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Income Taxes
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The components of the Company's net deferred tax assets at December 31 are as follows:
20232022
Deferred Tax Assets
Net operating loss and tax credits$15,427,801 $16,164,754 
Property and equipment and intangibles71,990 264,653 
Operating lease liabilities1,307,178 1,121,800 
Intangible assets2,337,091 866,942 
Capitalized research cost2,208,093 1,481,455 
Allowance for accounts receivable147,919 145,803 
Reserve for expired product616,979 654,148 
Inventory185,189 217,025 
Deferred charges937,935 1,156,150 
Cumulative compensation costs incurred on deductible equity awards176,926 635,989 
Total deferred tax assets23,417,101 22,708,719 
Deferred Tax Liabilities
Operating lease right-of-use assets(1,547,773)(1,150,935)
Intangible assets— — 
Net deferred tax assets, before valuation allowance21,869,328 21,557,784 
Less: deferred tax asset valuation allowance(21,869,328)(21,557,784)
Net deferred tax assets$— $— 
The following table summarizes the amount and year of expiration of the Company's federal and state net operating loss carryforwards as of December 31, 2023:
Years of expirationFederalState
2024$— $30,756,304 
2025-204245,709,390 28,333,628 
Indefinite Period6,405,835 473,278 
Total federal and state net operating loss carryforwards$52,115,225 $59,563,210 
Income tax expense includes the following components for the years ended December 31:
20232022
Current:
Federal$— $— 
State and other45,769 68,850 
Total current income tax expense45,769 68,850 
Deferred:
Federal— — 
State— — 
Total deferred income tax expense— — 
Total income tax expense$45,769 $68,850 
The Company’s effective income tax rate for 2023 and 2022 reconciles with the federal statutory tax rate as follows:
20232022
Federal tax expense at statutory rate$21.00 $21.00 
State income tax expense (net of federal income tax benefit)(0.58)2.11 
Permanent differences associated with general business credits0.80 — 
Change in valuation allowance(4.96)(21.76)
Other permanent differences(6.51)(2.58)
Expiring tax credits(3.32)— 
Deferred True-ups(7.16)— 
Net loss tax expense$(0.73)$(1.23)
The Company believes that it is not more likely than not that its net deferred tax assets will be realized. As such, the net deferred tax assets are fully offset with a valuation allowance as of the periods ended December 31, 2023 and 2022.
As of December 31, 2023, the Company has general business credit carryforwards of $1.3 million. These credit carryforwards will expire in years 2024 through 2044.
Years of expirationFederal
2024$18,370 
2025-20441,322,531 
Total federal and state credit carryforwards$1,340,901 
The Company expects it will continue to pay minimal taxes in future periods through the continued utilization of net operating loss carryforwards, as it is able to achieve taxable income through its operations.
The Company is no longer subject to U.S. federal tax examinations for tax years before 2020, and with few exceptions, the Company is not subject to examination by state tax authorities for tax years which ended before 2020. Loss carryforwards and credit carryforwards generated or utilized in years earlier than 2020 remain subject to examination and adjustment. The Company has no unrecognized tax benefits in 2023 and 2022.