Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Income Tax Disclosure [Abstract]

Schedule of Loss Before Income Taxes

Loss before income taxes consists of the following:

	Year Ended December 31,
	2016			2017			2018
U.S. operations	$	(5,547,000	)	$	(4,425,000	)	$	(5,066,000	)
Foreign operations		(823,000	)		244,000			(746,000	)
	$	(6,370,000	)	$	(4,181,000	)	$	(5,812,000	)

Schedule of Income Taxes at Statutory Federal Income Tax Rate and Income Taxes

The difference between income taxes at the statutory federal income tax rate and income taxes reported in the Consolidated Statements of Operations is attributable to the following:

	Year Ended December 31,
	2016			2017			2018
Income tax benefit at the federal statutory rate	$	(2,166,000	)	$	(1,316,000	)	$	(1,221,000	)
State and local income taxes, net of effect on federal taxes		(848,000	)		(441,000	)		(800,000	)
Increase (decrease) in valuation allowance		2,287,000			(8,509,000	)		1,861,000
Incentive stock options/forfeitures		624,000			(11,000	)		(22,000	)
Change in Federal tax rate					10,848,000			-
Research and development tax credits		-			(1,390,000	)		-
Permanent differences and other		103,000			508,000			182,000
	$	-		$	(311,000	)	$	-

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2017 and 2018 are presented below:

	December 31,
	2017			2018
Deferred tax assets:
Net operating loss carryforwards	$	21,007,000		$	22,988,000
Deferred revenue		4,629,000			4,717,000
Stock-based compensation		839,000			732,000
Federal research and development tax credits		1,058,000			1,058,000
Intangibles, amortization		973,000			938,000
Inventories		175,000			149,000
Acquisition related expenses		321,000			318,000
Bad debt reserve		30,000			62,000
Other deductible temporary differences		556,000			487,000
Total gross deferred tax assets		29,588,000			31,449,000
Less: Valuation allowance		(26,112,000	)		(27,568,000	)
		3,476,000			3,881,000
Deferred tax liabilities:
Deferred expenses		(2,978,000	)		(3,153,000	)
Goodwill amortization		(298,000	)		(395,000	)
Fixed assets, depreciation		(200,000	)		(333,000	)
		(3,476,000	)		(3,881,000	)
Net deferred tax assets	$	-		$	-