Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

(Loss) Income from Continuing Operations Before Income Taxes

Loss before income taxes consisted of the following components:


	Year Ended December 31,
	2019		2018
United States	$	(18,341,000)	$	(16,702,000)
Foreign		(1,138,000)		—
Total	$	(19,479,000)	$	(16,702,000)

The company has not recognized any current or deferred tax expense on its US and Foreign pre-tax losses for the years ended December 31, 2019 and 2018.

Reconciliation of Statutory to Effective Tax Rates

The company has not recognized any current or deferred tax expense on its US and Foreign pre-tax losses for the years ended December 31, 2019 and 2018.

The differences between the Company’s effective tax rate and the U.S. federal statutory tax rate were as follows:


	December 31,
	2019		2018
U.S. federal statutory income tax rate	21.0	%	21.0	%
Adjustments for tax effects of:
State income taxes, net of federal tax	2.6	%	7.0	%
Stock-based compensation	(0.5)	%	0.0	%
Change in valuation allowance	(22.7)	%	(28.0)	%
Net operating loss carryforwards and credit expirations	(3.1)	%	—	%
Stock issuance costs	(1.2)	%	—	%
Gain on derivative liability extinguishment	1.2	%	—	%
Slovenia facility sale	1.9	%	—	%
Permanent differences	1.3	%	—	%
Other	(0.5)	%	—	%
Effective income tax rate	0.0	%	0	%

Components of Deferred Tax Assets

Significant components of the Company’s deferred tax assets and liabilities were as follows:


	December 31,
	2019		2018
Deferred tax assets:
Net operating loss carryforwards	$	26,291,000	$	17,035,000
Capitalized research and development		15,262,000		15,504,000
Deferred consideration		—		313,000
Stock-based compensation		1,358,000		934,000
Depreciation and amortization		1,632,000		1,237,000
Lease accounting		801,000		189,000
Other		981,000		906,000
Total deferred tax assets before valuation allowance		46,325,000		36,118,000
Less: valuation allowance		(45,670,000)		(36,118,000)
Total deferred tax assets after valuation allowance		655,000		—

Deferred tax liabilities:
Right-of-use asset		(655,000)		—
In-process research and development		(3,077,000)		—
Total deferred tax liabilities		(3,732,000)		—
Net deferred tax liability	$	(3,077,000)	$	—