Income Taxes

9 Months Ended

Sep. 30, 2023

Income Taxes

Income Taxes

15. Income Taxes

The Company is in an overall net deferred tax liability position as of September 30, 2023. Management has assessed that the future taxable income resulting from the deferred tax liability position will result in utilization of the Company’s US federal and state net operating loss carryforwards in future tax periods. The Company is in a net deferred tax asset position in Canada and a full valuation allowance against the Canada deferred tax assets remains necessary as a result of the historical losses and the uncertainty of realizing any future tax benefits related to the Canadian deferred tax assets.  The Company’s effective tax rate varies from the statutory federal rate primarily due to the change in valuation allowance.