Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Taxes [Abstract]

Components of Income Tax Expense (Benefit)

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

(in thousands)	Year Ended December 31, 2022			Year Ended December 31, 2021
Federal - current	$	-		$	-
State - current		1			1
Total current		1			1
Federal - deferred		(729	)		(1,106	)
State - deferred		(111	)		(434	)
Change in valuation allowance		840			1,540
Total deferred		-			-
Income tax expense (benefit)	$	1		$	1

Income Tax Reconciliation

The components of pretax income (loss) and the difference between income taxes computed at the statutory federal rate and the provision for income taxes are as follows:

(in thousands)	Year Ended December 31, 2022			Year Ended December 31, 2021
Income (loss) before income taxes	$	(3,472	)	$	(5,207	)
Tax expense (benefit):
Tax at statutory federal rate	$	(729	)	$	(1,094	)
State income taxes		(110	)		(445	)
Change in valuation allowance		840			1,540
Income tax expense (benefit)	$	1		$	1

A reconciliation of the United States federal statutory rate to the Company’s effective income tax rate is as follows:

	Year Ended December 31, 2022			Year Ended December 31, 2021
Tax at statutory federal rate		21.0	%		21.0	%
State income taxes		3.2			8.5
Change in valuation allowance		(24.2	)		(29.5	)
Effective income tax rate		0.0	%		0.0	%

Calculation of Net Deferred Tax Assets from NOL Carryforwards

The Company’s deferred tax asset, arising primarily from NOL carryforwards, is as follows:

(in thousands)	December 31, 2022			December 31, 2021
Deferred tax asset	$	40,520		$	39,680
Valuation allowance		(40,520	)		(39,680	)
Net deferred tax asset recognized	$	-		$	-