Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of Effective Income Tax Rate Reconciliation

The effective income tax rate differed from the statutory federal income tax rate due to the following:

	YEAR ENDED DECEMBER 31,
	2022			2021
Federal income taxes at 21%		21.00	%		21.00	%
State income taxes, net of federal benefit and tax credits	5.00			6.90
Permanent differences	(3.88)			(0.19)
Research and development credit	0.00			2.12
Change in valuation allowance	(22.12)			(29.30)
Other adjustments	0.00			(0.53)
		0.00	%		0.00	%

Schedule of Components of Deferred Tax Assets and Liabilities

Significant components of the Company’s net deferred tax assets and liabilities as of December 31, 2022 and 2021 are as follows (in thousands):

	YEAR ENDED DECEMBER 31,
	2022			2021
Deferred Tax Assets:
Net operating losses	$	61,782		$	48,419
Tax credits		6,033			4,376
Accrued expenses		17			859
Right of Use Liabilities		10,225			1,633
Section 174 R&D Expenditures		9,898			—
Other		1,310			548
Total deferred tax assets		89,265			55,835
Valuation allowance		(75,627	)		(49,079	)
Total net deferred tax assets		13,638			6,756
Deferred Tax Liabilities:
Intangibles assets		8,057			7,952
Fixed assets		121			563
Right of Use Assets		8,639			1,372
Other		282			330
Total deferred tax liabilities		17,099			10,217
Total net deferred tax liabilities	$	(3,461	)	$	(3,461	)

The Company regularly assesses the need for a valuation allowance against its deferred tax assets. In making that assessment, the Company considers both positive and negative evidence related to the likelihood of realization of the deferred tax assets to determine, based on the weight of available evidence, whether it is more-likely-than-not that some or all of the deferred tax assets will not be realized. In assessing the realizability of deferred tax assets, the Company considers taxable income in prior carryback years, as permitted under the tax law, the Company's forecasted taxable earnings, tax planning strategies, and the expected timing of the reversal of temporary differences. This determination requires significant judgment, including assumptions about future taxable income that are based on historical and projected information and is performed on a jurisdiction-by-jurisdiction basis.

Schedule of Reconciliation of Total Unrecognized Tax Benefits

A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits is as follows (in thousands):

	YEAR ENDED DECEMBER 31,
	2022		2021
Balance, beginning of year	$	1,822	$	1,318
Additions for tax positions of current year		651		507
Additions for tax positions of prior years		—		(3	)
Balance, end of year	$	2,473	$	1,822