Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

v2.4.1.9
INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2014
Income Tax Disclosure [Abstract]  
Schedule of Income Tax Provision Benefit

The components of the provision (benefit) consist of the following:

 

 

 

2014

 

 

2013

 

Current:

 

 

 

 

 

 

 

 

Federal

 

$

6,430

 

 

$

14,491

 

State

 

 

3,305

 

 

 

20,164

 

Total current

 

$

9,735

 

 

$

34,655

 

Deferred:

 

 

 

 

 

 

 

 

Federal

 

 

350,338

 

 

 

(129,228

)

State

 

 

1,115

 

 

 

(8,117

)

Change in valuation allowance

 

 

(221,443

)

 

 

172,457

 

Total deferred

 

$

130,010

 

 

$

35,112

 

Provision (benefit) for income taxes

 

$

139,745

 

 

$

69,767

 

 

Schedule of Effective Income Tax Rate Reconciliation

The income tax provision (benefit) differs from that computed at the federal statutory corporate income tax rate as follows for years ended December 31, 2014 and 2013:

 

 

 

2014

 

 

2013

 

Tax provision/(benefit) computed at the federal statutory rate

 

$

68,787

 

 

$

215,249

 

State income tax (provision), net of federal benefit

 

 

3,067

 

 

 

18,600

 

Permanent items

 

 

95,916

 

 

 

(166,522

)

Credits

 

 

(83,978

)

 

 

(170,017

)

True ups and rounding

 

 

206,719

 

 

 

 

Change in valuation allowance

 

 

(221,443

)

 

 

172,457

 

Uncertain tax positions

 

 

70,677

 

 

 

 

Income tax provision (benefit)

 

$

139,745

 

 

$

69,767

 

 

Schedule of Deferred Tax Assets

The tax effects of significant temporary differences representing net deferred tax assets and liabilities consisted of the following at December 31, 2014 and 2013:

 

 

 

2014

 

 

2013

 

Deferred Tax Assets:

 

 

 

 

 

 

 

 

Current deferred tax assets

 

$

48,000

 

 

$

 

Intangible assets

 

 

96,000

 

 

 

202,737

 

Unrealized foreign currency translation

 

 

8,000

 

 

 

157,077

 

Research & development credits

 

 

205,000

 

 

 

111,150

 

Other

 

 

50,035

 

 

 

39,983

 

Total deferred tax assets

 

 

407,035

 

 

 

510,947

 

 

 

 

 

 

 

 

 

 

Deferred Tax Liabilities:

 

 

 

 

 

 

 

 

Basis difference in fixed assets

 

 

(148,000

)

 

 

(47,278

)

Uncertain tax positions

 

 

(68,000

)

 

 

 

Total deferred tax liabilities

 

 

(216,000

)

 

 

(47,278

)

 

 

 

 

 

 

 

 

 

Gross deferred tax asset (liability)

 

 

191,035

 

 

 

463,669

 

Less: valuation allowance

 

 

 

 

 

 

Net deferred tax assets

 

$

191,035

 

 

$

463,669