Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Component of Consolidated Income (Loss) Before Provision for Income Taxes

Consolidated income (loss) before provision for income taxes consisted of the following (in thousands):

	Year Ended December 31,
	2013			2012			2011
U.S.	$	(67,004	)	$	(70,792	)	$	(49,990	)
Non U.S.		284			843			1,393
Total	$	(66,720	)	$	(69,949	)	$	(48,597	)

Difference Between Consolidated Income Tax Benefit and Amount Computed by Federal Statutory Income Tax Rate

No income tax expense was recorded for the years ended December 31, 2013, 2012 and 2011 due to net operating loss carryforwards to offset the net income at Dynavax Europe and a valuation allowance which offsets the deferred tax assets. The difference between the consolidated income tax benefit and the amount computed by applying the federal statutory income tax rate to the consolidated loss before income taxes was as follows (in thousands):

	Year Ended December 31,
	2013			2012			2011
Income tax benefit at federal statutory rate	$	(22,678	)	$	(23,650	)	$	(16,523	)
State tax		(178	)		(89	)		(2,586	)
Business credits		(2,515	)		-			(1,394	)
Deferred compensation charges		3,072			1,002			595
Change in valuation allowance		22,354			21,966			18,099
Change in foreign tax rates		-			-			(34	)
Change in the fair value measurements		-			-			286
Non-deductible debt discount		-			-			509
Deemed dividend		-			-			273
Prior year true up		-			-			-
Other		(55	)		771			775
Total income tax expense	$	-		$	-		$	-

Component of Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities as of December 31, 2013 and 2012 consisted of the following (in thousands):

	December 31,
	2013			2012
Deferred tax assets:
Net operating loss carry forwards	$	147,655		$	127,529
Research tax credit carry forwards		21,336			18,163
Accruals and reserves		9,501			8,529
Capitalized research costs		10,662			12,757
Deferred revenue		2,486			2,180
Other		1,222			1,221
		192,862			170,379
Less valuation allowance		(192,733	)		(170,232	)
Total deferred tax assets		129			147
Deferred tax liabilities:
Fixed Assets		(162	)		(86	)
Other		33			(61	)
Total deferred tax liabilities		(129	)		(147	)
Net deferred tax assets	$	-		$	-