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Income Taxes (Tables)
12 Months Ended
Dec. 31, 2021
Income Taxes [Abstract]  
Components of Income Tax Expense

Income tax expense consists of the following (in thousands):

 
 
Year Ended
December 31,
 
 
 
2021
   
2020
 
Current:
           
Federal
 
$
   
$
 
State
   
22
     
21
 
 
   
22
     
21
 
Deferred:
               
Federal
   
23
     
129
 
State
   
(11
)
   
125
 
 
   
12
     
254
 
Income tax expense
 
$
34
   
$
275
 
Components of Deferred Tax Liability for Federal Income Taxes

Significant components of the Company’s deferred tax liability for federal income taxes consisted of the following:
 
 
 
December 31,
 
 
 
2021
   
2020
 
Deferred tax assets (liabilities) (in thousands)
           
Net operating loss carryforwards
 
$
46,596
   
$
45,819
 
Intangible assets
   
1,039
     
1,450
 
Inventory
   
26
     
51
 
Reserves and accrued expenses
   
1,230
     
896
 
Property and equipment
   
441
     
(178
)
Stock-based compensation
   
458
     
808
 
Operating lease right-of-use assets
   
(159
)
   
(249
)
Goodwill
    (950 )     (815 )
Operating lease liability
   
177
     
272
 
481(a) adjustment
   
(667
)
   
 
Less: valuation allowance
   
(48,457
)
   
(48,308
)
Net deferred tax liability
 
$
(266
)
 
$
(254
)
Net Operating Loss Carryforwards

The Company had net operating loss (“NOL”) carryforwards for federal and state income tax purposes as follows (in thousands):
 
 
 
December 31,
 
Combined NOL carryforwards:
 
2021
   
2020
 
Federal
 
$
204,314
   
$
200,976
 
State
 
$
60,654
   
$
43,501
 
Reconciliation of Income Tax Expense

A reconciliation of income tax expense at the statutory federal income tax rate and income taxes as reflected in the consolidated financial statements is as follows:

 
 
December 31,
 
Rate reconciliation:
 
2021
   
2020
 
Federal tax expense at statutory rate
   
21.00
%
   
21.00
%
State tax, net of federal benefit
   
(0.33
)%
   
6.59
%
Permanent differences
   
8.90
%
   
(2.75
)%
Other difference and true ups
   
(25.27
)%
   
(2.58
)%
Change in valuation allowance
   
(5.57
)%
   
(28.90
)%
Tax provision
   
(1.27
)%
   
(6.64
)%