from related parties as follows:
		2012		2011
	Common stock repurchases:
	Shares repurchased	20,100		23,800
	Amount	$	301,000	$	357,000
	At July 31, 2012 and April 30, 2012, notes receivable from related parties are as follows:
		July 31,		April 30,
		2012		2012
	Notes receivable	$	20,025	$	21,212
	Repayments received during the year	4,200		971,300
	Interest rates on these notes approximate prevailing market rates at the time of their issuance.

Commitments_and_Contingencies

Commitments and Contingencies	3 Months Ended
	Jul. 31, 2012
Commitments and Contingencies	'
Commitments and Contingencies	'
	(12)                          Commitments and Contingencies
	ERC class action litigation.  The Company was sued in November 2011 in federal courts in Arkansas, California, Florida and Illinois, and additional lawsuits were filed in federal courts in January 2012 in Maryland and North Carolina, in February 2012 in Wisconsin, and in May 2012 in New York and in Minnesota.  All of the cases were consolidated before a single judge in federal court in the Northern District of Illinois, and in June 2012, the plaintiffs filed a new complaint in the consolidated action.  The consolidated complaint alleges that an electronic refund check (ERC) represents a form of refund anticipation loan (RAL) because the taxpayer is “loaned” the tax preparation fee, and that an ERC is therefore subject to federal truth-in-lending disclosure and state law requirements regulating RALs.  The plaintiffs therefore allege violations of state-specific RAL and other consumer statutes. The lawsuit purports to be a class action, and the plaintiffs allege potential damages in excess of $5 million. The Company is aware that virtually identical lawsuits have been filed against several of its competitors.  The Company has not concluded that a loss related to this matter is probable, nor has the Company accrued a loss contingency related to this matter.  The Company believes it has meritorious defenses to the claims in this case, and intends to defend the case vigorously, but there can be no assurances as to the outcome or the impact on the Company’s consolidated financial position, results of operations and cash flows.  The consolidated case is at a very early stage.
	South Carolina litigation.  In November 2010, several former customers of one of the Company’s South Carolina franchisees initiated a purported class action against the Company, its Chief Executive Officer and another of the Company’s employees in the United States District Court for the District of South Carolina, in a case styled Martin v. JTH Tax, Inc. In this case, the plaintiffs allege that the employees of the Company’s franchisees fraudulently increased customer tax refunds, and that this behavior was pursuant to a plan or scheme in which the Company and its employees were involved.  In this case, the plaintiffs seek damages in excess of $5 million, certification of class action status, treble damages under a claim pursuant to The Racketeer Influenced and Corrupt Organizations Act of 1970, punitive damages, and other damages.  This case is in the early stages of the proceeding.  The Company believes that the probability of a loss related to this matter is remote; consequently the Company has not recorded a loss contingency related to this matter.  The Company intends to defend this case vigorously, but there can be no assurances as to the outcome or the impact on the Company’s consolidated financial position, results of operations and cash flows.
	The Company is also party to claims and lawsuits that are considered to be ordinary, routine litigation and investigations incidental to the business, including claims and lawsuits concerning the preparation of customers’ income tax returns, the fees charged to customers for various products and services, relationships with franchisees, intellectual property disputes, employment matters and contract disputes.  Although the Company cannot provide assurance that it will ultimately prevail in each instance, the Company believes the amount, if any, it will be required to pay in the discharge of liabilities or settlements in these claims will not have a material adverse impact on its consolidated results of operations.

Subsequent_Event

Subsequent Event	3 Months Ended
	Jul. 31, 2012
Subsequent Event	'
Subsequent Event	'
	(13)                          Subsequent Event
	The Company uses a third-party financial institution to provide certain financial products to its customers, pursuant to an agreement that expires on October 16, 2014. For the year ended April 30, 2012, a significant portion of the Company’s customer’s financial products were provided by this financial institution. On August 27, 2012, the Company delivered a termination notice with respect to that agreement.  This notice provides for an effective date of termination of September 16, 2012, but under the terms of the agreement, the Company will continue to work with the financial institution to modify the terms of the agreement in a way that may avert the termination. If the agreement is terminated, the Company believes there will be little impact on its customers because the Company can offer similar financial products through its contractual relationship with another third-party and internal capabilities.

Restatement_of_Previously_Issu

Restatement of Previously Issued Financial Statements	3 Months Ended
	Jul. 31, 2012
Restatement of Previously Issued Financial Statements	'
Restatement of Previously Issued Financial Statements	'
	(14)                          Restatement of Previously Issued Financial Statements
	As disclosed in our Form 10-K for the year ended April 30, 2013, on August 1, 2013, the Company concluded that previously issued consolidated financial statements should not be relied upon due to certain revenue recognition adjustments.  The Company’s decision to restate its consolidated financial statements was based upon the results of an internal review of the Company’s historical revenue recognition policies and their application.  The Company has restated its condensed consolidated financial statements for the fiscal quarters ended July 31, 2012 and 2011 and October 31, 2012 and 2011.  Restated condensed consolidated financial statements for the fiscal quarters ended January 31, 2013 and 2012 will be included in an amended filing at a later date.
	Impact of Corrections on Previously Issued Consolidated Financial Statements
	Adjustments were made for the following items:
	·                  The Company determined that its area developer agreements do not constitute a franchise relationship for accounting purposes.  Therefore, instead of recording revenue at the inception of the area developer relationship under franchise accounting, the Company now records these fees over the life of the area developer contract, which is typically 10 years.  Additionally, our financial statements now show the portion of franchise fees, interest and royalties that the AD is entitled to receive from us in our revenue captions, with an equal amount of expense shown in a new operating expense caption, area developer expense.  These amounts were previously presented on a net basis.
	·                  The Company changed its revenue recognition policy for franchise fees to record revenue as amounts are received from the franchisee.  Previously, the Company generally recorded such revenues at the time of sale, net of expected note cancellations related to the amount financed. Therefore, under the new revenue recognition policy any portion of franchise fees that is financed is only reflected as revenue as the note payments are made.
	·                  The Company also revised its methodology for the allocation of the purchase price associated with the acquisitions of businesses from franchisees.  Historically, the Company allocated the entire purchase price to an identifiable intangible asset, customer list.  The new methodology allocates the purchase price to all identifiable intangible assets, which consist of reacquired rights and customer list. Any unallocated purchase price is recorded as goodwill.
	The following table presents the effect of the restatement adjustments on the condensed consolidated balance sheets:
		July 31, 2012
		As Reported			Adjustments			As Restated
		(in thousands)
	Receivables:
	Notes	$	56,730		$	(9,814	)	$	46,916
	Interest	2,818			(1,298		)	1,520
	Allowance for doubtful accounts	(4,952		)	478			(4,474		)
	Total receivables, net	73,129			(10,634		)	62,495
	Income tax receivable	6,204			(109		)	6,095
	Deferred income taxes	64			3,255			3,319
	Total current assets	83,750			(7,488		)	76,262
	Notes receivable, excluding current portion	39,626			(26,427		)	13,199
	Allowance for uncollectible amounts for long-term notes receivable	(2,082		)	1,197			(885		)
	Goodwill	1,913			4,437			6,350
	Other intangibles	31,676			(15,101		)	16,575
	Accumulated amortization of intangible assets	(6,193		)	1,966			(4,227		)
	Deferred income taxes	—			2,845			2,845
	Other assets, net	2,589			1			2,590
	Total assets	176,741			(38,570		)	138,171
	Due to area developers	15,859			(5,872		)	9,987
	Deferred income taxes	1,607			(1,607		)	—
	Deferred revenue - short-term portion	2,845			4,480			7,325
	Total current liabilities	30,786			(2,999		)	27,787
	Deferred revenue - long-term portion	—			11,616			11,616
	Deferred income taxes	13,839			(13,839		)	—
	Total liabilities	81,459			(5,222		)	76,237
	Retained earnings	87,950			(33,348		)	54,602
	Total stockholders’ equity	95,282			(33,348		)	61,934
	Total liabilities and stockholders’ equity	176,741			(38,570		)	138,171
	The adjustments reflected in the table above include:
	·                  Adjustments to notes receivable to present the balance net of the unrecognized revenue portion of notes
	·                  Adjustments to interest receivable to convert from accrual basis to cash basis for notes related to unrecognized revenue
	·                  Adjustments to allowance for doubtful accounts includes the impact of the change in our franchise fee revenue recognition policy
	·                  Adjustments to deferred income taxes, long-term portion shown in other assets, net and income taxes payable reflect the impact of the restatement adjustments
	·                  Adjustments to goodwill and a portion of the other intangibles, net relate to the revised purchase price allocation methodology for businesses acquired from franchisees
	·                  Adjustments to other intangibles includes the net impact of the elimination of the deferred revenue balance of repurchased area developer areas
	·                  Adjustments to due to area developer to conform to net presentation for notes related to unrecognized revenue
	·                  Adjustments to deferred revenue to reflect the recognition of area developer fees over the life of their agreement
	·                  Adjustments to stockholders’ equity reflect the cumulative impact of all of the restatement adjustments
	The following table summarizes the effects of the restatement on the condensed consolidated financial statements of operations for the three months ended July 31, 2012:
		July 31, 2012
		As Reported			Adjustments			As Restated
		(in thousands)
	Franchise fees	$	2,486		$	(1,820	)	$	666
	Provision for refunds	75			(75		)	—
	Area developer fees	—			1,923			1,923
	Royalties and advertising fees	1,007			317			1,324
	Interest income	2,659			(111		)	2,548
	Net gain on sale of company-owned offices and other revenue	191			74			265
	Total revenues	6,786			458			7,244
	General and administrative expenses	5,616			200			5,816
	Area developer expense	—			717			717
	Depreciation, amortization, and impairment charges	1,891			(300		)	1,591
	Total operating expenses	16,733			617			17,350
	Loss from operations	(9,947		)	(159		)	(10,106		)
Loss before income taxes	(10,237		)	(159		)	(10,396		)
Income tax benefit	(4,085		)	52			(4,033		)
Net loss	$	(6,152	)	$	(211	)	$	(6,363	)
Net loss per share of Class A and Class B common stock:
Basic and Diluted	$	(0.51	)	$	(0.01	)	$	(0.52	)
The following table summarizes the effects of the restatement on the condensed consolidated financial statements of operations for the three months ended July 31, 2011:
	Three Months Ended July 31, 2011
	As Reported			Adjustments			As Restated
	(in thousands)
Franchise fees	$	1,362		$	(562	)	$	800
Provision for refunds	159			(159		)	—
Area developer fees	—			1,683			1,683
Royalties and advertising fees	1,018			291			1,309
Interest income	2,021			(223		)	1,798
Net gain on sale of company-owned offices and other revenue	311			116			427
Total revenues	4,868			1,464			6,332
Area developer expense	—			622			622
Depreciation, amortization, and impairment charges	1,622			(248		)	1,374
Total operating expenses	12,906			374			13,280
Loss from operations	(8,038		)	1,090			(6,948		)
Loss before income taxes	(8,348		)	1,090			(7,258		)
Income tax benefit	(3,369		)	662			(2,707		)
Net loss	$	(4,979	)	$	428		$	(4,551	)
Net loss per share of Class A and Class B common stock:
Basic and diluted	$	(0.44	)	$	0.04		$	(0.40	)
The adjustments reflected in the tables above include:
·                  Adjustments to franchise fees include the reclassification of area developer fees to a separate caption, the net impact of changing our franchise fee recognition policy to receipt of funds and the change to gross presentation for the area developer portion
·                  Adjustments to provision for refunds are due to the change in our franchise fee recognition policy
·                  Adjustments to area developer fees are the net effect of reclassifying AD fees out of franchisee fees and the impact of recognizing revenue over the life of the agreement
·                  Adjustments to royalties and advertising reflect the change to gross presentation for the area developer portion of royalties
·                  Adjustments to interest income reflect the change to gross presentation for the area developer portion of interest and the conversion to cash basis from accrual basis for interest on notes related to unrecognized revenue
·                  Adjustments to general and administrative expense reflect the increase in the provision for bad debts due to the elimination of the provision for refunds
·                  Adjustments to area developer expense reflect the change to a gross presentation for franchise fees, royalties and interest owed to area developers
·                  Adjustments to amortization and impairment charges are the net effect of the change in purchase price allocation for company-owned offices acquired from franchisees and the impact of a smaller balance of area developer rights due to the netting of deferred revenue upon reacquisition
·                  Adjustments to the provision for income taxes reflect the impact of the restatement adjustments
The following table presents the effect of the restatement adjustments on the condensed consolidated statements of comprehensive income for the three months ended July 31, 2012:
	July 31, 2012
	As Reported			Adjustments			As Restated
	(in thousands)
Net loss	$	(6,152	)	$	(211	)	$	(6,363	)
Comprehensive loss	(6,335		)	(211		)	(6,546		)
The following table presents the effect of the restatement adjustments on the condensed consolidated statements of comprehensive income for the three months ended July 31, 2011:
	Three Months Ended July 31, 2011
	As Reported			Adjustments			As Restated
	(in thousands)
Net loss	$	(4,979	)	$	428		$	(4,551	)
Comprehensive loss	(5,262		)	428			(4,834		)
The restatement had no impact on net operating, investing or financing activities within the condensed consolidated statements of cash flows.

Organization_and_Significant_A1

Organization and Significant Accounting Policies (Policies)	3 Months Ended
	Jul. 31, 2012
Organization and Significant Accounting Policies	'
Principles of Consolidation and Unaudited Financial Statements	'
	Principles of Consolidation and Unaudited Financial Statements
	The condensed consolidated financial statements include the accounts of JTH Holding, Inc. and its wholly owned subsidiaries. Assets and liabilities of the Company’s Canadian operations have been translated into U.S. dollars using the exchange rate in effect at the end of the period. Revenues and expenses have been translated using the average exchange rates in effect each month of the period. Transaction gains and losses are recognized in income when incurred. The Company also consolidates any variable interest entities of which it is the primary beneficiary. When the Company does not have a controlling interest in an entity, but exerts significant influence over the entity, the Company applies the equity method of accounting. All significant intercompany balances and transactions have been eliminated in consolidation.
	The unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (US GAAP) for interim financial information.  The condensed consolidated financial statements, including these notes, are unaudited and exclude some of the disclosures required in annual financial statements.  Consolidated balance sheet data as of April 30, 2012 was derived from the Company’s April 30, 2013 Annual Report to Shareholders on Form 10-K.  As discussed in Note 14, the Company has restated its condensed consolidated financial statements as of and for the three months ended July 31, 2012 and 2011.
	In the opinion of management, all adjustments necessary for a fair presentation of such financial statements in accordance with US GAAP have been recorded.  Such adjustments consisted only of normal recurring items.  The accompanying condensed consolidated financial statements should be read in conjunction with the Company’s financial statements and notes thereto included in its April 30, 2013 Annual Report to Shareholders on Form 10-K.
Use of Estimates	'
	Use of Estimates
	Management has made a number of estimates and assumptions relating to the reporting of assets and liabilities, and the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period, to prepare these condensed consolidated financial statements and accompanying notes in conformity with US GAAP. Actual results could differ from those estimates.
Recently Issued Accounting Standards	'
	Recently Issued Accounting Standards
	In June 2011, Financial Accounting Standards Board (‘‘FASB’’) issued Accounting Standards Update (‘‘ASU’’) 2011-05, Presentation of Comprehensive Income. This update changes the methods for presenting comprehensive income, and eliminates the method of including comprehensive income in the statement of stockholders’ equity. Under ASU 2011-05, an entity has the option to present the total of comprehensive income, the components of net income, and the components of other comprehensive income either in a single continuous statement of comprehensive income or in two separate but consecutive statements. The amendments in this ASU did not change the items that must be reported in other comprehensive income or when an item of other comprehensive income must be reclassified to net income. The Company adopted this guidance in the first quarter of fiscal 2013.  Because it only affects presentation, this guidance did not have a material effect on the Company’s consolidated financial statements.
	In September 2011, FASB issued ASU 2011-08, Intangibles-Goodwill and Other (ASC Topic 350): Testing Goodwill for Impairment. This amendment provides the option of first using a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If a company concludes that it is more likely than not that fair value exceeds carrying value, the two-step test for impairment is not required. The amendment includes a revised list of considerations in completing the qualitative assessment. The Company adopted this ASU in fiscal 2013 but this guidance did not have a material effect on the Company’s consolidated financial statements.
Foreign operations	'
	Foreign Operations
	Canadian operations contributed $484,000 in revenues for the three months ended July 31, 2012 and $613,000 for the three months ended July 31, 2011.
Seasonality of Business	'
	Seasonality of Business
	The Company’s operating revenues are seasonal in nature with peak revenues occurring in the months of January through April.  Therefore, results for interim periods are not indicative of results to be expected for the full year.

Notes_and_Accounts_Receivable_

Notes and Accounts Receivable (Tables)	3 Months Ended
	Jul. 31, 2012
Notes and Accounts Receivable	'
Schedule of activity related to notes receivable	'
		July 31,			April 30,
		2012			2012
		As Restated
		(In thousands)
	Balance at beginning of period	$	79,838		$	70,564
	Notes received for:
	Sales of franchises and clusters of territories	2,799			8,131
	Sales of company-owned offices	125			12,554
	Franchisee to franchisee note assumptions	2,488			7,439
	Working capital and equipment loans to franchisees	9,956			67,969
	Refinancing of accounts receivable	10,576			16,787
		25,944			112,880
	Repayment of notes	(3,070		)	(82,258		)
	Notes canceled	(6,218		)	(21,188		)
	Foreign currency adjustment	(138		)	(160		)
	Balance at end of period		96,356			79,838
	Unrecognized revenue portion of notes receivable	(36,241		)	(37,050		)
	Notes receivable less unrecognized revenue	$	60,115		$	42,788
Schedule of activity in the allowance for doubtful accounts	'
		2012			2011
		As Restated
		(In thousands)
	Beginning balance	$	5,290		$	4,827
	Additions charged to expense	1,528			990
	Write-offs	(1,425		)	(1,809		)
	Foreign currency adjustment	(34		)	(13		)
	Ending balance	$	5,359		$	3,995
Schedule of allocation of allowance for doubtful accounts	'
		July 31,			April 30,
		2012			2012
		As Restated
		(In thousands)
	Impaired:
	Notes receivable including interest and less unrecognized revenue	$	5,739		$	6,728
	Accounts receivable	3,687			4,375
	Less allowance for uncollected interest, amounts due ADs, related deferred revenue and amounts due franchisees	(1,702		)	(1,704		)
	Net amount due	$	7,724		$	9,399
	Allowance for doubtful accounts for impaired notes and accounts receivable	$	3,951		$	4,488
	Non-impaired:
	Notes receivable including interest and less unrecognized revenue	$	57,194		$	37,936
	Accounts receivable	16,526			35,259
	Less allowance for uncollected interest, amounts due ADs, related deferred revenue and amounts due franchisees	(12,027		)	(17,432		)
	Net amount due	$	61,693		$	55,763
	Allowance for doubtful accounts for non-impaired notes and accounts receivable	$	1,408		$	802
	Total allowance for doubtful accounts	$	5,359		$	5,290
Schedule of aging of accounts and notes receivable	'
					Allowance
		Total			for Uncollected					Total
		Past Due			Interest			Current		Receivables
		As Restated
		(In thousands)
	Accounts receivable	$	18,693		$	(1,680	)	$	1,520	$	18,533
	Notes receivable including interest and less unrecognized revenue (As restated)	6,102			(1,298		)	56,831		61,635
	Total	$	24,795		$	(2,978	)	$	58,351	$	80,168

Goodwill_and_Intangible_Assets1

Goodwill and Intangible Assets (Tables)	3 Months Ended
	Jul. 31, 2012
Goodwill and Intangible Assets	'
Schedule of changes in the carrying amount of goodwill	'
		Goodwill			Accumulated			Net
					impairment loss
		As Restated
		(In thousands)
	Balance at April 30, 2012	$	6,157		$	(757	)	$	5,400
	Acquisitions of assets from franchisees	1,065			—			1,065
	Disposals and foreign currency changes, net	—			—			—
	Impairments	(134		)	19			(115		)
	Balance at July 31, 2012	$	7,088		$	(738	)	$	6,350
Schedule of the amortizable other intangible assets	'
				As of July 31, 2012								As of April 30, 2012
		Amortization		Gross			Accumulated			Net		Gross		Accumulated			Net
		period		carrying			amortization			carrying		carrying		amortization			carrying
				amount						amount		amount					amount
				As Restated
				(In thousands)
	Amortizable other intangible assets:
	Assets acquired from franchisees:
	Customer lists and reacquired rights	3 years		$	3,997		$	(1,530	)	$	2,467	$	3,370	$	(1,195	)	$	2,175
	Area developer rights	10 years		12,578			(2,697		)	9,881		10,429		(2,290		)	8,139
				$	16,575		$	(4,227	)	$	12,348	$	13,799	$	(3,485	)	$	10,314
Purchase price of assets acquired from franchisees	'
		Three Months Ended July 31,
		2012			2011
		As Restated
		(In thousands)
	Customer lists and reacquired rights	$	677		$	1,499
	Goodwill	1,065			2,268
	Total	$	1,742		$	3,767

Debt_Tables

Debt (Tables)	3 Months Ended
	Jul. 31, 2012
Debt	'
Schedule of debt	'
		July 31,			April 30,
		2012			2012
		(In thousands)
	Credit Facility:
	Revolver	$	11,078		$	—
	Term loan	24,688			25,000
		35,766			25,000
	Other debt	4,242			3,985
		40,008			28,985
	Less: current portion	(3,174		)	(2,736		)
	Long-term debt	$	36,834		$	26,249

Stockholders_Equity_Tables

Stockholders' Equity (Tables)	3 Months Ended
	Jul. 31, 2012
Stockholders' Equity	'
Schedule of activity in stockholders' equity	'
		July 31,			July 31,
		2012			2011
		(In thousands)
	Class A common shares issued from the exercise of stock options	151			2
	Proceeds from exercise of stock options	$	1,592		$	21
	Class A common shares repurchased	56			113
	Payments for repurchased shares	$	843		$	1,654
	Tax benefit of stock option exercises	$	269		$	458
	Class A common shares issued upon conversion of Class A preferred shares	1,703			—
Schedule of computation of basic and diluted net income (loss) per share	'
		Three Months Ended
		July 31, 2012
		As Restated
		Class A			Class B
		Common Stock			Common Stock
		(in thousands, except for share and per
		share amounts)
	Basic and diluted net loss per share:
	Numerator
	Allocation of undistributed losses	$	(5,892	)	$	(471	)
	Denominator
	Weighted-average common shares outstanding	11,270,977			900,000
	Basic and diluted net loss per share	$	(0.52	)	$	(0.52	)
		Three Months Ended
		July 31, 2011
		As Restated
		Class A			Class B
		Common Stock			Common Stock
		(in thousands, except for share and per
		share amounts)
	Basic and diluted net loss per share:
	Numerator
	Allocation of undistributed losses	$	(4,190	)	$	(361	)
	Denominator
	Weighted-average common shares outstanding	10,461,258			900,000
	Basic and diluted net loss per share	$	(0.40	)	$	(0.40	)

Stock_Compensation_Plans_Table

Stock Compensation Plans (Tables)	3 Months Ended
	Jul. 31, 2012
Stock Compensation Plans	'
Summary of information for options granted	'
		2012
	Weighted average fair value of options granted	$	1.80
	Dividend yield	0.00%
	Expected volatility	13.0% - 14.9%
	Expected terms	4 - 6 years
	Risk-free interest rates	0.6% - 1.0%
Schedule of stock option activity	'
				Weighted
		Number of		average
		options		exercise price
	Outstanding at April 30, 2012	2,729,013		$	14.21
	Granted	332,035		15
	Exercised	(150,571	)	10.57
	Canceled	(82,565	)	12.12
	Outstanding at July 31, 2012	2,827,912			14.55
Schedule of nonvested (options that did not vest in the period in which granted) stock option activity	'
				Weighted
		Nonvested		average
		options		exercise price
	Outstanding at April 30, 2012	452,500		$	15
	Granted	332,035		15
	Vested	—		—
	Canceled	(1,600	)	15
	Outstanding at July 31, 2012	782,935			15
Summary of information about stock options outstanding and exercisable	'
							Weighted
					Weighted		average		Weighted
	Number of shares	Range of			average		remaining	Number of shares	average
	outstanding	exercise			exercise		contractual	exercisable at	exercise
	at July 31, 2012	prices			price		life	July 31, 2012	price
	40,000	$	5.5		$	5.5	0.7 years	40,000	$	5.5
	24,902	8.50-9.00			8.63		0.7 years	24,902	8.63
	170,000	10.5			10.5		2.1 years	170,000	10.5
	2,262,575	14.00-16.50			15.02		3.6 years	1,810,075	15
	330,435	15			15		4.4 years	—	—
								2,044,977

Fair_Value_of_Financial_Instru1

Fair Value of Financial Instruments (Tables)	3 Months Ended
	Jul. 31, 2012
Fair Value of Financial Instruments	'
Schedule of cash equivalents	'
		July 31,		April 30,
		2012		2012
		(In thousands)
	Money market account	$	—	$	18,848
Schedule of the assets and liabilities that are measured at fair value on a recurring and nonrecurring basis, for each of the fair value hierarchy levels	'
	At July 31, 2012 and April 30, 2012, the following tables present, for each of the fair value hierarchy levels, the assets and liabilities that are measured at fair value on a recurring and nonrecurring basis (in thousands):
				July 31, 2012
				Fair value measurements using
				As Restated
		Total		Level 1		Level 2		Level 3
	Assets:
	Nonrecurring:
	Impaired accounts and notes receivable	$	4,497	$	—	$	—	$	4,497
		$	4,497	$	—	$	—	$	4,497
	Liabilities:
	Recurring:
	Interest rate swap agreements	647		—		647		—
		$	647	$	—	$	647	$	—
				April 30, 2012
				Fair value measurements using
		Total		Level 1		Level 2		Level 3
	Assets:
	Recurring:
	Cash equivalents	$	18,848	$	18,848	$	—	$	—
	Nonrecurring:
	Impaired accounts and notes receivable	$	5,746	$	—	$	—	$	5,746
	Impaired goodwill	1,477		—		—		1,477
	Impaired reacquired rights	412		—		—		412
	Impaired customer lists	564		—		—		564
		8,199		—		—		8,199
		$	27,047	$	18,848	—		$	8,199
	Liabilities:
	Recurring:
	Interest rate swap agreements	$	694	$	—	$	694	$	—
		$	694	$	—	$	694	$	—

Related_Party_Transactions_Tab

Related Party Transactions (Tables)	3 Months Ended
	Jul. 31, 2012
Related Party Transactions	'
Schedule of repurchase of common stock from related parties	'
		2012		2011
	Common stock repurchases:
	Shares repurchased	20,100		23,800
	Amount	$	301,000	$	357,000
Schedule of notes receivable from related parties	'
		July 31,		April 30,
		2012		2012
	Notes receivable	$	20,025	$	21,212
	Repayments received during the year	4,200		971,300

Restatement_of_Previously_Issu1

Restatement of Previously Issued Financial Statements (Tables)	3 Months Ended
	Jul. 31, 2012
Restatement of Previously Issued Financial Statements	'
Schedule of Error Corrections and Prior Period Adjustments	'
	The following table presents the effect of the restatement adjustments on the condensed consolidated balance sheets:
		July 31, 2012
		As Reported			Adjustments			As Restated
		(in thousands)
	Receivables:
	Notes	$	56,730		$	(9,814	)	$	46,916
	Interest	2,818			(1,298		)	1,520
	Allowance for doubtful accounts	(4,952		)	478			(4,474		)
	Total receivables, net	73,129			(10,634		)	62,495
	Income tax receivable	6,204			(109		)	6,095
	Deferred income taxes	64			3,255			3,319
	Total current assets	83,750			(7,488		)	76,262
	Notes receivable, excluding current portion	39,626			(26,427		)	13,199
	Allowance for uncollectible amounts for long-term notes receivable	(2,082		)	1,197			(885		)
	Goodwill	1,913			4,437			6,350
	Other intangibles	31,676			(15,101		)	16,575
	Accumulated amortization of intangible assets	(6,193		)	1,966			(4,227		)
	Deferred income taxes	—			2,845			2,845
	Other assets, net	2,589			1			2,590
	Total assets	176,741			(38,570		)	138,171
	Due to area developers	15,859			(5,872		)	9,987
	Deferred income taxes	1,607			(1,607		)	—
	Deferred revenue - short-term portion	2,845			4,480			7,325
	Total current liabilities	30,786			(2,999		)	27,787
	Deferred revenue - long-term portion	—			11,616			11,616
	Deferred income taxes	13,839			(13,839		)	—
	Total liabilities	81,459			(5,222		)	76,237
	Retained earnings	87,950			(33,348		)	54,602
	Total stockholders’ equity	95,282			(33,348		)	61,934
	Total liabilities and stockholders’ equity	176,741			(38,570		)	138,171
	The following table summarizes the effects of the restatement on the condensed consolidated financial statements of operations for the three months ended July 31, 2012:
		July 31, 2012
		As Reported			Adjustments			As Restated
		(in thousands)
	Franchise fees	$	2,486		$	(1,820	)	$	666
	Provision for refunds	75			(75		)	—
	Area developer fees	—			1,923			1,923
	Royalties and advertising fees	1,007			317			1,324
	Interest income	2,659			(111		)	2,548
	Net gain on sale of company-owned offices and other revenue	191			74			265
	Total revenues	6,786			458			7,244
	General and administrative expenses	5,616			200			5,816
	Area developer expense	—			717			717
	Depreciation, amortization, and impairment charges	1,891			(300		)	1,591
	Total operating expenses	16,733			617			17,350
	Loss from operations	(9,947		)	(159		)	(10,106		)
	Loss before income taxes	(10,237		)	(159		)	(10,396		)
	Income tax benefit	(4,085		)	52			(4,033		)
	Net loss	$	(6,152	)	$	(211	)	$	(6,363	)
	Net loss per share of Class A and Class B common stock:
	Basic and Diluted	$	(0.51	)	$	(0.01	)	$	(0.52	)
	The following table summarizes the effects of the restatement on the condensed consolidated financial statements of operations for the three months ended July 31, 2011:
		Three Months Ended July 31, 2011
		As Reported			Adjustments			As Restated
		(in thousands)
	Franchise fees	$	1,362		$	(562	)	$	800
	Provision for refunds	159			(159		)	—
	Area developer fees	—			1,683			1,683
	Royalties and advertising fees	1,018			291			1,309
	Interest income	2,021			(223		)	1,798
	Net gain on sale of company-owned offices and other revenue	311			116			427
	Total revenues	4,868			1,464			6,332
	Area developer expense	—			622			622
Depreciation, amortization, and impairment charges	1,622			(248		)	1,374
Total operating expenses	12,906			374			13,280
Loss from operations	(8,038		)	1,090			(6,948		)
Loss before income taxes	(8,348		)	1,090			(7,258		)
Income tax benefit	(3,369		)	662			(2,707		)
Net loss	$	(4,979	)	$	428		$	(4,551	)
Net loss per share of Class A and Class B common stock:
Basic and diluted	$	(0.44	)	$	0.04		$	(0.40	)
The following table presents the effect of the restatement adjustments on the condensed consolidated statements of comprehensive income for the three months ended July 31, 2012:
	July 31, 2012
	As Reported			Adjustments			As Restated
	(in thousands)
Net loss	$	(6,152	)	$	(211	)	$	(6,363	)
Comprehensive loss	(6,335		)	(211		)	(6,546		)
The following table presents the effect of the restatement adjustments on the condensed consolidated statements of comprehensive income for the three months ended July 31, 2011:
	Three Months Ended July 31, 2011
	As Reported			Adjustments			As Restated
	(in thousands)
Net loss	$	(4,979	)	$	428		$	(4,551	)
Comprehensive loss	(5,262		)	428			(4,834		)

Organization_and_Significant_A2

Organization and Significant Accounting Policies (Details) (USD $)	3 Months Ended
	Jul. 31, 2012	Jul. 31, 2011
Geographical concentration	'	'
Revenues	$7,244,000	$6,332,000
Canadian operations	'	'
Geographical concentration	'	'
Revenues	$484,000	$613,000

Notes_and_Accounts_Receivable_1

Notes and Accounts Receivable (Details) (USD $)	3 Months Ended		12 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011	Apr. 30, 2012
Activity related to notes receivable	'	'	'
Balance at beginning of period	$79,838	$70,564	$70,564
Notes received for sales of franchises and clusters of territories	2,799	'	8,131
Notes received for sales of company-owned offices	125	'	12,554
Notes received for franchisee to franchisee note assumptions	2,488	'	7,439
Notes received for working capital and equipment loans to franchisees	9,956	'	67,969
Notes received for refinancing of accounts receivable	10,576	'	16,787
Notes received	25,944	'	112,880
Repayment of notes	-3,070	'	-82,258
Notes canceled	-6,218	'	-21,188
Foreign currency adjustment	-138	'	-160
Balance at end of period	96,356	'	79,838
Unrecognized revenue portion of notes receivable	-36,241	'	-37,050
Notes receivable less unrecognized revenue	60,115	'	42,788
Developer rights term	'10 years	'	'
Amounts payable to area developers for their share of receivables	9,987	'	15,956
Activity in the allowance for doubtful accounts	'	'	'
Beginning balance	5,290	4,827	4,827
Additions charged to expense	1,528	990	'
Write-offs	-1,425	-1,809	'
Foreign currency adjustment	-34	-13	'
Ending balance	$5,359	$3,995	$5,290
Franchise-related notes	'	'	'
Notes receivable	'	'	'
Notes Receivable	'5 years	'	'
Interest rate (as a percent)	12.00%	'	'
Working capital and equipment notes	'	'	'
Notes receivable	'	'	'
Interest rate (as a percent)	12.00%	'	'
Working capital and equipment notes | Maximum	'	'	'
Notes receivable	'	'	'
Notes Receivable	'1 year	'	'

Notes_and_Accounts_Receivable_2

Notes and Accounts Receivable (Details 2) (USD $)	Jul. 31, 2012	Apr. 30, 2012	Jul. 31, 2011	Apr. 30, 2011
In Thousands, unless otherwise specified
Allocation of allowance for doubtful accounts	'	'	'	'
Allowance for doubtful accounts for notes and accounts receivable	$5,359	$5,290	$3,995	$4,827
Impaired	'	'	'	'
Allocation of allowance for doubtful accounts	'	'	'	'
Less allowance for uncollected interest, amounts due AD's, related deferred revenue and amounts due franchisees	-1,702	-1,704	'	'
Net amount due	7,724	9,399	'	'
Allowance for doubtful accounts for notes and accounts receivable	3,951	4,488	'	'
Non-impaired	'	'	'	'
Allocation of allowance for doubtful accounts	'	'	'	'
Less allowance for uncollected interest, amounts due AD's, related deferred revenue and amounts due franchisees	-12,027	-17,432	'	'
Net amount due	61,693	55,763	'	'
Allowance for doubtful accounts for notes and accounts receivable	1,408	802	'	'
Notes receivable including interest and less unrecognized revenue | Impaired	'	'	'	'
Allocation of allowance for doubtful accounts	'	'	'	'
Gross amount due	5,739	6,728	'	'
Notes receivable including interest and less unrecognized revenue | Non-impaired	'	'	'	'
Allocation of allowance for doubtful accounts	'	'	'	'
Gross amount due	57,194	37,936	'	'
Accounts receivable | Impaired	'	'	'	'
Allocation of allowance for doubtful accounts	'	'	'	'
Gross amount due	3,687	4,375	'	'
Accounts receivable | Non-impaired	'	'	'	'
Allocation of allowance for doubtful accounts	'	'	'	'
Gross amount due	$16,526	$35,259	'	'

Notes_and_Accounts_Receivable_3

Notes and Accounts Receivable (Details 3) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012
Aging of accounts and notes receivable	'
Total Past Due	$24,795
Allowance for Uncollected Interest	-2,978
Current	58,351
Total Receivables	80,168
Accounts receivable	'
Aging of accounts and notes receivable	'
Total Past Due	18,693
Allowance for Uncollected Interest	-1,680
Current	1,520
Total Receivables	18,533
Past due period	'30 days
Notes receivable including interest and less unrecognized revenue	'
Aging of accounts and notes receivable	'
Total Past Due	6,102
Allowance for Uncollected Interest	-1,298
Current	56,831
Total Receivables	$61,635
Past due period	'90 days

Notes_and_Accounts_Receivable_4

Notes and Accounts Receivable (Details 4) (USD $)	3 Months Ended
	Jul. 31, 2012	Jul. 31, 2011	Apr. 30, 2012
Impaired notes receivable	'	'	'
Unfunded lending commitments for working capital loans to franchisees and area developers	$15,482,000	'	'
Notes receivable	'	'	'
Impaired notes receivable	'	'	'
Average investments in impaired notes receivable	6,234,000	5,322,000	'
Interest income related to impaired notes	138,000	94,000	'
Investment in notes receivable on nonaccrual status	$4,804,000	'	$5,274,000

Goodwill_and_Intangible_Assets2

Goodwill and Intangible Assets (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011
Changes in the carrying amount of goodwill	'	'
Goodwill, Balance at April 30, 2012	$6,157	'
Accumulated impairment loss, Balance at April 30, 2012	-757	'
Net, Balance at April 30, 2012	5,400	'
Acquisitions of assets from franchisees	1,065	2,268
Goodwill, Impairments	-134	'
Accumulated impairment loss, Impairments	19	'
Net, Impairments	-115	'
Goodwill, Balance at July 31, 2012	7,088	'
Accumulated impairment loss, Balance at July 31, 2012	-738	'
Net, Balance at July 31, 2012	$6,350	'

Goodwill_and_Intangible_Assets3

Goodwill and Intangible Assets (Details 2) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Apr. 30, 2012
Amortizable other intangible assets:	'	'
Gross carrying amount	$16,575	$13,799
Accumulated amortization	-4,227	-3,485
Net carrying amount	12,348	10,314
Customer lists and reacquired rights	'	'
Amortizable other intangible assets:	'	'
Amortization period	'3 years	'
Gross carrying amount	3,997	3,370
Accumulated amortization	-1,530	-1,195
Net carrying amount	2,467	2,175
Area developer rights	'	'
Amortizable other intangible assets:	'	'
Amortization period	'10 years	'
Gross carrying amount	12,578	10,429
Accumulated amortization	-2,697	-2,290
Net carrying amount	$9,881	$8,139

Goodwill_and_Intangible_Assets4

Goodwill and Intangible Assets (Details 3) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011
Allocation of purchase price of assets acquired from franchisees	'	'
Customer lists and reacquired rights	$677	$1,499
Goodwill	1,065	2,268
Total	$1,742	$3,767

Leases_Details

Leases (Details) (USD $)	3 Months Ended
	Jul. 31, 2012	Jul. 31, 2011
Leases	'	'
Total rent expense for operating leases, net of subleases	$642,000	$431,000

Debt_Details

Debt (Details) (USD $)	3 Months Ended
	Jul. 31, 2012	Apr. 30, 2012
Credit facility	'	'
Total debt	$40,008,000	$28,985,000
Less: current portion	-3,174,000	-2,736,000
Long-term debt	36,834,000	26,249,000
Credit facility	'	'
Credit facility	'	'
Increase in the borrowing capacity available under accordion feature	70,000,000	'
Interest rate base	'one-month London Inter-Bank Offered Rate (LIBOR)	'
Interest rate (as a percent)	1.87%	'
Borrowing availability	59,800,000	'
Total debt	35,766,000	25,000,000
Credit facility | Minimum	'	'
Credit facility	'	'
Interest rate margin (as a percent)	1.50%	'
Credit facility | Maximum	'	'
Credit facility	'	'
Interest rate margin (as a percent)	2.25%	'
Revolver	'	'
Credit facility	'	'
Maximum borrowing capacity	105,000,000	'
Total debt	11,078,000	'
Term loan	'	'
Credit facility	'	'
Maximum borrowing capacity	25,000,000	'
Total debt	24,688,000	25,000,000
Other debt	'	'
Credit facility	'	'
Total debt	$4,242,000	$3,985,000

Derivative_Instruments_and_Hed1

Derivative Instruments and Hedging Activities (Details) (Interest rate swap agreements, Cash flow hedges, USD $)	3 Months Ended
	Jul. 31, 2012	Apr. 30, 2012
Derivative instruments and hedging activities	'	'
Variable interest rate base received	'One-month LIBOR	'
Fixed interest rate paid, minimum (as a percent)	2.49%	'
Fixed interest rate paid, maximum (as a percent)	2.52%	'
Fair value of derivative liability	$647,000	$694,000
Minimum	'	'
Derivative instruments and hedging activities	'	'
Notional amounts per month	10,000,000	'
Maximum	'	'
Derivative instruments and hedging activities	'	'
Notional amounts per month	$70,000,000	'

Income_Taxes_Details

Income Taxes (Details ) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011
Income Taxes	'	'
Income tax benefits	$4,033	$2,707

Stockholders_Equity_Details

Stockholders' Equity (Details) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011
Stockholders' Equity	'	'
Proceeds from the exercise of stock options	$1,592	$21
Payment for repurchased shares	843	1,654
Tax benefit of stock option exercises	269	458
Basic and diluted net loss per share:	'	'
Numerator, Allocation of undistributed losses	-6,363	-4,551
Basic and diluted net loss per share (in dollars per share)	($0.52)	($0.40)
Antidilutive securities	'	'
Impact of shares of common stock from the exercise of options excluded from computation of diluted net income per share because the effect would be antidilutive	2,802,275	2,674,756
Class A common stock	'	'
Stockholders' Equity	'	'
Shares issued upon conversion of Class A preferred shares	1,703	'
Shares issued from the exercise of stock options	151,000	2,000
Shares repurchased	56,000	113,000
Loss per Share	'	'
Additional shares included in weighted average number of common shares	861,000	'
Basic and diluted net loss per share:	'	'
Numerator, Allocation of undistributed losses	-5,892	-4,190
Denominator, Weighted-average common shares outstanding	11,270,977	10,461,258
Basic and diluted net loss per share (in dollars per share)	($0.52)	($0.40)
Class B common stock	'	'
Basic and diluted net loss per share:	'	'
Numerator, Allocation of undistributed losses	($471)	($361)
Denominator, Weighted-average common shares outstanding	900,000	900,000
Basic and diluted net loss per share (in dollars per share)	($0.52)	($0.40)
Class A preferred stock	'	'
Loss per Share	'	'
Number of shareholders elected to convert their shares	2	'
Converted preferred stock	170,320	'

Stock_Compensation_Plans_Detai

Stock Compensation Plans (Details) (USD $)	3 Months Ended
	Jul. 31, 2012
Stock Option	'
Information for options granted	'
Weighted average fair value of options granted (in dollars per share)	$1.80
Dividend yield (as a percent)	0.00%
Expected volatility, minimum (as a percent)	13.00%
Expected volatility, maximum (as a percent)	14.90%
Risk-free interest rates, minimum (as a percent)	0.60%
Risk-free interest rates, maximum (as a percent)	1.00%
Stock option activity, Number of options	'
Outstanding at the beginning of the period (in shares)	2,729,013
Granted (in shares)	332,035
Exercised (in shares)	-150,571
Canceled (in shares)	-82,565
Outstanding at the end of the period (in shares)	2,827,912
Stock option activity, Weighted average exercise price	'
Outstanding at the beginning of the period (in dollars per share)	$14.21
Granted (in dollars per share)	$15
Exercised (in dollars per share)	$10.57
Canceled (in dollars per share)	$12.12
Outstanding at the end of the period (in dollars per share)	$14.55
Additional disclosures	'
Total intrinsic value of options exercised	$667,000
Nonvested stock option activity, Nonvested options	'
Outstanding at the beginning of the period (in shares)	452,500
Granted (in shares)	332,035
Canceled (in shares)	-1,600
Outstanding at the end of the period (in shares)	782,935
Nonvested stock option activity, Weighted average exercise price	'
Outstanding at the beginning of the period (in dollars per share)	$15
Granted (in dollars per share)	$15
Canceled (in dollars per share)	$15
Outstanding at the end of the period (in dollars per share)	$15
Unrecognized compensation costs related to nonvested stock options	'
Unrecognized compensation costs	$1,487,000
Stock Option | Nonemployee directors	'
Stock option activity, Number of options	'
Granted (in shares)	43,000
Stock Option | Minimum	'
Information for options granted	'
Expected terms	'4 years
Stock Option | Maximum	'
Information for options granted	'
Expected terms	'6 years
2011 Equity and Cash Incentive Plan	'
Stock compensation plan	'
Class A common stock available for grant (in shares)	1,939,805

Stock_Compensation_Plans_Detai1

Stock Compensation Plans (Details 2) (USD $)	Jul. 31, 2012	Jun. 30, 2012	Jul. 31, 2012	Jul. 31, 2012	Jul. 31, 2012	Jul. 31, 2012	Jul. 31, 2012
	Stock Option	Restricted Stock Units	Exercise price range 1	Exercise price range 2	Exercise price range 3	Exercise price range 4	Exercise price range 5
			Stock Option	Stock Option	Stock Option	Stock Option	Stock Option
Stock options outstanding and exercisable	'	'	'	'	'	'	'
Number of shares outstanding at the end of the period	'	'	40,000	24,902	170,000	2,262,575	330,435
Exercise price, low end of range (in dollars per share)	'	'	'	$8.50	'	$14	'
Exercise price, high end of range (in dollars per share)	'	'	'	$9	'	$16.50	'
Weighted average exercise price (in dollars per share)	'	'	$5.50	$8.63	$10.50	$15.02	$15
Weighted average remaining contractual life	'	'	'8 months 12 days	'8 months 12 days	'2 years 1 month 6 days	'3 years 7 months 6 days	'4 years 4 months 24 days
Number of shares exercisable at the end of the period	2,044,977	'	40,000	24,902	170,000	1,810,075	'
Weighted average exercise price (in dollars per share)	'	'	$5.50	$8.63	$10.50	$15	'
Shares awarded to non employee directors	'	9,305	'	'	'	'	'
Fair value at grant date	'	$15	'	'	'	'	'
Vesting or service period	'	'18 months	'	'	'	'	'

Fair_Value_of_Financial_Instru2

Fair Value of Financial Instruments (Details) (USD $)	Jul. 31, 2012	Apr. 30, 2012
Assets:	'	'
Cash equivalents, money market account	'	$18,848,000
Recurring | Total	'	'
Assets:	'	'
Cash equivalents, money market account	'	18,848,000
Liabilities:	'	'
Interest rate swap agreements	647,000	694,000
Recurring | Total | Interest rate swap agreements	'	'
Liabilities:	'	'
Interest rate swap agreements	647,000	694,000
Recurring | Fair value measurements using Level 1	'	'
Assets:	'	'
Cash equivalents, money market account	'	18,848,000
Total assets	'	18,848,000
Recurring | Fair value measurements using Level 2	'	'
Liabilities:	'	'
Interest rate swap agreements	647,000	694,000
Recurring | Fair value measurements using Level 2 | Interest rate swap agreements	'	'
Liabilities:	'	'
Interest rate swap agreements	647,000	694,000
Nonrecurring | Total	'	'
Assets:	'	'
Impaired accounts and notes receivable	4,497,000	5,746,000
Impaired goodwill	'	1,477,000
Impaired reacquired rights	'	412,000
Impaired customer lists	'	564,000
Impaired accounts and notes receivable and impaired customer lists	4,497,000	8,199,000
Total assets	'	27,047,000
Nonrecurring | Fair value measurements using Level 3	'	'
Assets:	'	'
Impaired accounts and notes receivable	4,497,000	5,746,000
Impaired goodwill	'	1,477,000
Impaired reacquired rights	'	412,000
Impaired customer lists	'	564,000
Impaired accounts and notes receivable and impaired customer lists	4,497,000	8,199,000
Total assets	'	$8,199,000

Related_Party_Transactions_Det

Related Party Transactions (Details) (Directors and their affiliated companies, and officers, USD $)	3 Months Ended	12 Months Ended	3 Months Ended
	Jul. 31, 2012	Apr. 30, 2012	Jul. 31, 2012	Jul. 31, 2011
			Common stock	Common stock
Related party transactions	'	'	'	'
Shares repurchased	'	'	20,100	23,800
Amount	'	'	$301,000	$357,000
Notes receivable	20,025	21,212	'	'
Repayments received during the year	$4,200	$971,300	'	'

Commitments_and_Contingencies_

Commitments and Contingencies (Details) (Minimum, USD $)	1 Months Ended
In Millions, unless otherwise specified	Jun. 30, 2012	Nov. 30, 2010
	ERC class action litigation	South Carolina litigation
Commitments and contingencies	'	'
Potential damages sought by plaintiffs	$5	$5

Restatement_of_Previously_Issu2

Restatement of Previously Issued Financial Statements (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Apr. 30, 2012
Developer rights term	'10 years	'
Receivables:	'	'
Notes	$46,916	$30,283
Interest	1,520	674
Allowance for doubtful accounts	-4,474	-4,496
Total receivables, net	62,495	64,782
Income tax receivable	6,095	286
Deferred income taxes	3,319	3,901
Total current assets	76,262	94,145
Notes receivable, excluding current portion	13,199	'
Allowance for uncollectible amounts for long-term notes receivable	-885	-794
Goodwill	6,350	5,400
Other intangibles	16,575	13,799
Accumulated amortization	-4,227	-3,485
Deferred income taxes	2,845	4,093
Other assets, net	2,590	2,585
Total assets	138,171	152,196
Due to area developers	9,987	15,956
Deferred revenue - short-term portion	7,325	6,920
Total current liabilities	27,787	46,471
Deferred revenue-long-term portion	11,616	12,411
Total liabilities	76,237	85,131
Retained earnings	54,602	60,965
Total stockholders' equity	61,934	67,065
Total liabilities and stockholders' equity	138,171	152,196
As Reported	'	'
Receivables:	'	'
Notes	56,730	'
Interest	2,818	'
Allowance for doubtful accounts	-4,952	'
Total receivables, net	73,129	'
Income tax receivable	6,204	'
Deferred income taxes	64	'
Total current assets	83,750	'
Notes receivable, excluding current portion	39,626	'
Allowance for uncollectible amounts for long-term notes receivable	-2,082	'
Goodwill	1,913	'
Other intangibles	31,676	'
Accumulated amortization	-6,193	'
Other assets, net	2,589	'
Total assets	176,741	'
Due to area developers	15,859	'
Deferred income taxes	1,607	'
Deferred revenue - short-term portion	2,845	'
Total current liabilities	30,786	'
Deferred income taxes	13,839	'
Total liabilities	81,459	'
Retained earnings	87,950	'
Total stockholders' equity	95,282	'
Total liabilities and stockholders' equity	176,741	'
Adjustments	'	'
Receivables:	'	'
Notes	-9,814	'
Interest	-1,298	'
Allowance for doubtful accounts	478	'
Total receivables, net	-10,634	'
Income tax receivable	-109	'
Deferred income taxes	-3,255	'
Total current assets	-7,488	'
Notes receivable, excluding current portion	-26,427	'
Allowance for uncollectible amounts for long-term notes receivable	1,197	'
Goodwill	4,437	'
Other intangibles	-15,101	'
Accumulated amortization	1,966	'
Deferred income taxes	2,845	'
Other assets, net	1	'
Total assets	-38,570	'
Due to area developers	-5,872	'
Deferred income taxes	-1,607	'
Deferred revenue - short-term portion	4,480	'
Total current liabilities	-2,999	'
Deferred revenue-long-term portion	11,616	'
Deferred income taxes	-13,839	'
Total liabilities	-5,222	'
Retained earnings	-33,348	'
Total stockholders' equity	-33,348	'
Total liabilities and stockholders' equity	($38,570)	'

Restatement_of_Previously_Issu3

Restatement of Previously Issued Financial Statements (Details 2) (USD $)	3 Months Ended
	Jul. 31, 2012	Jul. 31, 2011
Franchise fees	$666,000	$800,000
Area developer fees	1,923,000	1,683,000
Royalties and advertising fees	1,324,000	1,309,000
Interest income	2,548,000	1,798,000
Net gain on sale of company-owned offices and other revenue	265,000	427,000
Total revenues	7,244,000	6,332,000
General and administrative expenses	5,816,000	3,844,000
Area developer expense	717,000	622,000
Depreciation, amortization, and impairment charges	1,591,000	1,374,000
Total operating expenses	17,350,000	13,280,000
Loss from operations	-10,106,000	-6,948,000
Loss before income taxes	-10,396,000	-7,258,000
Income tax benefit	-4,033,000	-2,707,000
Net loss	-6,363,000	-4,551,000
Net loss per share of Class A and Class B common stock:	'	'
Basic and Diluted (in dollars per share)	($0.52)	($0.40)
As Reported	'	'
Franchise fees	2,486,000	1,362,000
Provision for refunds	75,000	159,000
Royalties and advertising fees	1,007,000	1,018,000
Interest income	2,659,000	2,021,000
Net gain on sale of company-owned offices and other revenue	191,000	311,000
Total revenues	6,786,000	4,868,000
General and administrative expenses	5,616,000	'
Depreciation, amortization, and impairment charges	1,891,000	1,622,000
Total operating expenses	16,733,000	12,906,000
Loss from operations	-9,947,000	-8,038,000
Loss before income taxes	-10,237,000	-8,348,000
Income tax benefit	-4,085,000	-3,369,000
Net loss	-6,152,000	-4,979,000
Net loss per share of Class A and Class B common stock:	'	'
Basic and Diluted (in dollars per share)	($0.51)	($0.44)
Adjustments	'	'
Franchise fees	-1,820,000	-562,000
Provision for refunds	-75,000	-159,000
Area developer fees	1,923,000	1,683,000
Royalties and advertising fees	317,000	291,000
Interest income	-111,000	-223,000
Net gain on sale of company-owned offices and other revenue	74,000	116,000
Total revenues	458,000	1,464,000
General and administrative expenses	200,000	'
Area developer expense	717,000	622,000
Depreciation, amortization, and impairment charges	-300,000	-248,000
Total operating expenses	617,000	374,000
Loss from operations	-159,000	1,090,000
Loss before income taxes	-159,000	1,090,000
Income tax benefit	52,000	662,000
Net loss	($211,000)	$428,000
Net loss per share of Class A and Class B common stock:	'	'
Basic and Diluted (in dollars per share)	($0.01)	$0.04

Restatement_of_Previously_Issu4

Restatement of Previously Issued Financial Statements (Details 3) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2012	Jul. 31, 2011
Net loss	($6,363)	($4,551)
Comprehensive loss	-6,546	-4,834
As Reported	'	'
Net loss	-6,152	-4,979
Comprehensive loss	-6,335	-5,262
Adjustments	'	'
Net loss	-211	428
Comprehensive loss	($211)	$428