Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.6.0.2
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2016
Income Tax Disclosure [Abstract]  
Schedule of Deferred Tax Assets and Liabilities
The significant components of the Company’s deferred taxes consist of the following:
 
 
 
As of December 31,
 
 
 
2016
 
2015
 
Deferred tax assets:
 
 
 
 
 
 
 
Net operating loss carryforwards
 
$
76,486
 
$
54,249
 
Amortization of up-front fees
 
 
7,277
 
 
4,442
 
Amortization of in-process R&D
 
 
742
 
 
599
 
Stock compensation
 
 
10,899
 
 
8,158
 
Accruals and reserves
 
 
4,025
 
 
210
 
Tax Credits
 
 
6,305
 
 
4,583
 
Start Up Costs
 
 
98
 
 
-
 
Unrealized loss on investments
 
 
1,095
 
 
358
 
Total deferred tax assets
 
 
106,927
 
 
72,599
 
Less valuation allowance
 
 
(94,688)
 
 
(66,730)
 
Net deferred tax assets
 
$
12,239
 
$
5,869
 
 
 
 
 
 
 
 
 
Deferred tax liabilities:
 
 
 
 
 
 
 
Intangibles
 
$
(4,449)
 
$
-
 
Basis in subsidiary
 
 
(7,790)
 
 
(5,869)
 
Total deferred tax assets, net
 
$
-
 
$
-
 
Schedule of Effective Income Tax Rate Reconciliation
A reconciliation of the statutory tax rates and the effective tax rates is as follows:
 
 
 
For the Year Ended December 31,
 
 
 
2016
 
2015
 
2014
 
Percentage of pre-tax income:
 
 
 
 
 
 
 
 
 
 
U.S. federal statutory income tax rate
 
 
35
%
 
35
%
 
35
%
State taxes, net of federal benefit
 
 
3
%
 
5
%
 
5
%
Credits
 
 
2
%
 
1
%
 
6
%
Non-deductible items
 
 
(4)
%
 
-
%
 
(1)
%
Provision to return
 
 
2
%
 
-
%
 
-
%
Stock based compensation shortfall
 
 
(2)
%
 
(1)
%
 
-
%
Other
 
 
-
%
 
1
%
 
-
%
Change in valuation allowance
 
 
(33)
%
 
(44)
%
 
(45)
%
Change in subsidiary basis
 
 
(3)
%
 
3
%
 
-
%
Effective income tax rate
 
 
-
%
 
-
%
 
-
%