Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Schedule of Income before Income Tax, Domestic and Foreign

Income taxes have been recorded on the following book income (loss) before income tax expense:



	Year Ended December 31,
	2018			2017
Domestic operations	$	(146,247	)	$	(30,463	)
Foreign operations	39,589			(18,439		)
Loss before provision for income taxes	$	(106,658	)	$	(48,902	)

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of income tax expense (benefit) at the US federal statutory income tax rate and the income tax provision in the financial statements is as follows:



	Year Ended December 31,
	2018		2017
Income tax expense at statutory rate	21.0	%	35.0	%
Permanent items	0.5		0.5
Foreign rate differential	(0.8	)	(4.2	)
Impact of foreign operations	(7.2	)	—
State taxes, net of federal benefit	3.9		0.8
Tax rate changes	(0.6	)	(15.4	)
Foreign exchange and other	(0.6	)	—
Change in valuation allowance	(16.2	)	(16.7	)
Effective income tax rate	0.0	%	0.0	%

Schedule of Deferred Tax Assets and Liabilities

The principal components of the Company’s deferred tax assets and liabilities are as follows:



	Year Ended December 31,
	2018			2017
Deferred tax assets:
Accrued expenses and other	$	1,674		$	972
Prepaid licensing arrangement	11,562			—
Property and equipment	—			55
Interest expense	1,267			783
Stock compensation	3,493			1,701
Research and development credits	2,485			2,485
Net operating losses	32,548			29,636
Total deferred tax assets	53,029			35,632
Deferred tax liabilities:
Fixed assets	(409		)	—
Total deferred tax liabilities:	(409		)	—
Less: Valuation allowance	(52,620		)	(35,632		)
Total net deferred tax assets (liabilities)	$	—		$	—