Income Taxes

6 Months Ended

Jun. 30, 2022

Income Tax Disclosure [Abstract]

Income Taxes

6. Income Taxes

For the three and six months ended June 30, 2022, the Company's effective tax rate was (1.3)% and (1.2)%, respectively. For the three and six months ended June 30, 2021, the Company's effective tax rate was zero. Section 174 of the Internal Revenue Code requires capitalization of research and development expenses to then be amortized over five years for U.S. based research and 15 years for research conducted outside of the U.S., which limits the amount of research and development expenses that can be used to offset income in the current year. The difference between the effective tax rate as of June 30, 2022 and 2021, respectively, and the U.S. federal statutory rate of 21% was primarily due to the anticipatory recognition of a certain amount of current year income tax as a result of this capitalization effective this year.