PROVISION FOR INCOME TAXES

9 Months Ended

Sep. 30, 2021

Income Taxes Paid, Net [Abstract]

PROVISION FOR INCOME TAXES

NOTE 7: PROVISION FOR INCOME TAXES    

The Company recognized an income tax expense of $1,497 and $498 for the three months ended September 30, 2021, and 2020, respectively, and $4,749 and $2,404 for the nine months ended September 30, 2021 and 2020, respectively. The tax expense for these periods was primarily attributable to pre-tax foreign earnings. The Company’s effective tax rates of (6)% and (8)% for the three months ended September 30, 2021 and 2020, respectively, and of (12)% and (12)%, for the nine months ended September 30, 2021 and 2020, respectively, differ from the U.S. statutory tax rate primarily due to U.S. losses for which there is no benefit and the tax rate differences between the United States and foreign countries.

The Company has a full valuation allowance on its deferred tax assets. As a result, consistent with the prior year, the Company does not record a tax benefit on its losses because it is more likely than not that the benefit will not be realized.