Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.23.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Schedule of components of loss before income taxes
The components of loss before income taxes are as follows:
Year Ended December 31,
2022 2021
Domestic $ (10,563,302) $ (10,639,818)
Foreign (3,133,318) (3,323,470)
Total Loss Before Income Taxes $ (13,696,620) $ (13,963,288)
Schedule of components of income tax expense
The components of income tax (benefit) expense are as follows:
Year Ended December 31,
2022 2021
Deferred Taxes:
Federal $ 4,954  $ (24,086)
State (117,964) (168,517)
Total Deferred Taxes $ (113,010) $ (192,603)
Income Tax Benefit $ (113,010) $ (192,603)
Schedule of effective income tax rate reconciliation
The difference between the effective rate reflected in the provision for income taxes on loss before taxes and the amounts determined by applying the applicable statutory U.S. tax rate are analyzed below:
Year Ended December 31,
2022 2021
United States Federal Income Tax Rate 21.00  % 21.00  %
State Taxes, Net of Federal Benefit (2.59) 3.35 
Permanent Differences (9.24) 0.72 
Goodwill Impairment —  (6.07)
Change in Valuation Allowance (9.53) (21.33)
Research and Development Credits 0.58  1.09 
Tax Rate Differential 2.89  1.00 
State Non-Income Based Tax —  0.01 
Other (0.26) 1.61 
Effective Tax Rate Expense 2.84  % 1.38  %
Schedule of deferred tax assets and liabilities
The Company’s deferred tax assets and liabilities consist of the following:
Year Ended December 31,
2022 2021
Net Deferred Tax Liability:
Net Operating Loss Carryforwards $ 22,809,667  $ 20,689,134 
Research and Development Credit Carryforwards 2,925,890  2,853,598 
Capitalized Research and Development 4,606,902  5,640,428 
Stock-Based Compensation 782,355  835,432 
Cash Versus Accrual Adjustments 336,360  128,188 
Total Deferred Tax Assets 31,461,174  30,146,780 
Valuation Allowance (29,593,286) (28,298,339)
Net Deferred Tax Asset 1,867,888  1,848,441 
Depreciation and Amortization (477) (956)
In-Process Research and Development (2,556,532) (2,649,616)
Net Deferred Tax Liability $ (689,121) $ (802,131)