Income Taxes
 12 Months Ended
Dec. 31, 2015
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
The following table presents domestic and foreign components of loss before income taxes for the periods presented (in thousands of dollars):
 
Year Ended December 31,
 
2013
 
2014
 
2015
Domestic
$
(187
)
 
$
(11,222
)
 
$
(19,917
)
International
—

 
(1,767
)
 
(2,536
)
Total
$
(187
)
 
$
(12,989
)
 
$
(22,453
)

Taxes computed at the statutory U.S. federal income tax rate of 34% are reconciled to the provision for income taxes as follows (in thousands of dollars):
 
Year Ended December 31,
 
2013
 
2014
 
2015
Effective tax rate
0
%
 
0
%
 
0
%
Statutory rate of 34%
$
(64
)
 
$
(4,416
)
 
$
(7,634
)
State taxes, net of federal benefit
(4
)
 
(256
)
 
(615
)
Foreign rate differential
—

 
245

 
346

Stock-based compensation permanent differences
182

 
464

 
836

Meals and entertainment permanent differences
26

 
232

 
385

Miscellaneous permanent differences
13

 
32

 
165

Warrant fair market value adjustment
—

 
229

 
(59
)
Other adjustments
—

 
474

 
(3
)
Change in valuation allowance
(153
)
 
2,996

 
6,579

Provision for income taxes
$
—

 
$
—

 
$
—


Components of the current and long-term deferred tax assets were as follows (in thousands of dollars):
 
December 31,
 
2014
 
2015
Current:
 

 
 

Accrued expenses
$
754

 
$
882

Valuation allowance
(552
)
 
(642
)
Total current deferred tax asset
$
202

 
$
240

Long-term:
 

 
 
Stock-based compensation
$
360

 
$
854

Future benefit of carry forward losses
9,961

 
17,946

Other accruals
160

 
488

Valuation allowance
(7,740
)
 
(14,229
)
Total long-term deferred tax asset
$
2,741

 
$
5,059

Components of current and long-term deferred tax liabilities were as follows (in thousands of dollars):
 
December 31,
 
2014
 
2015
Current:
 

 
 

Other accruals
$
(19
)
 
$
(20
)
Total current deferred tax liability
$
(19
)
 
$
(20
)
Long-term:
 

 
 
Amortization
$
(2,090
)
 
$
(3,688
)
Depreciation
(814
)
 
(1,591
)
Other accruals
(20
)
 
—

Total long-term deferred tax liability
$
(2,924
)
 
$
(5,279
)
Net deferred tax assets (liabilities)
$
—

 
$
—


The Company has U.S. federal operating loss carry forwards at December 31, 2015 of $47.3 million that will begin to expire in 2026. The Company also has state operating loss carry forwards of $41.5 million that will begin to expire in 2021 and foreign operating loss carry forwards of $4.5 million that do not expire.
The Company applies the accounting guidance for uncertainties in income taxes, which prescribes a recognition threshold and measurement process for recording uncertain tax positions taken, or expected to be taken, in a tax return in the financial statements. Additionally, the guidance also prescribes the treatment for the derecognition, classification, accounting in interim periods and disclosure requirements for uncertain tax positions. The Company accrues for the estimated amount of taxes for uncertain tax positions if it is more likely than not that the Company would be required to pay such additional taxes. An uncertain tax position will be recognized if it is more likely than not to be sustained. The Company has determined that any uncertain tax positions for the tax years open for examination would have no material impact on the consolidated financial statements.
In accordance with Section 382 of the Internal Revenue Code of 1986, as amended, a change in equity ownership of greater than 50% within a three-year period results in an annual limitation on the Company's ability to utilize its NOL carryforwards created during the tax periods prior to change in ownership. The Company has determined that ownership changes have occurred and as a result, a portion of the Company's NOL carryforwards might be limited.
With respect to foreign earnings, it is the Company's policy to invest the earnings of foreign subsidiaries indefinitely outside the United States. As of December 31, 2015, the Company's non-U.S. subsidiary had no undistributed earnings.