Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

Components of Loss Before Income Tax Benefit

The components of loss before income tax benefit were as follows (in thousands):

	Year Ended December 31,
	2019			2018			2017
Domestic	$	(61,292	)	$	(77,066	)	$	(76,503	)
Foreign		(23,492	)		(19,074	)		(26,724	)
Total	$	(84,784	)	$	(96,140	)	$	(103,227	)

Components of Income Tax Provision (Benefit)

The income tax benefit consists of the following (in thousands):

	Year Ended December 31,
	2019			2018			2017
Current income tax benefit:
Federal	$	—		$	(637	)	$	(17,544	)
State		—			—			—
Foreign		—			—			—
Total	$	—		$	(637	)	$	(17,544	)
Deferred income tax benefit:
Federal		—			—			6,319
State		—			—			—
Foreign		(2,412	)		(146	)		(139	)
Total		(2,412	)		(146	)		6,180
Total income tax benefit	$	(2,412	)	$	(783	)	$	(11,364	)

Reconciliation of Statutory U.S. Federal Rate to Effective Tax Rate

A reconciliation of the statutory U.S. federal rate to the Company’s effective tax rate is as follows:

	Year Ended December 31,
	2019			2018			2017
Expected provision at statutory rate federal rate		(21.0	%)		(21.0	%)		(35.0	%)
State taxes, net of federal benefits		—			—			—
U.S. tax credits		(3.8	)		(2.8	)		(6.4	)
Add back of Orphan Drug Credit		—			—			1.4
Incentive stock option compensation		2.7			1.3			(3.2	)
Tax Cuts and Jobs Act impact		—			—			29.0
Other		(2.7	)		(2.6	)		(0.4	)
Foreign income tax rate differential		0.5			0.5			3.4
Change in valuation allowance		24.1			23.8			0.2
Intangible Asset Impairment		(2.7	)		—			—
Total		(2.9	%)		(0.8	%)		(11.0	%)

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences and carryforwards that give rise to significant portions of the deferred tax assets and liabilities are as follows (in thousands):

	Year Ended December 31,
	2019			2018
Deferred tax assets:
Net operating loss carryforwards	$	56,442		$	38,562
Tax credits		40,637			41,193
Stock-based compensation		6,911			6,326
Deferred revenue		35,357			34,897
Lease liability		7,846			—
Accruals and reserves		830			3,659
Gross deferred tax assets		148,023			124,637
Valuation allowance		(138,534	)		(119,451	)
Total deferred tax assets		9,489			5,186
Deferred tax liabilities:
Tangible assets		(3,226	)		(3,728	)
Intangible assets		(4,877	)		(7,562	)
Right-of-use assets		(4,913	)		—
Total deferred tax liabilities		(13,016	)		(11,290	)
Net deferred tax liabilities	$	(3,527	)	$	(6,104	)

Schedule of Unrecognized Tax Benefits

A reconciliation of the Company’s unrecognized tax benefits for the years ended December 31, 2019 and 2018 is as follows (in thousands):

	Year Ended December 31,
	2019		2018
Balance at beginning of year	$	5,206	$	4,090
Additions based on tax positions related to prior year		10		3
Reductions based on tax positions related to prior year		—		(7	)
Additions based on tax positions related to current year		1,349		—
Reductions based on tax positions related to current year		—		1,120
Balance at end of year	$	6,565	$	5,206