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INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2020

Income tax benefit from (provisions for) the years ended December 31, 2020 and 2019 consisted of the following (in thousands):


	For the Year Ended December 31,
	2020			2019
Income (loss) before provision for income taxes	$	3,159		$	(19,573)
Benefit from (provision for) income taxes	2,242			(471)
Effective tax rate	(71.0)		%	(2.4)		%

Schedule of pre-tax book income or loss from continuing operations

The components of our income (loss) before benefit from (provision for) income taxes were as follows (in thousands):


	For the Year Ended December 31,
	2020		2019
Domestic	$	(4,602)	$	(17,970)
Foreign	7,761		(1,603)
Total	$	3,159	$	(19,573)

Schedule of provisions for income taxes

The benefit from (provisions for) income taxes consisted of the following (in thousands):


	For the Year Ended December 31,
	2020		2019
Current:
U.S, federal	—		$	—
States and local	(3)		(3)
Foreign	(114)		(190)
Total current	$	(117)	$	(193)
Deferred:
U.S, federal	—		—
States and local	—		—
Foreign	2,359		(278)
Total deferred	2,359		(278)
Total benefit from (provision for) income taxes	$	2,242	$	(471)

Details of significant components of net deferred tax assets and liabilities

Deferred tax assets and liabilities are recognized for the temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes, tax losses, and credit carryforwards.

Significant components of the net deferred tax assets and liabilities consisted of (in thousands);


	December 31,
	2020		2019
Deferred tax assets:
Net operating loss carryforwards	$	9,239	$	4,936
State income taxes	1		1
Deferred revenue	5,426		6,291
Research and development and other credits	8,638		8,282
Reserve and accruals recognized in different periods	1,027		1,128
Capitalized research and development expenses	3,318		3,447
Depreciation and amortization	3,134		3,636
Lease liability	351		806
Total deferred tax assets	31,134		28,527
Valuation allowance	(28,475)		(28,057)
Net deferred tax assets	2,659		470
Deferred tax liabilities:
Right of use lease assets	(344)		(466)
Foreign credits	(14)		(23)
Other deferred tax liabilities	—		(40)
Total deferred tax liabilities	(358)		(529)
Net deferred taxes	$	2,301	$	(59)

Reconciliation between provision for income taxes at statutory rate and effective tax rate

reconciliation between the effective federal statutory rate and our effective tax rates are as follows:


	For the Year Ended December 31,
	2020		2019
Federal statutory rate	21.0	%	21.0	%
Foreign withholding	2.0	%	(0.3)	%
Stock-based compensation expense	12.9	%	(11.3)	%
Foreign rate differential	(33.0)	%	(2.6)	%
Prior year true-up items	1.1	%	0.2	%
Tax reserves	(4.0)	%	(2.1)	%
Other	0.1	%	(1.3)	%
FTC conversion true up	(10.3)	%	(5.9)	%
State taxes, net of federal benefit	0.1	%	—	%
Global intangible low-taxed income	21.0	%	—	%
Nondeductible officers compensation	3.5	%	(0.2)	%
Irish corporation restructure	(169.2)	%	—	%
Valuation allowance	83.8	%	0.1	%
Effective tax rate	(71.0)	%	(2.4)	%

Reconciliation of beginning and ending amount of gross unrecognized tax benefits

A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows (in thousands):


	For the Year Ended December 31,
	2020		2019
Balance at beginning of year	$	4,826	$	4,611
Gross increases for tax positions of prior years	—		394
Gross increases for tax positions of current year	10		34
Lapse of statute of limitations	(311)		(213)
Balance at end of year	$	4,525	$	4,826