Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Income Taxes

Schedule of the difference between income tax expense and the amount computed by applying the statutory federal income tax rate to income before income tax

The following summarizes the difference (in thousands) between the income tax expense and the amount computed by applying the statutory federal income tax rate of 21% for 2018 and 34% for 2017 to income before income tax:

	December 31,
	2018		2017
Federal income tax at statutory rate	$	(4,642)	$	(8,383)
State income tax, net of federal benefit		(1,300)		(1,096)
Effect of reduced corporate tax rates		—		2,644
Foreign tax differential		733		1,993
Permanent differences		178		2,549
Tax credits generated in current year		(783)		(362)
Other		1		269
Valuation allowance change		5,813		2,386
	$	—	$	—

Significant components of deferred tax assets

Significant components of our deferred tax assets (in thousands) are as follows:

	December 31,
	2018		2017
Net operating loss carryforwards	$	10,228	$	5,530
Accruals and reserves		1,053		707
Research and development credits		1,368		640
Deferred Revenue		6		—
Depreciation and amortization		(23)		(4)
Total		12,632		6,873
Valuation allowance		(12,632)		(6,873)
Net deferred tax assets (liabilities)	$	—	$	—