Quarterly report pursuant to Section 13 or 15(d)

Income Taxes

v3.20.2
Income Taxes
 9 Months Ended
Sep. 30, 2020
Income Taxes [Abstract]  
Income Taxes

11. Income Taxes

No provision for federal and state income taxes was required for the three and nine months ended September 30, 2020 and 2019 due to the Company’s operating losses and increased deferred tax asset valuation allowance.  At September 30, 2020 and December 31, 2019, the Company had unused net operating loss carry-forwards of approximately $161,859,000 and $156,586,000 respectively, portions of which expire at various dates beginning in 2021.  Some of the Company’s unused net operating loss carryforwards may be subject to annual limitations under certain provisions of the Internal Revenue Code related to “changes in ownership.” 

As of September 30, 2020 and December 31, 2019, the deferred tax assets related to the aforementioned carry-forwards have been fully offset by valuation allowances, because significant utilization of such amounts is not presently expected in the foreseeable future. 

Deferred tax assets and valuation allowances consist of:





 

 

 

 

 



 

 

 

 

 



 

September 30,

December 31,



 

2020

2019



 

 

 

 

 

Net Operating Loss Carryforwards

 

$

 45,321,000 

$

 43,844,000 

Stock Compensation Expense

 

 

 556,000 

 

 1,191,000 

Book Tax Differences on Assets and Liabilities

 

 

 238,000 

 

 464,000 

Valuation Allowance

 

 

 (46,115,000)

 

 (45,499,000)



 

 

 

 

 

Net Deferred Tax Assets

 

$

 -

$

 -

 

The Company files income tax returns in the U.S. federal and Maryland state jurisdictions.  Tax years for fiscal 2017 through 2019 are open and potentially subject to examination by the federal and Maryland state taxing authorities.