Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.20.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2018
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit)

The components of income tax expense (benefit) are as follows:

 

    December 31  
    2018     2017  
Current:                
Federal   $ —     $ —  
State and local     82       —  
      82       —  
Deferred:                
Federal     731       356  
State and local     273       204  
      1,004       560  
Change in valuation allowance     —       —  
Income tax provision (benefit)   $ 1,086     $ 560  

Schedule of Deferred Tax Assets

Significant components of the Company’s deferred tax assets at December 31, 2017 and 2016 are as follows:

 

    December 31  
    2018     2017  
Deferred tax assets:                
Net operating loss carryforwards   $ 39,996     $ 18,587  
Interest expense limitation     1,983       —  
Accrued liabilities     1,442       1,139  
Intangible assets     1,201       1,119  
Stock-based compensation     1,395       1,061  
Reserves     95       219  
Gross deferred tax assets     46,112       22,125  
Valuation allowance     (41,121 )     (21,682 )
Gross deferred tax assets after valuation allowance     4,991       443  
Deferred tax liability – unrealized gains     (4,557 )     —  
Deferred tax liability – goodwill     (1,641 )     (560 )
Deferred tax liability – property and equipment     (434 )     (443 )
Net deferred tax liability   $ (1,641 )   $ (560 )

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the federal statutory tax rate and the effective tax rates for the years ended December 31, 2018 and 2017 is as follows:

 

    December 31  
    2018     2017  
U.S federal statutory rate     21.0 %     34.0 %
State income taxes, net of federal benefit     6.5 %     1.7 %
Nondeductible – meals & entertainment     (0.1 )%     (0.1 )%
Warrant derivative gains or losses     4.2 %     (0.1 )%
Impact of tax law change     — %     (15.5 )%
Change in valuation allowance     (32.9 )%     (20.9 )%
Other     (0.6 )     0.2 %
Effective tax rate     (1.9 )%     (0.7 )%