Note 7 - Income Taxes

6 Months Ended

Jun. 30, 2017

Notes to Financial Statements

Income Tax Disclosure [Text Block]

7. Income Taxes

Deferred taxes are recognized for temporary differences between the basis of assets and liabilities for financial statement and income tax purposes. The Company has evaluated the positive and negative evidence bearing upon the Company’s ability to realize the benefit of its deferred tax assets. Based on the Company’s history of operating losses, the Company has concluded that it is more likely than

not

that the benefit of its deferred tax assets will

not

be realized. Due to the uncertainty surrounding the realization of the favorable tax attributes in future tax returns, the Company has provided a full valuation allowance against its deferred tax assets. There were

no

significant income tax provisions or benefits for the

six

months ended

June 30, 2017

and

2016.

The Company adopted ASU

2016

-

09,

Improvements to Employee Share-Based Payment Accounting

, for the quarter ended

March 31, 2017. 

As a result of adoption, the deferred tax assets associated with net operating losses were increased by

$0.6

million. These amounts were be offset by a corresponding increase in the valuation allowance.