Note 14. Income taxes

Significant components of deferred tax assets were as follows as of December 31:

	2015			2014
U.S. federal tax loss carry–forward	$	14,229		$	10,779
U.S. State tax loss carry–forward		1,137			1,498
U.S. federal capital loss carry–forward		188			188
U.S. foreign tax credit carry–forward		–			–
Equity–based compensation, fixed assets and other		–			1,598
Total deferred tax assets		15,554			14,063
Less: valuation allowance		(15,554	)		(14,063	)
Net deferred tax asset	$	–		$	–

As of December 31, 2015, the Company had the following tax attributes:

	Amount		Begins to expire
U.S. federal net operating loss carry–forwards	$	36,306		Fiscal 2023
U.S. State net operating loss carry–forwards		20,739		Fiscal 2031
U.S. federal capital loss carry–forwards		553		Fiscal 2015

As it is not more likely than not that the resulting deferred tax benefits will be realized, a full valuation allowance has been recognized for such deferred tax assets. For the year ended December 31, 2015, the valuation allowance increased by $1,491. Federal and state laws impose substantial restrictions on the utilization of tax attributes in the event of an “ownership change,” as defined in Section 382 of the Internal Revenue Code. Currently, the Company does not expect the utilization of tax attributes in the near term to be materially affected as no significant limitations are expected to be placed on these tax attributes as a result of previous ownership changes. If an ownership change is deemed to have occurred as a result of equity ownership changes or offerings, potential near term utilization of these assets could be reduced.

The provision for/(benefit from) income tax differs from the amount computed by applying the statutory federal income tax rate to income before the provision for/(benefit from) income taxes. The sources and tax effects of the differences are as follows for the years ended December 31:

	2015			2014
Expected Federal Tax		(34.00	)%		(34.00	)%
State Tax (Net of Federal Benefit)		(5.48	)		(5.48	)
Permanent differences		—			0.12
Loss of NOL benefit of closed foreign entity		—			—
Write–off of deferred tax asset		—			4.29
Adjustments to deferred tax balances		—			(8.34	)
Foreign tax credit		—			—
Other		—			0.05
Change in valuation allowance		39.48			43.36
Effective rate of income tax		0	%		0	%

The Company files income tax returns in the U.S. federal jurisdiction, New York State and New Jersey jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal, state and local, or non–U.S. income tax examinations by tax authorities for years before 2012.