Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

The benefit from income taxes for December 31, 2019 and 2018 consists of the following:

The components of deferred tax assets (liabilities) were as follows:



(in thousands)	As of December 31, 2019			As of January 1, 2019
Deferred tax assets:
Accrued expenses	$	850		$	231
Allowance for doubtful accounts	81			64
Intangibles	987			1,186
Goodwill	4,257			3,613
Startup costs	101			112
Deferred rent	—			184
Percentage of completion	105			67
Stock-based compensation	679			566
Net operating losses and credits	841			1,434
Interest	507			289
Lease liabilities	5,960			—
Other	176			40
Total deferred tax assets	14,544			7,786

Deferred tax liabilities:
Fixed assets	(3,897		)	(3,610		)
Right-of-use assets	(5,586		)	—
Debt discounts	(275		)	—
Total deferred tax liabilities	(9,758		)	(3,610		)

Net deferred tax asset	$	4,786		$	4,176

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



	For the Years Ended
	December 31, 2019		December 31, 2018
Federal statutory income tax rate	21.0	%	21.0	%
State income taxes, net of federal tax effect	0.8	%	5.5	%
Change in uncertain tax benefits	(8.0	)%	—	%
Stock based compensation – restricted stock	(7.5	)%	(1.2	)%
Return to provision adjustment	4.8	%	7.3	%
Permanent differences	(9.8	)%	(12.4	)%
Tax credits	10.8	%	5.2	%
Other	1.6	%	0.2	%
Effective tax rate	13.7	%	25.6	%

The following is a reconciliation of the beginning and ending unrecognized tax benefits:



	December 31, 2019		December 31, 2018
Balance at beginning of period	$	—	$	—
Gross increases in prior period tax positions	722		—
Gross increases in current period tax positions	408		—
Balance at end of period	$	1,130	$	—