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Subsequent Event
6 Months Ended
Jun. 30, 2022
Subsequent Events [Abstract]  
Subsequent Event

9. Subsequent Event

On July 26, 2022, the Company received a written evidence from China’s State Taxation Administration, which confirms the transfer of certain intellectual property rights in 2020 relating to the Company’s Chinese business between its wholly owned subsidiaries is exempted from value added tax (“VAT”). The Company evaluated this subsequent event and concluded that it required adjustment and disclosure in the condensed consolidated financial statements. Specifically, the Company released the previously accrued input VAT and output VAT (with a zero net impact to the condensed consolidated balance sheet), the related VAT surcharge, and the estimated late payment fees. As a result, for the three months ended June 30, 2022, the Company recorded a reduction of $8.2 million to the accrued and other current liabilities, and a reduction of $2.3 million to the other assets in the condensed consolidated balance sheet, and a reduction of $6.0 million to other expenses in the condensed consolidated statement of operations.