13. Income Taxes

The components of the provision for (benefit from) income taxes for the years ended December 31, 2015, 2014, and 2013 are as follows:

	Year Ended			Year Ended			Year Ended
	December 31, 2015			December 31, 2014			December 31, 2013

Current:
Federal	$	-		$	-		$	68,431
State		444,538			233,940			57,476
		444,538			233,940			125,907
Deferred:
Federal		(1,510,726	)		(1,718,351	)		1,078,543
State		(269,845	)		(243,312	)		291,646
		(1,780,571	)		(1,961,663	)		1,370,189
	$	(1,336,033	)	$	(1,727,723	)	$	1,496,096

A reconciliation of the statutory federal income tax provision (benefit) to the Company’s provision for (benefit from) income tax is as follows:


	Year Ended			Year Ended			Year Ended
	December 31, 2015			December 31, 2014			December 31, 2013
Statutory federal income tax expense	$	1,705,610		$	(838,519	)	$	(1,012,349	)
Effect of non-taxable REIT income		(2,866,950	)		(898,576	)		2,159,323
State income tax benefit		(174,693	)		9,372			349,122
	$	(1,336,033	)	$	(1,727,723	)	$	1,496,096

As of December 31, 2015 and 2014, we had a net deferred tax asset of approximately $5.4 million and $3.5 million, respectively, of which, approximately $4.5 million and $2.7 million, respectively, are due to accumulated net operating losses. These loss carryforwards will begin to expire in 2028 if not utilized. As of December 31, 2015 and 2014, approximately $0.2 million and $0.2 million, respectively, of the deferred tax asset is attributable to our share of start-up expenses related to the Crowne Plaza Hollywood Beach Resort and start-up expenses related to the opening of the Sheraton Louisville Riverside and the Crowne Plaza Tampa Westshore, all of which were not deductible when incurred and are now being amortized over 15 years. The remainder of the deferred tax asset is attributable to year-to-year timing differences for accrued, but not deductible, employee performance awards, vacation and sick pay, bad debt allowance and depreciation. We believe that it is more likely than not that the deferred tax asset will be realized and that no valuation allowance is required.