Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

The provision for income taxes consisted of the following for the years ended December 31, 2023, 2022, and 2021, respectively:


	Years ended December 31,
	2023		2022		2021
	(in thousands)
Current provision	$	—	$	—	$	—
Deferred expense	—		—		—
Provision for income taxes	$	—	$	—	$	—

Schedule of Effective Income Tax Rate Reconciliation

The provision for income taxes was different from the amount computed using the federal statutory rate of 21% for the years ended December 31, 2023, 2022, and 2021, respectively, due to the following:


	Years ended December 31,
	2023		2022		2021
	(in thousands)
Income tax provision at federal statutory rate (21%)	$	(44,806)	$	(71,157)	$	(123,429)
Hong Kong Rate Differential	(59)		—		—

Interest on convertible securities discount	—		—		2,867

162(m) Limitation	1,488		—		—

Warrant expense	18		(189)		13,905
Meals and entertainment	27		21		26

Stock based compensation	16,408		7,989		(5,665)
Prior year true-up	(221)		(30,646)		—
Other, net	(231)		317		(365)
Valuation allowance	27,376		93,665		112,661
Provision for income taxes	$	—	$	—	$	—

Schedule of Deferred Tax Assets and Liabilities

Principal components of net deferred tax balances at December 31, 2023 and 2022, respectively, were as follows:


	Years ended December 31,
	2023		2022
	(in thousands)
Deferred income tax assets:
Net operating loss carryforward (NOL)	$	320,416	$	294,335
Stock based compensation	66,251		56,743
Premium deficiency reserve	—		3,442
Unpaid claim reserve discounting	420		384
Operating lease liability	290		1,231
Fixed assets and intangible assets	1,590		1,589
Accruals	5,175		9,927
Goodwill & Intangible	3,601		—
Other	800		4,692
Total deferred income tax assets	398,543		372,343
Less: valuation allowance	(396,906)		(369,530)
Total deferred income tax assets, net of valuation allowance	1,637		2,813

Deferred income tax liabilities:
Operating lease right-of-use assets	(672)		(845)
Nontaxable gain on deconsolidation of entity	(943)		(1,936)
Other	(22)		(32)
Total deferred income tax liabilities	(1,637)		(2,813)
Net deferred income tax assets	$	—	$	—