Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Loss before Income Tax Attributable to Geographic Location

Loss before income taxes is attributed to the following geographic locations for the years ended December 31,


	2013		2012
United States	$	26,080,000	$	28,356,000
Foreign		359,000		133,000

Total loss before income taxes	$	26,439,000	$	28,489,000

Components of Deferred Tax Assets and Liabilities

Significant components of our deferred tax assets and liabilities at December 31 are as follows:


	2013			2012
Deferred tax assets:
Capitalized research and development costs	$	59,426,000		$	53,824,000
Net operating losses		56,906,000			53,687,000
Research and development credits		8,931,000			7,777,000
Accrued wind down cost		—			292,000
Stock-based compensation		1,063,000			853,000
Capital loss carryover		541,000			544,000
Fixed assets		452,000			430,000
Other		1,289,000			1,002,000

		128,608,000			118,409,000
Valuation allowance		(128,315,000	)		(118,045,000	)

Total deferred tax assets	$	293,000		$	364,000

Deferred tax liability:
Intangible assets		(293,000	)		(364,000	)

Total deferred tax liability	$	(293,000	)	$	(364,000	)

Net deferred tax assets	$	—		$	—

Reconciliation of Federal Income Tax Rate

The effective tax rate as a percentage of income before income taxes differs from the statutory federal income tax rate (when applied to income before income taxes) for the years ended December 31 as follows:


	2013			2012			2011
Statutory federal income tax (benefit) rate		(34	)%		(34	)%		(34	)%
State income tax (benefit) rate		—			(3.3	)		(3.4	)
Increase resulting from:
Expenses not deductible for taxes		0.5			8.8			(6.7	)
Increase in valuation allowance		38.8			3.7			32.8
Change in state deferred tax rate		1.1			17.7			0
Change in foreign deferred tax rate		0.9			1.8			0
Expiration of tax attributes		0.5			5.3			11.3
Prior year true up		(0.7	)		—			—
Tax credits		(3.0	)		—			—
Warrant valuation		(4.1	)		—			—

Effective tax (benefit) rate		0	%		0	%		0	%