INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2018

INCOME TAXES [Abstract]

(Benefit) Provision for Income Taxes

The (benefit from) provision for income taxes for the years ended December 31, 2018 and 2017 is comprised of the following:

	2018			2017
Current
Federal	$	-		$	(97,339	)
State		10,914			9,034
Foreign		-			-
Total current (benefit) provision		10,914			(88,305	)
Deferred
Federal		-			-
State		-			-
Foreign		(78,435	)		-
Total deferred (benefit) provision		(78,435	)		-
Total (benefit) provision	$	(67,521	)	$	(88,305	)

Deferred Tax Assets and Liabilities

	2018			2017
Inventory reserves	$	204,206		$	244,158
Accrued expenses		175,168			102,332
Net operating loss carry-forwards		7,122,576			5,800,144
Research and development credit		1,696,870			1,918,137
Stock-based compensation		215,797			167,522
Depreciation		139,362			91,258
Total deferred tax assets		9,553,979			8,323,551
Intangibles		(968,849	)		(341,042	)
Total deferred tax liabilities		(968,849	)		(341,042	)
Net deferred tax assets before valuation allowance		8,585,130			7,982,509
Less valuation allowances		(9,477,438	)		(8,323,551	)
Net noncurrent deferred tax liabilities	$	(892,308	)	$	(341,042	)

Components of (Loss) Before Income Taxes

The components of (loss) before income taxes consisted of the following:

	Year Ending December 31,
	2018			2017
United States operations	$	(7,137,428	)	$	(6,054,002	)
International operations		(795,742	)		(406,063	)
(Loss) before taxes	$	(7,933,170	)	$	(6,460,065	)

Reconciliation of Federal Statutory Rate to Effective Rate Applicable to Loss Before Income Taxes

A reconciliation of the Federal statutory rate to the effective rate applicable to loss before income taxes is as follows:

	Year Ending December 31,
	2018			2017
Federal income tax at statutory rates		21.00	%		34.00	%
State income taxes, net of federal benefit		(.10	)%		(0.09	)%
Nondeductible expenses		(1.58	)%		(1.04	)%
Foreign rate differential		.36	%		(2.14	)%
Change in valuation allowance		(18.44	)%		(99.41	)%
Impact of Tax Act on valuation allowance		-	%		60.48	%
AMT refund under Tax Act		-	%		1.51	%
Tax credits		-	%		7.07	%
Other		(.39	)%		0.99	%
Income tax benefit		.85	%		1.37	%