Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

v3.8.0.1
INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2017
Income Tax Disclosure [Abstract]  
Income tax expense differs from statutory amounts
Income tax expense differs from the statutory amounts as follows:
 
 
 
2017
 
2016
 
 
 
 
 
 
 
 
 
Income taxes at U.S. statutory rate
 
$
(9,289,000)
 
$
(7,437,000)
 
Current year reserve
 
 
(25,175,000)
 
 
7,423,000
 
Expenses not deductible
 
 
46,000
 
 
14,000
 
Rate change
 
 
34,418,000
 
 
-
 
 
 
 
 
 
 
 
 
Total tax expense
 
$
-
 
$
-
 
Temporary differences that give rise to deferred tax assets (liabilities)
The temporary differences that give rise to deferred tax assets and liabilities were as follows:
 
 
 
December 31,
 
 
 
2017
 
2016
 
Deferred tax assets (liabilities):
 
 
 
 
 
 
 
Net operating loss carryforwards
 
$
50,029,000
 
$
73,864,000
 
General business credit carryforwards
 
 
3,227,000
 
 
2,557,000
 
State credits
 
 
3,089,000
 
 
3,089,000
 
Property, equipment and goodwill
 
 
(28,000)
 
 
(23,000)
 
Stock options
 
 
5,122,000
 
 
6,450,000
 
Derivatives
 
 
(57,000)
 
 
(92,000)
 
Deferred revenue
 
 
778,000
 
 
1,464,000
 
Intangible assets
 
 
379,000
 
 
228,000
 
Accrued interest
 
 
156,000
 
 
253,000
 
Other
 
 
143,000
 
 
231,000
 
Gross deferred tax assets
 
 
62,838,000
 
 
88,021,000
 
Valuation allowance
 
 
(62,838,000)
 
 
(88,021,000)
 
Net deferred taxes
 
$
-
 
$
-
 
Net operating loss carryforwards and general business credits expiration dates
These carryforwards expire as follows:
 
 
 
Net operating loss carryforwards
 
General business credit
carryforwards
 
2018
 
$
3,324,000
 
$
112,000
 
2019
 
 
3,306,000
 
 
95,000
 
2020
 
 
5,125,000
 
 
226,000
 
2021
 
 
5,378,000
 
 
56,000
 
Thereafter
 
 
221,102,000
 
 
2,165,000
 
 
 
$
238,235,000
 
$
2,654,000