Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Summary of Loss Before Income taxes

The following table summarizes loss before income taxes:

	Years Ended December 31,
	2022			2021
U.S. pre-tax loss	$	(21,611,254	)	$	(17,156,070	)
Foreign pre-tax gain (loss)		27,615			33,375
Loss before income taxes	$	(21,583,639	)	$	(17,122,695	)

Components of Income Tax Expense

The components of income tax expense are as follows:

	Years Ended December 31,
	2022		2021
Current:
Federal	$	—	$	—
State		3,270		13,769
Foreign		7,567		8,706

Total current income tax expense	$	10,837	$	22,475
Deferred:
Federal	$	—	$	—
State		—		—
Foreign		—		—
Total deferred income tax expense	$	—	$	—
Total income tax expense	$	10,837	$	22,475

Schedule of Difference in Actual Income Tax Expense Computed by Applying the Statutory Federal Income Tax Rate to Loss Before Income Taxes

The Company’s actual income tax expense for the years ended December 31, 2022 and 2021 differ from the expected amount computed by applying the statutory federal income tax rate to loss before income taxes as follows:

	Years Ended December 31,
	2022			2021
Computed tax (benefit) at 21%	$	(4,532,565	)	$	(3,586,925	)
State taxes, net of federal benefit		(989,018	)		(1,177,951	)
Stock-based compensation		128,789			240,177
Foreign tax rate differential		5,635			(2,171	)
Return to provision		13,047			53,340
Nontaxable loan forgiveness		—			(360,570	)
Other		17,615			9,048
Research and development tax credit - state		(234,971	)		(265,362	)
Research and development tax credit - federal		(235,910	)		(212,408	)
Uncertain tax position adjustment for prior periods		(8,856	)		(6,395	)
Increase in valuation allowance		5,847,071			5,331,692
	$	10,837		$	22,475

Schedule of Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities comprise the following:

	Years Ended December 31,
	2022			2021
Deferred tax assets:
Net operating loss carryforwards	$	50,968,402		$	47,752,053
Research and development credits		4,393,368			3,940,199
R&D expenditures capitalization		2,001,908			—
Deferred revenue		45,373			42,802
Inventory reserve		310,983			6,806
Fixed assets and intangibles		291,244			304,019
Accrued NuvoGen liability		1,035,659			1,196,563
Lease liability		266,797			366,653
Other		755,029			711,343
Gross deferred tax assets		60,068,763			54,320,438
Valuation allowance		(59,805,688	)		(53,958,617	)
Deferred tax assets, net		263,075			361,821
Deferred tax liabilities:
Right of use asset		263,075			361,821
Total deferred tax liabilities		263,075			361,821
Net deferred tax assets (liabilities)	$	-		$	-

As of December 31, 2022, the Company has estimated federal and state net operating loss (“NOL”) carryforwards of approximately $206.2 million and $155.2 million, respectively. $121.6 million of the federal NOLs are scheduled to expire from 2023 through 2037, while the remaining NOLs do not expire. $154.2 million of the state NOLs are scheduled to expire from 2024 through 2042, while the remaining NOLs do not expire. The Company’s federal and state tax credit carryforwards begin expiring in 2023.

For financial reporting purposes, valuation allowances of $59.8 million and $54.0 million at December 31, 2022 and 2021, respectively, have been established to offset deferred tax assets relating primarily to NOLs and research and development credits. The increase in the valuation allowance of $5.8 million for the year ended December 31, 2022 was primarily due to increased operating losses. The Company has established a valuation allowance against its entire net deferred tax asset. As a result, the Company does not recognize any tax benefit until it is in a taxpaying position or there is no longer negative evidence leading to the conclusion that it is more likely than not that the benefits will not be realized.

Schedule of Reconciliation of Gross Unrecognized Tax Benefits

A reconciliation of the Company’s gross unrecognized tax benefits is as follows:

	Years Ended December 31,
	2022			2021
Balance at beginning of year	$	3,193,331		$	2,960,842
Increases to prior positions		—			—
Decreases to prior positions		(8,856	)		(6,395	)
Increases for current year positions		235,441			238,884
Balance at end of year	$	3,419,916		$	3,193,331