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]  
Schedule of Current and Deferred Provision (benefit) for Income Taxes

The following table presents the current and deferred provision (benefit) for income taxes for the years ended December 31, 2017:

 

    2017     2016  
US Net Income/(loss)   (31,125,181 )   (21,151,022 )
Foreign Net Income (loss)     (208,388 )     (7,677,850 )
    (31,333,569 )   (28,828,872 )

 

    2017     2016  
Current:            
Federal   $ 3,715     $ 53,634  
State   (50,318 )   101,969  
Foreign       4,077  
    $ (46,603 )   $ 159,680  
Deferred:            
Federal   $ (57,349 )   $ 10,182,479  
State       1,996,064  
Foreign       (821,416 )
    $ (57,349 )   $ 11,357,127  
Total provision (benefit)   $ (103,952 )   $ 11,516,807  

Schedule of Differences Between the Company's Effective Tax Rate and the Statutory Federal Rate (in Dollars)

The table below summarizes the differences between the Company’s effective tax rate and the statutory federal rate for the years ended December 31, 2017 and 2016.

 

    2017     2016  
Tax benefit computed at “expected” statutory rate   $ (10,838,495 )   $ (6,018,384 )
State income taxes, net of benefit   (2,546,747 )   (406,978 )
Permanent differences:            
Deemed Dividend        
Stock based compensation and consulting       525,774  
Federal Rate Change   8,994,945      
Other permanent differences   423,376     (345,981)  
Foreign rate Differential   6,289     350,180  
Amortization of patents and other        
Change in valuation allowance   3,856,680     17,412,196  
Net income tax benefit   $ (103,952 )   $ 11,516,807  

Schedule of Differences Between the Company's Effective Tax Rate and the Statutory Federal Rate (as a Percent)

The table below summarizes the differences between the Companies’ effective tax rate and the statutory federal rate as follows for the years ended December 31, 2017 and 2016:

 

    2017     2016  
             
Computed “expected” tax expense (benefit)     (34.00 )%     (34.00 )%
State income taxes     (7.99 )%     (2.30 )%
Permanent differences     1.33 %     2.97 %
Change in federal rate     28.52 %     %
Timing differences     %     %
Change in valuation allowance     12.10 %     98.37 %
                 
Effective tax rate     (0.33 )%     65.04 %

Schedule of Deferred Tax Assets

The Company has a deferred tax asset, which is summarized as follows at December 31:

 

    2017     2016  
Deferred tax assets:            
Total deferred tax assets   $ 21,119,444     $ 17,412,196  
Total deferred tax liabilities        
Less: valuation allowance   (21,062,094 )   (17,412,196)  
Net deferred tax asset   $ 57,349     $  

Schedule of Deferred Tax Asset and Deferred Tax Liability

The details of the deferred tax asset and deferred tax liability are as follows:

 

    2017     2016  
Accruals   $ 8,109,756     $ 89,649  
Reserves        
Fixed Assets   (1,627 )   (6,968 )
Intangible Assets   4,945,823     7,005,648  
Inventory        
State Taxes   285,326      
Other   2,032,641     1,839,980  
Charitable Contributions   6,277     4,410  
Net Operating Loss   5,683,900     8,425,843  
AMT Credit   57,349     53,634  
Valuation Allowance   (21,062,096 )   (17,412,196  
Net Deferred Asset/(Liability)   $ 57,349     $