INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2021

INCOME TAXES [Abstract]

Consolidated Loss Before Income Taxes

For financial reporting purposes, the Company’s consolidated loss before income taxes for the U.S. and foreign entities, in the aggregate, is as follows:

	2021
United States	$	(26,398,610	)
Foreign		(129,984	)
Total loss before provision for income taxes	$	(26,528,594	)

Components of Income Tax Expense or Benefit

The income tax expense or benefit consisted of the following for the period from March 3, 2021 to December 31, 2021:

	2021
Current:
Federal		—
State		22,511
Foreign		—
	$	22,511
Deferred:		—
Federal		—
State		—
Foreign		—
		—
Total	$	22,511

Statutory to Effective Federal Income Tax Rate Reconciliation

The reconciliation between the Company’s effective tax rate on income from continuing operations and statutory tax rate for the years ended December 31, 2021 and 2020 is as follows:

	2021
Income tax expense (benefit) at federal statutory rate		21.0%
Loss from MOR LLC Period		(1.52)%
Stock based compensation		2.01%
State taxes		6.10%
Rate change		0.63%
Other differences		(0.16)%
Valuation allowance		(28.14)%
Income tax expense		(0.08)%

Components of Net Deferred Tax Assets and Liabilities

The following items comprise the Company’s net deferred tax assets and liabilities as of December 31, 2021:

	2021
Deferred tax assets
Allowance for doubtful accounts	$	94,027
Other accruals		499,739
Deferred Revenue		81,423
Stock Compensation		2,492,471
Lease liability		231,335
Net operating loss carry forwards		10,815,077
Net deferred income tax assets		14,214,072
Valuation allowance		11,209,305
Total net deferred income tax assets	$	3,004,767
Unrealized Foreign Exchange Gain/Loss	$	1,538
Prepaid Expenses		19,517
Property, plant and equipment		631,150
Goodwill and intangible assets		2,352,562
Net deferred income tax liability	$	3,004,767