Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Loss from Continuing Operations Before Provision for Income Tax

Loss from continuing operations before provision for income tax for the Company’s domestic and international operations was as follows (in thousands):

	Year Ended December 31,
	2019			2018
United States	$	(51,044	)	$	(84,207	)
Foreign		(859	)		(2,528	)
Loss before provision for income taxes	$	(51,903	)	$	(86,735	)

Provision for Income Taxes

The provision for income taxes consists of the following (in thousands):

	Year Ended December 31,
	2019			2018
Current
U.S. federal	$	—		$	—
U.S. state		—			—
Non-U.S.		—			240
Total current		—			240
Deferred
U.S. federal		(8,551	)		(9,164	)
U.S. state		3,299			(1,903	)
Non-U.S.		—			—
Total deferred		(5,252	)		(11,067	)
Valuation allowance		5,252			11,067
Total	$	—		$	240

Components of Net Deferred Tax Assets

Components of the net deferred tax assets as of December 31, 2019 and 2018, are as follows (in thousands):

	December 31,
	2019			2018
Deferred tax assets:
Net operating loss carryforwards	$	531,970		$	524,377
Research and development credits		80,488			81,583
Capitalized research		44			557
Milestone Rights		1,528			3,521
Accrued expenses		1,951			1,156
Loss on purchase commitment		22,167			23,194
Non-qualified stock option expense		3,128			2,551
Capitalized patent costs		4,964			5,090
Other		147			669
Lease liability		827			—
Interest expense limitation		1,167			—
Depreciation		21,132			22,560
Deferred Product Revenue & Costs		2,062			107
Total net deferred tax assets		671,575			665,365
Valuation allowance		(670,617	)		(665,365	)
Net deferred tax assets	$	958		$	—

Deferred tax liabilities:
Right of use asset	$	(751	)	$	—
Other prepaids		(207	)		—
Total deferred tax liabilities		(958	)		—
Net deferred tax assets	$	—		$	—

Effective Income Tax Rate

The Company’s effective income tax rate differs from the statutory federal income tax rate as follows for the years ended December 31, 2019 and 2018:

	Year Ended December 31,
	2019			2018
Federal tax benefit rate		21.0	%		21.0	%
Permanent items		(3.3	)		1.0
Tax law changes		(2.7	)		(0.7	)
Stock based compensation		(0.9	)		(6.5	)
Tax attribute expirations		(4.0	)		(1.6	)
Foreign withholding tax		—			(0.3	)
Valuation allowance		(10.1	)		(13.2	)
Effective income tax rate		0.0	%		-0.3	%