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Income Taxes (Notes)
 12 Months Ended
Dec. 31, 2013
Income Tax Disclosure [Abstract]  
Income Tax Disclosure [Text Block]
INCOME TAXES
 
The components of the Company’s net deferred income taxes are as follows (rounded):
 
December 31,
2013
December 31,
2012
Deferred tax assets:
 
 
Net operating loss carry forwards
$
9,171,000

$
8,457,000

Accrued expenses
72,000

32,000

Depreciation and amortization
23,000

19,000

Stock option and warrant expenses
285,000

51,000

Deferred rent
5,000

—

Other
2,000

2,000

Gross deferred income tax assets
9,558,000

8,561,000

Valuation allowance
(9,558,000
)
(8,561,000
)
Total deferred income tax assets
$
—

$
—



The following summary reconciles differences from taxes at the federal statutory rate with the effective rate:
 
Twelve Months Ended December 31,
 
2013
2012
Federal income tax at statutory rates
(34.0
)%
(34.0
)%
Change in deferred tax asset valuation allowance
30.0
 %
35.9
 %
Deferred state taxes
(2.8
)%
(3.5
)%
Non-deductible expenses:
 
 
Meals & entertainment
0.3
 %
0.2
 %
Change in fair value of warrants
2.6
 %
0.7
 %
ISO stock compensation
1.0
 %
0.4
 %
Other
2.9
 %
0.3
 %
Income taxes (benefit) at effective rates
—
 %
—
 %


The Company has incurred net losses since inception. At December 31, 2013, the Company had approximately $24,614,000 in net operating loss carryforwards for U.S. federal and state income tax purposes that expire in various amounts between the years of 2026 and 2032. The Company's ability to deduct its historical net operating losses may be limited in the future due to IRC Section 382 limitations as a result of the substantial issuances of common stock in 2012 and 2013. The change in valuation allowance for the years ended December 31, 2013 and 2012 was an increase of $997,000 and $1,677,000, respectively, resulting primarily from net operating losses generated during the periods.