TAXES AND NET OPERATING LOSS CARRYFORWARDS (Tables)

12 Months Ended

Dec. 31, 2015

Taxes And Net Operating Loss Carryforwards Tables

Deferred tax assets (liabilities)

The tax effects of these temporary differences representing the components of deferred tax assets (liabilities) at December 31 were approximately as follows (in thousands):

	2015			2014
Deferred tax assets:
Loss and credit carry-forwards	$	6,578		$	5,497
Stock based compensation		283			156
Inventory Reserve		466			361
Other		273			193
Total Deferred Tax Assets		7,600			6,207
Deferred tax liabilities:
State taxes (capital)		(10	)		(9	)
Property and equipment		(413	)		(416	)
Intangibles		(337	)		(376	)
Total deferred tax liabilities		(760	)		(801	)
Total Net Deferred Tax Assets		6,840			5,406
Valuation Allowance		(7,404	)		(5,970	)
Total Net Deferred Tax Assets/(Liabilities), net of Valuation Allowance	$	(564	)	$	(564	)

Statutory federal income tax rate

Below is a reconciliation of the statutory federal income tax rate to our effective tax rate for the fiscal years ended December 31, 2015, 2014, and 2013:

	2015			2014			2013
Federal tax provision		34.0	%		34.0	%		34.0	%
State taxes (net of federal benefit)		2.4	%		1.4	%		2.6	%
Warrant gains		(11.1	)%		(18.8	)%		-	%
Valuation allowance		(26.3	)%		(45.3	)%		-	%
Other		0.6	%		(1.6	)%		(9.3)	%
		(0.4	)%		(30.3	)%		27.3	%