Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.22.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit) The Company's provision for income taxes from continuing operations for the years ended December 31, 2021 and 2020 is as follows:
Years Ended December 31,
2021 2020
(in thousands)
Current:
Federal $ —  $ — 
State —  — 
Total current $ —  $ — 
Deferred:
Federal —  — 
State —  — 
Total deferred $ —  $ — 
Total provision for income taxes $ —  $ — 
Schedule of Effective Income Tax Rate Reconciliation The provision (benefit) for income taxes differed from the amount computed by applying the federal statutory income tax rate of 21% to loss before income taxes due to the following items for the years ended December 31, 2021 and 2020:
Years Ended December 31,
2021 2020
(in thousands)
Tax benefit at federal statutory rate $ (51,673) $ (10,022)
Non-deductible compensation 4,431  449 
State tax, net of federal benefit (3,296) (499)
Valuation allowance 25,631  9,666 
Non-deductible interest 21,715  — 
Non-taxable warrants (5,016) 117 
Uncertain tax position 8,449  — 
Other (241) 289 
Income tax (benefit) expense $ —  $ — 
Schedule of Deferred Tax Assets and Liabilities
Deferred tax assets and liabilities as of December 31, 2021 and 2020, consisted of the following:
December 31,
2021 2020
(in thousands)
Deferred tax assets:
Net operating loss carryforwards $ 45,181  $ 24,764 
Sec. 163(j) carryforward 6,414  4,661 
Accruals and reserves 2,359  2,155 
Deferred revenue 778  539 
Capital loss carryforward 3,689  3,368 
Other deferred tax assets 3,631  1,284 
Total deferred tax assets 62,052  36,771 
Valuation allowance (61,460) (35,874)
Total net deferred tax assets 592  897 
Deferred tax liabilities
Basis difference in intangibles (588) (895)
Other deferred tax liabilities (4) (2)
Total deferred tax liabilities (592) (897)
Net deferred tax liabilities $ —  $ — 
Summary of Operating Loss Carryforwards The Company’s tax attributes are subject to limitations on utilization due to historic ownership changes and may be subject to future limitations upon subsequent change of control, as defined by the Internal Revenue Code Sections 382 and 383.
Tax Effected Expiration
(in thousands)
Federal net operating loss (“NOL”) carryforward $ 8,638  2033-2037
Federal NOL carryforward $ 36,283  Indefinite
Federal capital loss carryforward 3,689  2025
State NOL carryforwards 261  2037-2040
Schedule of Unrecognized Tax Benefits Roll Forward
Below is a tabular reconciliation of the total amounts of unrecognized tax benefits:
2021 2020
(in thousands)
Unrecognized tax benefits - January 1 $ —  $ 4,840 
Gross decrease - tax positions in current period —  (4,840)
Gross increase - tax positions in current period 8,443  — 
Unrecognized tax benefits - December 31 $ 8,443  $ —