Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Taxes

Components of the provision (benefits) for income taxes

	Year Ended December 31,
	2023		2022		2021
Current:
Federal	$	(317)	$	848	$	223
State		41		34		91
Foreign		(62)		918		3,119
Total current		(338)		1,800		3,433
Deferred:
Federal		(9)		(591)		(188)
State		(7)		(4)		(1)
Foreign		514		980		(2,151)
Total deferred		498		385		(2,340)
Total provision for income taxes	$	160	$	2,185	$	1,093

Reconciliation of the effective income tax rates and the U.S. statutory federal income tax rate

	Year Ended December 31,
	2023		2022		2021
Statutory federal income tax rate	21.0	%	21.0	%	21.0	%
State income taxes, net of federal tax benefits	(0.6)		0.1		0.4
Valuation allowance	(25.7)		(19.3)		(25.4)
Stock-based compensation	(1.7)		0.7		(3.2)
Foreign tax rate differential	6.1		(2.6)		(8.6)
Foreign tax incentives	0.1		(3.5)		(3.2)
Foreign income inclusion	—		18.9		10.4
Gain from sale of IP	—		—		16.9
Tax effect in equity method loss or gain from unconsolidated affiliates	0.4		(3.0)		(2.6)
Other	(0.4)		(1.8)		0.5
Effective tax rate	(0.8)	%	10.5	%	6.2	%

Deferred tax assets and liabilities

Deferred tax assets and liabilities are summarized below (in thousands):

	As of December 31,
	2023		2022
Deferred tax assets:
Net operating loss carryforwards	$	14,362	$	9,571
Accruals, reserves and other		4,349		4,053
Credit carryforwards		325		206
Operating lease liability		206		60
Gross deferred tax assets		19,242		13,890
Valuation allowance		(17,462)		(11,885)
Total deferred tax assets		1,780		2,005
Deferred tax liabilities:
Operating lease right-of-use assets		(323)		(50)
Total net deferred tax assets (included in other assets)	$	1,457	$	1,955

As of December 31, 2023 we have federal net operating loss (“NOL”) carryforwards of approximately $40.2 million, which will begin to expire in 2025. We have California net operating loss carryforwards of approximately $115,000 as of December 31, 2023.