Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2021
Schedule of net deferred tax assets
The net deferred income tax asset balance related to the following:
 
 
  
Years Ended December 31,
 
 
  
2021
 
  
2020
 
Deferred tax assets
  
  
Stock compensation
    $ 10      $ 64  
Accruals and other
      6,507        4,151  
Debt discount
      597        483  
Royalty liability
      —          2,272  
Net operating loss carryforwards
      62,606        51,981  
Tax credits
      6,731        6,774  
    
 
 
     
 
 
  
Total deferred tax assets
      76,451        65,662  
Less: valuation allowance
      (76,451 )       (65,662 ) 
    
 
 
     
 
 
  
Deferred tax assets, net
    $ —        $ —    
    
 
 
     
 
 
  
Schedule of federal income tax rate to the Company's effective tax rate
A reconciliation of the Company’s statutory income tax rate to the Company’s effective income tax rate is as follows (in thousands):
 
    
Year Ended December 31,
  
    
2021
    
2020
  
Income at U.S. statutory rate
    $ (8,530 )       21.00 %    $  912        21.00 %
State taxes, net of federal benefit
      (2,578 )       6.35 %      (1,583 )       -36.45 % 
Change in fair value
      (2,627 )       6.47 %      (14,047 )       -323.39 % 
Interest Expense
      1,077        -2.65 %      1,410        32.46 % 
Stock compensation
      70        -0.17 %      127        2.93 % 
Transaction costs
      (664 )       1.64 %      —          0.00 % 
Permanent differences and other
      1        0.00 %      6        0.13 % 
Valuation allowance
      13,251        -32.62 %      13,175        303.32 % 
    
 
 
     
 
 
    
 
 
     
 
 
  
       —          0.00 %      —          0.00 % 
    
 
 
     
 
 
    
 
 
     
 
 
  
Schedule of company's valuation allowance
The Company’s valuation allowance for the year ended December 31, 2021 and 2020 is as follows:
 
    
Years Ended December 31,
  
    
2021
     
2020
  
Valuation allowance at beginning of year
    $ 65,662      $ 52,487  
Increases recorded due to income tax provisions
      13,251        13,175  
Decreases recorded to equity
      (2,462 )       —    
    
 
 
     
 
 
  
Valuation allowance at end of year
    $ 76,451      $ 65,662