Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.22.4
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Components of the provision for (benefit from) income taxes The components of the provision for (benefit from) income taxes were as follows (in thousands):
Year Ended December 31,
2022 2021 2020
Current
Federal $ —  $ —  $ — 
State $ —  $ 22  $ — 
Foreign $ 130  $ 43  $ — 
Deferred
Federal $ —  $ —  $ — 
State $ —  $ —  $ — 
Foreign $ (26) $ (5) $ — 
Total $ 104  $ 60  $ — 
Loss before income tax
Loss before income taxes was as follows (in thousands):
Year Ended December 31,
2022 2021 2020
United States $ (49,551) $ (51,777) $ (40,278)
Foreign (83) 147  (143)
Total $ (49,634) $ (51,630) $ (40,421)
Reconciliation of effective tax rate The following reconciles the differences between the federal statutory income tax rate in effect in each year to the Company’s effective tax rate:
Year Ended December 31,
2022 2021 2020
Statutory federal tax rate 21.00  % 21.00  % 21.00  %
State tax, net of federal tax effect 1.02  2.64  (0.74)
Stock compensation (4.07) 3.51  (3.49)
Change in valuation allowance (17.94) (27.21) (16.34)
Other (0.03) (0.06) (0.43)
Effective tax rate (0.02) % (0.12) % —  %
Components of deferred tax assets and liabilities
The components of deferred tax assets and (liabilities) were as follows (in thousands):
December 31, 2022 December 31, 2021
Deferred tax assets:
Net operating losses $ 42,181  $ 41,167 
Sales and use tax reserves 195  195 
Stock compensation 3,449  1,808 
Compensation related accruals 933  846 
Interest expense limitations 487  527 
Leases 1,421  1,123 
Other 55  55 
Fixed assets 736  475 
Capitalized research expenses 5,411  — 
Valuation allowance (48,723) (40,101)
Total deferred tax assets - net 6,145  6,095 
Deferred tax liabilities:
State taxes (1,267) (1,193)
Intangible assets (342) (528)
Deferred contract costs (4,512) (4,369)
Total deferred tax liabilities (6,121) (6,090)
Net deferred taxes assets $ 24  $
Activity of deferred tax asset valuation allowance
Activity of the deferred tax asset valuation allowance was as follows (in thousands):
Year Ended December 31,
2022 2021 2020
Balance at beginning of the year $ 40,101  $ 26,052  $ 20,537 
Charged to costs and expense 8,622  14,049  5,515 
Balance at end of the year $ 48,723  $ 40,101  $ 26,052