Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.6.0.2
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2016
Income Tax Disclosure [Abstract]  
Summary of Benefit for Income Taxes

The benefit for income taxes consisted of the following (in thousands):  

 

 

 

2016

 

 

2015

 

 

2014

 

Benefit for income taxes:

 

 

 

 

 

 

 

 

 

 

 

 

Current:

 

 

 

 

 

 

 

 

 

 

 

 

Federal

 

$

 

 

$

 

 

$

 

State

 

 

 

 

 

 

 

 

 

Subtotal

 

 

 

 

 

 

 

 

 

Deferred:

 

 

 

 

 

 

 

 

 

 

 

 

Federal

 

$

(12

)

 

$

(5,563

)

 

$

 

State

 

 

(2

)

 

 

(159

)

 

 

 

Subtotal

 

 

(14

)

 

 

(5,722

)

 

 

 

Income tax benefit

 

$

(14

)

 

$

(5,722

)

 

$

 

 

Schedule of Difference Between Benefit for Income Taxes and Federal Statutory Income Tax Rate

 

The difference between the benefit for income taxes and the amount computed by applying the federal statutory income tax rate (34%) to loss before taxes is explained as follows (in thousands):

 

 

 

Year ended December 31,

 

 

 

2016

 

 

2015

 

 

2014

 

Tax at federal statutory rate

 

$

(24,369

)

 

$

(15,785

)

 

$

(8,982

)

State taxes, net

 

 

(747

)

 

 

4,840

 

 

 

(822

)

Non-deductible stock compensation

 

 

2,781

 

 

 

1,085

 

 

 

(148

)

Research credits

 

 

(1,424

)

 

 

(814

)

 

 

(320

)

Change in valuation allowance

 

 

23,773

 

 

 

5,043

 

 

 

9,778

 

Other

 

 

(28

)

 

 

(91

)

 

 

494

 

Income tax benefit

 

$

(14

)

 

$

(5,722

)

 

$

 

 

Schedule of Company's Deferred Tax Assets

Significant components of the Company’s deferred tax assets are as follows (in thousands):

 

 

 

December 31,

 

 

 

2016

 

 

2015

 

Assets:

 

 

 

 

 

 

 

 

Deferred tax assets:

 

 

 

 

 

 

 

 

Net operating loss carryforwards

 

$

114,222

 

 

$

93,824

 

Research and development tax credit carryforwards

 

 

12,518

 

 

 

9,979

 

Stock-based compensation

 

 

8,565

 

 

 

6,853

 

Deferred revenue

 

 

2,918

 

 

 

4,479

 

Other

 

 

3,492

 

 

 

2,807

 

Total deferred tax asset

 

 

141,715

 

 

 

117,942

 

Valuation allowance

 

 

141,715

 

 

 

117,942

 

Net deferred tax assets

 

$

 

 

$

 

Liabilities:

 

 

 

 

 

 

 

 

Net deferred tax liability related to intangible assets

 

 

 

 

 

 

Total deferred tax liability

 

$

 

 

$

 

 

Summary of Activity Related to Company's Unrecognized Tax Benefits

The following table summarizes the activity related to the Company’s unrecognized tax benefits (in thousands):

 

 

 

 

December 31,

 

 

 

2016

 

 

2015

 

 

2014

 

Beginning balance

 

$

8,330

 

 

$

3,438

 

 

$

3,182

 

Additions based on tax positions related to the current year

 

 

1,023

 

 

 

557

 

 

 

228

 

Additions for tax positions of prior years

 

 

27

 

 

 

4,335

 

 

 

28

 

Reductions for tax positions of prior years

 

 

(4,335

)

 

 

 

 

 

 

Ending balance

 

$

5,045

 

 

$

8,330

 

 

$

3,438