INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2019

Schedule of (benefit from) provision for income taxes

The (benefit) provision for income taxes consists of the following (in thousands):



	Year ended December 31,
	2019			2018		2017
Current:
Federal	$	(1,231	)	$	896	$	384
State	1,715			171		(1,813		)
Total current taxes	$	484		$	1,067	$	(1,429	)
Deferred:
Federal	$	(5,767	)	$	—	$	—
State	—			—		—
Total deferred taxes	(5,767		)	—		—
Total (benefit) provision for income taxes	$	(5,283	)	$	1,067	$	(1,429	)

Schedule of reconciliation of income taxes at the statutory federal income tax rate to the actual tax rate

A reconciliation of income taxes at the statutory federal income tax rate to the actual tax rate included in the Statements of Comprehensive Income is as follows (in thousands):



	Year ended December 31,
	2019			2018			2017
Tax at federal statutory rate	$	(46,722	)	$	7,975		$	(36,374	)
State tax, net of federal benefit	(3,845		)	3,280			(3,395		)
Research credit	(138		)	(41		)	(41		)
Stock based compensation	2,038			1,259			159
Non-deductible meals and entertainment	129			223			973
Non-deductible other expense	5,837			308			6,508
Change in valuation allowance	48,943			(12,321		)	4,792
Uncertain tax provisions	(5,758		)	384			(1,611		)
Intraperiod tax allocations	(5,767		)	—			—
Tax rate changes	—			—			27,560
Total tax (benefit) expense	$	(5,283	)	$	1,067		$	(1,429	)

Schedule of significant components of the Company's deferred tax assets

Significant components of the Company’s deferred tax assets are as follows (in thousands):



	December 31,
	2019			2018
Deferred tax assets:
Net operating losses	$	5,885		$	6,618
Tax credit carryforwards	1,411			1,096
Intangibles	82,582			33,604
Stock-based compensation	1,907			2,286
Operating lease liabilities	1,577
Reserves and other accruals not currently deductible	10,447			10,706
Total deferred tax assets	103,809			54,310
Valuation allowance for deferred tax assets	(90,820		)	(41,905		)
	$	12,989		$	12,405
Deferred tax liabilities:
Convertible debt	$	(12,247	)	$	(12,213	)
Fixed Assets	(109		)	(192		)
Operating lease right-of-use assets	(633		)	—
Net deferred tax asset (liability)	$	—		$	—

Summary of the activity related to the entity's unrecognized tax benefits

The following table summarizes the activity related to the Company’s unrecognized tax benefits for the three years ended December 31, 2019 (in thousands):



Unrecognized tax benefits—January 1, 2017	$	14,687
Increases related to current year tax positions	3,423
Changes in prior year tax positions	(30		)
Decreases related to lapse of statutes	(936		)
Unrecognized tax benefits—December 31, 2017	17,144
Increases related to current year tax positions	611
Changes in prior year tax positions	(1,623		)
Decreases related to lapse of statutes	(68		)
Unrecognized tax benefits—December 31, 2018	16,064
Increases related to current year tax positions	212
Changes in prior year tax positions	(232		)
Decreases related to lapse of statutes	(12,011		)
Unrecognized tax benefits—December 31, 2019	$	4,033