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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2017
Income Tax Disclosure [Abstract] |
Loss Before Provision for Income Taxes | Loss before provision for income taxes includes the following components (in thousands):
|  | Year Ended December 31, |
|  | 2017 |  |  | 2016 |  |  | 2015 |
Domestic |  | $ | (97,938 | ) |  | $ | (155,375 | ) |  | $ | (81,931 | )
Foreign |  |  | 1,862 |  |  |  | 2,727 |  |  |  | 1,260 |
Loss before provision for income taxes |  | $ | (96,076 | ) |  | $ | (152,648 | ) |  | $ | (80,671 | )
Provision for Income Taxes | The provision for income taxes consists of the following (in thousands):
|  | Year Ended December 31, |
|  | 2017 |  |  | 2016 |  |  | 2015 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | — |  |  | $ | — |  |  | $ | — |
State |  |  | 1 |  |  |  | (1 | ) |  |  | (1 | )
Foreign |  |  | 580 |  |  |  | 992 |  |  |  | 529 |
Total Current |  |  | 581 |  |  |  | 991 |  |  |  | 528 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | — |  |  |  | — |  |  |  | — |
State |  |  | — |  |  |  | — |  |  |  | — |
Foreign |  |  | 35 |  |  |  | (115 | ) |  |  | (22 | )
Total Deferred |  |  | 35 |  |  |  | (115 | ) |  |  | (22 | )
Provision for income taxes |  | $ | 616 |  |  | $ | 876 |  |  | $ | 506 |
Income Tax Provision Related to Continuing Operations | Income tax provision related to continuing operations differs from the amount computed by applying the statutory income tax rate of 35% to pretax loss as follows (in thousands):
|  | Year Ended December 31, |
|  | 2017 |  |  | 2016 |  |  | 2015 |
U.S. federal provision (benefit) |  |  |  |  |  |  |  |  |  |  |  |
At statutory rate |  | $ | (33,627 | ) |  | $ | (53,427 | ) |  | $ | (28,235 | )
Tax law changes |  |  | 248,155 |  |  |  | — |  |  |  | — |
Non-cash interest expense on liability related to sale of future royalties |  |  | 6,604 |  |  |  | 6,899 |  |  |  | 7,217 |
Non-deductible officers' compensation |  |  | 2,547 |  |  |  | 220 |  |  |  | 184 |
Change in valuation allowance |  |  | (186,124 | ) |  |  | 51,981 |  |  |  | 22,210 |
Stock-based compensation |  |  | (20,665 | ) |  |  | 528 |  |  |  | 674 |
Sale of future royalties |  |  | (8,236 | ) |  |  | — |  |  |  | — |
Research credits |  |  | (8,038 | ) |  |  | (4,543 | ) |  |  | (4,529 | )
Foreign tax deduction |  |  | — |  |  |  | — |  |  |  | 1,773 |
Other |  |  | — |  |  |  | (782 | ) |  |  | 1,212 |
Provision for income taxes |  | $ | 616 |  |  | $ | 876 |  |  | $ | 506 |
Significant Components of Deferred Tax Assets and Liabilities | We remeasured certain deferred tax assets and liabilities based on the rates at which they are expected to reverse in the future, which includes the change in the federal rate to 21%. Significant components of our deferred tax assets for federal and state income taxes are as follows (in thousands):
|  | December 31, |
|  | 2017 |  |  | 2016 |
Deferred tax assets: |  |  |  |  |  |  |  |
Net operating loss carryforwards |  | $ | 364,864 |  |  | $ | 508,406 |
Research and other credits |  |  | 94,103 |  |  |  | 74,917 |
Stock-based compensation |  |  | 14,552 |  |  |  | 26,357 |
Property, plant and equipment |  |  | 6,848 |  |  |  | 6,882 |
Reserves and accruals |  |  | 5,659 |  |  |  | 12,269 |
Capitalized research expenses |  |  | 5,497 |  |  |  | 11,587 |
Deferred revenue |  |  | 3,796 |  |  |  | 23,035 |
Sale of future royalties |  |  | — |  |  |  | 1,611 |
Other |  |  | 1,156 |  |  |  | 750 |
Deferred tax assets before valuation allowance |  |  | 496,475 |  |  |  | 665,814 |
Valuation allowance for deferred tax assets |  |  | (496,191 | ) |  |  | (665,514 | )
Total deferred tax assets |  |  | 284 |  |  |  | 300 |
Total deferred tax liabilities |  |  | — |  |  |  | — |
Net deferred tax assets |  | $ | 284 |  |  | $ | 300 |
Unrecognized Tax Benefits | We have the following activity relating to unrecognized tax benefits (in thousands):
|  | December 31, |
|  | 2017 |  |  | 2016 |  |  | 2015 |
Beginning balance |  | $ | 18,413 |  |  | $ | 17,384 |  |  | $ | 27,522 |
Tax positions related to current year |  |  |  |  |  |  |  |  |  |  |  |
Additions: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | 1,206 |  |  |  | 530 |  |  |  | 529 |
State |  |  | 1,666 |  |  |  | 499 |  |  |  | 443 |
Reductions |  |  | — |  |  |  | — |  |  |  | — |
Tax positions related to prior year |  |  |  |  |  |  |  |  |  |  |  |
Additions: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | — |  |  |  | — |  |  |  | — |
State |  |  | — |  |  |  | — |  |  |  | — |
Foreign |  |  | — |  |  |  | — |  |  |  | — |
Reductions |  |  | (802 | ) |  |  | — |  |  |  | (11,110 | )
Settlements |  |  | — |  |  |  | — |  |  |  | — |
Lapses in statute of limitations |  |  | — |  |  |  | — |  |  |  | — |
Ending balance |  | $ | 20,483 |  |  | $ | 18,413 |  |  | $ | 17,384 |

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- Definition Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32639-109319 + Details
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- Definition Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32537-109319 + Details
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