Annual report pursuant to Section 13 and 15(d) 12-31-2018

Income Taxes (Tables)

v3.19.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2018
Income Tax Disclosure [Abstract]  
Schedule of Reconciliation Statutory Federal Income Tax Provision to Actual Income Tax Benefit

The following is a reconciliation of the expected statutory federal income tax provision to the actual income tax expense:

 

    December 31,  
    2018     2017  
Federal statutory rate     (21.0 )%     (35.0 )%
State taxes, net of federal benefit     (2.9 )%     (5.1 )%
Return to provision     0.0 %     (0.2 )%
Equity related expenses     (10.7 )%     (10.4 )%
Change in statutory rate     0.0 %     272.7 %
Change in valuation allowance     17.7 %     (222.1 )%
Goodwill impairment     14.7 %     0.0 %
Other permanent differences     2.2 %     0.1 %
Total income tax expense     0.0 %     0.0 %

 

    December 31,  
    2018     2017  
             
Pre-tax book income at statutory rate   $ (1,845 )   $ (3,265 )
State taxes, net of federal benefit     (252 )     (479 )
Return to provision     4       (21 )
Equity related expenses     501       (970 )
Changer in statutory rate     -       25,447  
Change in valuation allowance     1,556       (20,723 )
Other     36       11  
Total income tax expense   $ -     $ -  

Schedule of Significant Components of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities were as follows (in thousands):

 

    December 31,  
    2018     2017  
Deferred tax assets:                
Net operating loss carryforwards   $ 46,096     $ 41,840  
Stock-based compensation     2,918       2,907  
Inventory reserve     -       2,340  
Federal R&D credit     2,222       2,222  
Accrued expenses     49       492  
Depreciation     -       -  
Other     98       108  
Total deferred tax assets     51,383       49,909  
                 
Deferred tax liabilities:                
Depreciation     (31 )     (37 )
Intangibles     (134 )     (210 )
                 
Total deferred tax liabilities     (165 )     (247 )
Less valuation allowance     (51,352 )     (49,796 )
Net deferred tax liability   $ (134 )   $ (134 )