INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2018

Schedule of income taxes by jurisdiction

The provision for (benefit from) income taxes by jurisdiction consists of the following:



	Year Ended December 31, 2017			Year Ended December 31, 2018
U.S. federal:
Current	$	—		$	—
Deferred	—			—
Total U.S. federal	—			—

U.S. state and local:
Current	1,000			2,000
Deferred	—			—
Total U.S. state and local	1,000			2,000

Foreign:
Current	—			—
Deferred	(15,000		)	(1,000		)
Total foreign	(15,000		)	(1,000		)

Provision for (benefit from) income taxes	$	(14,000	)	$	1,000

Schedule of income taxes differ from the amounts computed by applying the U.S. federal income tax rate to pretax income (loss) before income taxes

Income taxes differ from the amounts computed by applying the U.S. federal income tax rate to pretax income (loss) before income taxes as a result of the following:



	Year Ended December 31, 2017			Year Ended December 31, 2018
Expected income tax benefit	$	(7,357,000	)	$	(5,211,000	)
State income tax (benefit), net of federal benefit	(1,176,000		)	(1,997,000		)
Valuation allowance	7,398,000			7,372,000
Permanent differences:
Stock options	95,000			285,000
Warrants	914,000			—
Research & development credit	(263,000		)	(405,000		)
Adjustment to deferred taxes	267,000			(68,000		)
Foreign rate differential	19,000			2,000
Other	89,000			23,000
Provision for (benefit from) for income taxes	$	(14,000	)	$	1,000

Schedule of components of deferred income tax

Deferred income tax consists of the following:



	As of December 31, 2017			As of December 31, 2018
U.S. federal and state deferred tax assets—long term:
Accrued payroll	$	376,000		$	102,000
Accrued expenses	21,000			45,000
Fixed assets	111,000			—
Intangibles	457,000			418,000
Research & development credit	1,464,000			2,239,000
Net operating loss	13,204,000			20,140,000
Stock compensation	539,000			612,000
New jobs credit	8,000			8,000
Total long-term assets	16,180,000			23,564,000
Total deferred tax assets	16,180,000			23,564,000

U.S. federal and state deferred tax liabilities—long term:
Fixed assets	—			(16,000		)
Total deferred tax liabilities	—			(16,000		)
Net deferred tax assets - long term	16,180,000			23,548,000
Less: Valuation allowance	(16,180,000		)	(23,548,000		)
Net deferred tax assets	$	—		$	—

Foreign deferred tax assets—long term:
Net operating loss	$	12,000		$	9,000
Total foreign deferred tax assets	12,000			9,000

Foreign deferred tax liabilities—long term:
Intangibles	(13,000		)	(4,000		)
Total foreign deferred tax liabilities	(13,000		)	(4,000		)
Net foreign deferred tax assets (liabilities)	(1,000		)	5,000
Less: Valuation allowance	—			(5,000		)
Net deferred tax assets (liabilities)	$	(1,000	)	$	—