INCOME TAXES

12 Months Ended

Dec. 31, 2016

Income Tax Disclosure [Abstract]

INCOME TAXES

NOTE 10 – INCOME TAXES

For the years ended December 31, 2016, 2015, and 2014, there was no provision for income taxes, current or deferred.

At December 31, 2016, we had a federal net operating loss carry forward of $268,199,351 available to offset future taxable income through 2036. The federal carryforwards will begin to expire in 2031.

A reconciliation between taxes computed at the federal statutory rate and the consolidated effective tax rate is as follows:

	2016			2015			2014
Federal statutory tax rate		34.0	%		34.0	%		34.0	%
State tax rate, net of federal tax benefit		5.4	%		4.73	%		5.8	%
Adjustment in valuation allowances		(40.3	)%		(38.97	)%		(50.9	)%
Permanent and other differences		0.9	%		0.24	%		11.1	%
Provision (benefit) for income taxes		—	%		—	%		—	%

Deferred income taxes result from temporary differences between the amount of assets and liabilities recognized for financial reporting and tax purposes. The components of the net deferred income tax asset as of December 31, 2016, 2015, and 2014 are as follows:

	2016			2015			2014
Deferred Income Tax Assets:
Net operating losses	$	111,730,450		$	79,499,633		$	43,091,437
R&D Credit		186,347			186,347			—
Total deferred income tax asset		111,916,797			79,685,980			43,091,437
Valuation allowance		(111,916,797	)		(79,685,980	)		(43,091,437	)
Deferred income tax assets, net	$	—		$	—		$	—

We believe that it is more likely than not that we will not generate sufficient future taxable income to realize the tax benefits related to the deferred tax assets on our balance sheet and as such, a valuation allowance has been established against the deferred tax assets for the period ended December 31, 2016.

Unrecognized Tax Benefits

As of the period ended December 31, 2016, we have no unrecognized tax benefits.