INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2021

The components of income tax expense (benefit) were as follows:


	Twelve Months Ended December 31,
	2021		2020
(amounts in thousands)			(As Restated)
Current expense
Federal	$	3,945	$	—
State	1,807		23
Total current expense	$	5,752	$	23

Deferred expense (benefit)
Federal	$	(1,676)	$	(3,047)
State	(1,130)		(835)
Change in valuation allowance	2,806		3,882
Total deferred expense (benefit)	$	—	$	—

Total income tax expense	$	5,752	$	23

Effective tax rates differ from the federal statutory rate of 21% due to the following:


	Twelve months ended December 31,
	2021				2020
					(As Restated)
(amounts in thousands)	Amount		% of pretax income		Amount		% of pretax income
Federal income tax at statutory rate	$	4,788	21.00	%	$	(2,560)	21.00	%
State taxes, net of federal benefit	216		1.83	%	(580)		4.75	%
Change in fair value of warrant liabilities	(3,617)		(15.87)	%	—		—	%
Change in valuation allowance	2,806		11.43	%	3,882		(31.84)	%
Nondeductible compensation	1,532		5.97	%	—		—	%
Tax credits	—		—	%	(873)		7.16	%
Other	27		0.88	%	154		(1.26)	%
Total	$	5,752	25.24	%	$	23	(0.19)	%

The following represents the Company's deferred tax assets and liabilities as of December 31, 2021 and 2020:


	December 31, 2021		December 31, 2020
(amounts in thousands)			(As Restated)
Deferred tax assets:
Net operating losses and credit carryforwards	$	—	$	16,431
Deferred income	788		1,226
Section 197 Intangibles	27,581		1,226
Operating lease liability	—		296
Equity based compensation	1,521		—
Accrued bonuses	125		—
Other	24		143
Less: Valuation Allowance	(29,662)		(13,689)
Total deferred tax assets	$	377	$	5,633
Deferred tax liabilities
Depreciation	(377)		(5,243)
Operating lease ROU asset	—		(318)
Other	—		(72)
Total deferred tax liabilities	$	(377)	$	(5,633)
Net deferred tax asset (liability)	$	—	$	—