Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

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INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
SCHEDULE OF INCOME TAX PROVISION (BENEFIT)

The income tax provision (benefit) for the years ended December 31, 2021, 2020, and 2019 consists of the following:

 

    For the Year Ended December 31  
    2021     2020     2019  
Federal:                        
Current   $ -     $ -     $ -  
Deferred   (5,691 )   (4,452 )   4,684  
                         
State:                        
Current   $ -     $ -     $ -  
Deferred   (1,348 )   (1,060 )   1,115  
    (7,039 )   (5,512 )   5,799  
Change in valuation allowance   7,039     5,512     (5,799 )
Income tax provision (benefit)   $ -     $ -     $ -  
SUMMARY OF RECONCILIATION OF STATUTORY FEDERAL INCOME TAX RATE AND EFFECTIVE INCOME TAX RATE

A reconciliation of the statutory federal income tax rate to the Company’s effective tax rate is as follows:

 

    2021     2020     2019  
    For the Year Ended  
    December 31  
    2021     2020     2019  
Tax benefit at federal statutory rate     (21.0 )%     (21.0 )%     (21.0 )%
State income taxes, net of federal benefit     (2.4 )%     (5.0 )%     (5.0 )%
Permanent differences:            
Stock Compensation     0.2 %     (4.0) %     0.0 %
Other     7.9 %     0.0 %     0.8 %
Tax Credits     (0.1 )%     0.0 %     0.2 %
Income from non-includable foreign entities     1.6 %        
Prior year differences     1.0 %     (1.0 )%     85.1 %
Change in valuation allowance     12.8 %     31.0 %     (60.1 )%
Effective income tax rate     0.0 %     0.0 %     0.0 %
SCHEDULE OF DISAGGREGATION OF DOMESTIC AND FOREIGN PRE-TAX LOSS

The disaggregation of the Company’s domestic and foreign pre-tax loss for the years ended December 31, 2021, 2020, and 2019 is as follows:

 

      2021     2020     2019  
      For the Year Ended December 31  
      2021     2020     2019  
                     
U.S.     $ (50,803 )   $ (17,635 )   $ (9,434 )
Foreign       (4,316 )     (211 )     (215 )
Total     $ (55,119 )   $ (17,846 )   $ (9,649 )
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES

The tax effects of temporary differences that give rise to deferred tax assets and liabilities are presented below:

 

    2021     2020  
    For the Year Ended December 31  
    2021     2020  
Deferred Tax Assets:                
Net operating loss carryforwards   $ 32,351     $ 26,066  
Stock-based compensation     1,210       401  
Accruals     663       128  
Goodwill     728       729  
Intangible assets     183       212  
Inventory     10       56  
Allowance for doubtful accounts     216       93  
Mark to Market Investments     83       -  
Capital Loss     22       22  
Tax Credits     593       562  
Deferred tax assets, gross     36,059       28,269  
                 
Deferred Tax Liabilities:                
Fixed assets     (793 )     (31 )
Deferred Revenue     4     -
Other     (2 )     (8 )
Deferred Tax Liabilities, gross     (791 )     (39 )
                 
Net deferred tax assets     35,268       28,230  
Valuation Allowance     (35,268 )     (28,230 )
Deferred tax assets,net of valuation allowance   -     -  
                 
Change in valuation allowance   $ (7,038 )   $ 5,511