Provision for Income Taxes (Tables)
|
12 Months Ended |
Dec. 31, 2022 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Schedule of Loss Before Provision for Income Taxes |
The components of the Company’s loss before the provision for income taxes consisted of the following:
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, |
|
|
|
2022 |
|
|
2021 |
|
United States of America |
|
$ |
(18,309 |
) |
|
$ |
(81,841 |
) |
Foreign |
|
|
(4,939 |
) |
|
|
19,868 |
|
Total |
|
$ |
(23,248 |
) |
|
$ |
(61,973 |
) |
|
| Schedule of Provision for Income Taxes |
The provision for income taxes consisted of the following for the years ended December 31, 2022 and 2021:
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, |
|
|
|
2022 |
|
|
2021 |
|
Current |
|
|
|
|
|
|
Federal |
|
$ |
1,001 |
|
|
$ |
249 |
|
State |
|
|
384 |
|
|
|
99 |
|
Foreign |
|
|
2,486 |
|
|
|
2,988 |
|
Total current provision |
|
|
3,871 |
|
|
|
3,336 |
|
|
|
|
|
|
|
|
Deferred |
|
|
|
|
|
|
Federal |
|
|
723 |
|
|
|
(10,549 |
) |
State |
|
|
779 |
|
|
|
(6,197 |
) |
Foreign |
|
|
(2,331 |
) |
|
|
(565 |
) |
|
|
|
|
|
|
|
Change in valuation allowance |
|
|
(733 |
) |
|
|
16,674 |
|
Total deferred benefit |
|
|
(1,562 |
) |
|
|
(637 |
) |
Total provision for income taxes |
|
$ |
2,309 |
|
|
$ |
2,699 |
|
|
| Reconciliation of Statutory U.S. Federal Income Tax Rate to Company's Effective Tax Rate |
A reconciliation of the statutory U.S. federal income tax rate to the Company's effective tax rate for the years ended December 31, 2022 and 2021 is as follows:
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, |
|
|
|
2022 |
|
|
2021 |
|
Tax, computed at the federal statutory rate |
|
|
21.00 |
% |
|
|
21.00 |
% |
State taxes, net of federal tax benefit |
|
|
0.75 |
|
|
|
9.59 |
|
Impact of foreign operations |
|
|
(32.93 |
) |
|
|
(3.60 |
) |
Research and development credits |
|
|
5.74 |
|
|
|
1.57 |
|
Stock-based compensation |
|
|
(13.57 |
) |
|
|
7.08 |
|
Earn-out revaluation |
|
|
22.86 |
|
|
|
(4.95 |
) |
Meals, entertainment and other |
|
|
(0.49 |
) |
|
|
(8.01 |
) |
Change in valuation allowance |
|
|
(13.29 |
) |
|
|
(27.04 |
) |
(Provision for) benefit from income taxes |
|
|
(9.93 |
)% |
|
|
(4.36 |
)% |
|
| Components of Deferred Income Tax Assets and Liabilities |
The significant components of the Company’s deferred income tax assets and liabilities as of December 31, 2022 and 2021 were as follows:
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, |
|
|
|
2022 |
|
|
2021 |
|
Net operating loss carryforwards |
|
$ |
44,512 |
|
|
$ |
55,385 |
|
Stock-based compensation |
|
|
19,722 |
|
|
|
21,003 |
|
Accrued expenses |
|
|
289 |
|
|
|
1,146 |
|
Capitalized research and development |
|
|
9,268 |
|
|
|
— |
|
Lease liability |
|
|
884 |
|
|
|
— |
|
Research credits |
|
|
6,617 |
|
|
|
4,632 |
|
Other |
|
|
1,246 |
|
|
|
669 |
|
Total gross deferred tax assets |
|
|
82,538 |
|
|
|
82,835 |
|
Valuation allowance |
|
|
(81,051 |
) |
|
|
(81,784 |
) |
Total deferred tax assets |
|
|
1,487 |
|
|
|
1,051 |
|
|
|
|
|
|
|
|
Right of use assets |
|
|
(408 |
) |
|
|
— |
|
Unremitted foreign earnings |
|
|
(1,012 |
) |
|
|
— |
|
Other |
|
|
(166 |
) |
|
|
— |
|
Other - fixed assets and intangibles |
|
|
(269 |
) |
|
|
(589 |
) |
Acquired intangibles |
|
|
(10,281 |
) |
|
|
(12,180 |
) |
Total deferred tax liabilities |
|
|
(12,136 |
) |
|
|
(12,769 |
) |
Net deferred tax liabilities |
|
$ |
(10,649 |
) |
|
$ |
(11,718 |
) |
|
| Summary of Valuation Allowance |
The change in the valuation allowance for the years ended December 31, 2022 and 2021 is as follows:
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, |
|
|
|
2022 |
|
|
2021 |
|
Valuation allowance, at beginning of year |
|
$ |
81,784 |
|
|
$ |
65,110 |
|
Increase in valuation allowance |
|
|
(733 |
) |
|
|
16,674 |
|
Valuation allowance, at end of year |
|
$ |
81,051 |
|
|
$ |
81,784 |
|
|
| Schedule of Reconciliation of Unrecognized Tax Benefits |
A reconciliation of the unrecognized tax benefits from January 1, 2021 to December 31, 2022 is as follows:
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, |
|
|
|
2022 |
|
|
2021 |
|
Unrecognized tax benefits as of January 1 |
|
$ |
1,111 |
|
|
$ |
720 |
|
Gross increase for tax positions of prior years |
|
|
(2 |
) |
|
|
— |
|
Gross increase for tax positions of current year |
|
|
541 |
|
|
|
391 |
|
Unrecognized tax benefits balance at December 31 |
|
$ |
1,650 |
|
|
$ |
1,111 |
|
|