Income Taxes	9 Months Ended
Sep. 30, 2019
Income Taxes
Income Taxes	H) Income Taxes. Income tax benefit was $769,000 and $733,000 for the three and nine months ended September 30, 2019, respectively. Income tax benefit for the three and nine month periods ended September 30, 2019 were based on the U.S. statutory rate of 21%, increased by state income taxes, and reduced by permanent adjustments and research tax credits. As of September 30, 2019, we had a total of $5.9 million of deferred tax assets for which we had recorded no valuation allowance. We have assessed the need for a valuation allowance on our deferred tax assets. Based on our assessment of future sources of income, including reversing deferred tax liabilities, and future earnings, we have determined that it is more likely than not that the deferred tax assets will be realized, and therefore there is no valuation allowance required for the deferred tax assets. We will continue to assess the level of valuation allowance in future periods. Should evidence regarding the realizability of tax assets change at a future point in time, the valuation allowance will be adjusted accordingly.

Income Taxes

9 Months Ended

Sep. 30, 2019

H) Income Taxes. Income tax benefit was $769,000 and $733,000 for the three and nine months ended September 30, 2019, respectively. Income tax benefit for the three and nine month periods ended September 30, 2019 were based on the U.S. statutory rate of 21%, increased by state income taxes, and reduced by permanent adjustments and research tax credits.

As of September 30, 2019, we had a total of $5.9 million of deferred tax assets for which we had recorded no valuation allowance. We have assessed the need for a valuation allowance on our deferred tax assets. Based on our assessment of future sources of income, including reversing deferred tax liabilities, and future earnings, we have determined that it is more likely than not that the deferred tax assets will be realized, and therefore there is no valuation allowance required for the deferred tax assets. We will continue to assess the level of valuation allowance in future periods. Should evidence regarding the realizability of tax assets change at a future point in time, the valuation allowance will be adjusted accordingly.