Income Taxes

9 Months Ended

Sep. 30, 2023

Income Tax Disclosure [Abstract]

Income Taxes

15. Income Taxes

The consolidated effective tax rate was (0.1)% and (0.3)% for the nine months ended September 30, 2023 and 2022, respectively. The difference between the rate for the three months ended September 30, 2023 and 2022 and the U.S. federal income tax rate of 21% was due primarily to a full valuation allowance against the Company’s net deferred tax assets.

As of September 30, 2023 and 2022, the Company has $4.1 million and $2.2 million of unrecognized tax benefits, respectively, fully offset by a valuation allowance. No material interest or penalties were incurred during the nine months ended September 30, 2023 and 2022.