Annual report pursuant to Section 13 and 15(d)

10. Income Taxes (Tables)

v3.3.1.900
10. Income Taxes (Tables)
12 Months Ended
Dec. 31, 2015
Income Tax Disclosure [Abstract]  
Components of loss before income taxes
    Year ended December 31,  
    2015     2014  
Domestic (U.S.)   $ (7,724,418 )   $ (4,040,654 )
Foreign (U.K.)     (4,767,363 )     (10,003,427 )
Foreign (Germany)     (15,690 )     (263,023 )
Loss before income taxes   $ (12,507,471 )   $ (14,307,104 )
Reconciliation of income tax provision (benefit)
    Year ended December 31,  
    2015     2014  
Federal   $ (4,252,540 )   $ (4,860,256 )
State     (276,601 )     (145,209 )
Increase in tax losses not recognized     2,238,879       4,949,805  
Permanent differences, net     800,891       (1,529,190 )
Mark to market     722,540        
Foreign rate differential     502,357       1,184,770  
Share-based payments, net     308,888       505,035  
Other           7,273  
Enhanced research and development tax credits     (44,414 )     (112,228 )
Net provision (benefit) for income taxes   $     $  
Schedule of deferred tax assets and liabilities
    Year ended December 31,  
    2015     2014  
Deferred tax assets:                
U.K. net operating loss carryforwards   $ 9,402,398     $ 9,198,798  
U.K. capital loss carryforwards     1,775,932       1,874,254  
U.S. federal net operating loss carryforwards     1,659,050       923,816  
Share-based payments     1,313,226       52,320  
Enhanced research and development tax credits     852,272       786,342  
Germany net operating loss carryforwards     401,906       393,638  
U.S. state net operating loss carryforwards     422,622       233,825  
Accrued expenses     44,557       157,329  
Depreciation     25,823       37,703  
Other     4,998       115,384  
Total deferred tax assets before valuation allowance     15,902,784       13,773,409  
Deferred tax liabilities:                
Indefinite-lived intangible asset     (2,918,518 )     (3,080,096 )
Debt discount     (578,346 )      
Total deferred tax liabilities     (3,496,864 )     (3,080,096 )
Less valuation allowance     (15,324,438 )     (13,773,409 )
Total net deferred tax liability   $ (2,918,518 )   $ (3,080,096 )
Uncertain tax benefits
    Year ended December 31,  
    2015     2014  
Uncertain tax benefits as of January 1   $     $ 185,961  
Gross adjustments in tax positions           (185,961 )
Uncertain tax positions as of December 31   $     $