Income Taxes	3 Months Ended
Mar. 31, 2020
Income Taxes
Income Taxes	11. Income Taxes As an exempted company incorporated under the laws of Bermuda, the Company is principally subject to taxation in Bermuda. Under the current laws of Bermuda, tax on a company’s income is assessed at a zero percent tax rate. As a result, the Company has not recorded any income tax benefits from losses incurred in Bermuda during each reporting period, and no net operating loss carryforwards will be available to the Company for those losses. The Company’s wholly owned U.S. subsidiaries, Kiniksa US and Primatope, are subject to federal and state income taxes in the United States. The Company’s wholly owned subsidiary Kiniksa UK, and its wholly owned subsidiaries, Kiniksa Germany and Kiniksa France, are subject to taxation in their respective countries. Certain of the Company’s subsidiaries, primarily Kiniksa US, operate under cost‑plus arrangements. The income tax rate for the three months ended March 31, 2020 varied from the Bermuda statutory rate of zero primarily due to income subject to United States taxation under the Kiniksa US cost-plus arrangement with the Company, net of the deduction for FDII and U.S. federal and state research tax credits. Income tax benefit for the three months ended March 31, 2020 was $2,179 and includes a net $1,828 discrete tax benefit primarily due to the tax benefits from share-based compensation taxable events. Income tax benefit for the three months ended March 31, 2019 was not materially different than the Bermuda statutory rate. As of March 31, 2020, the Company has a deferred tax asset of $5,410, primarily related to unexercised share-based compensation granted to the employees of Kiniksa US. Management examines all positive and negative evidence to estimate whether sufficient future taxable income in the U.S. will be generated to permit the use of existing deferred tax assets.

11. Income Taxes

As an exempted company incorporated under the laws of Bermuda, the Company is principally subject to taxation in Bermuda. Under the current laws of Bermuda, tax on a company’s income is assessed at a zero percent tax rate. As a result, the Company has not recorded any income tax benefits from losses incurred in Bermuda during each reporting period, and no net operating loss carryforwards will be available to the Company for those losses. The Company’s wholly owned U.S. subsidiaries, Kiniksa US and Primatope, are subject to federal and state income taxes in the United States. The Company’s wholly owned subsidiary Kiniksa UK, and its wholly owned subsidiaries, Kiniksa Germany and Kiniksa France, are subject to taxation in their respective countries. Certain of the Company’s subsidiaries, primarily Kiniksa US, operate under cost‑plus arrangements.

The income tax rate for the three months ended March 31, 2020 varied from the Bermuda statutory rate of zero primarily due to income subject to United States taxation under the Kiniksa US cost-plus arrangement with the Company, net of the deduction for FDII and U.S. federal and state research tax credits. Income tax benefit for the three months ended March 31, 2020 was $2,179 and includes a net $1,828 discrete tax benefit primarily due to the tax benefits from share-based compensation taxable events. Income tax benefit for the three months ended March 31, 2019 was not materially different than the Bermuda statutory rate.

As of March 31, 2020, the Company has a deferred tax asset of $5,410, primarily related to unexercised share-based compensation granted to the employees of Kiniksa US. Management examines all positive and negative evidence to estimate whether sufficient future taxable income in the U.S. will be generated to permit the use of existing deferred tax assets.