INCOME TAXES (Tables)
|
3 Months Ended |
Mar. 31, 2024 |
| Income Tax Disclosure [Abstract] |
|
| SCHEDULE OF LOSS BEFORE INCOME TAXES |
Loss
before income taxes consists of the following:
SCHEDULE
OF LOSS BEFORE INCOME TAXES
| | |
2024 | | |
2021 (restated) | | |
2022 (restated) | | |
2023 | |
| | |
Three Months Ended
March 31, | | |
Year Ended December 31, | |
| | |
2024 | | |
2021 | | |
2022 | | |
2023 | |
| U.S. operations | |
$ | (7,990 | ) | |
$ | (14,996 | ) | |
$ | (10,303 | ) | |
$ | (16,494 | ) |
| Foreign operations | |
| (162 | ) | |
| 4,113 | | |
| 4,421 | | |
| 11,443 | |
|
| SCHEDULE OF PROVISION FOR INCOME TAXES |
The
provision for income taxes consists of the following for the periods presented:
SCHEDULE
OF PROVISION FOR INCOME TAXES
| |
2024 | | |
2021 (restated) | | |
2022 (restated) | | |
2023 | |
| | |
Three Months Ended March 31, | | |
Year Ended December 31, | |
| |
2024 | | |
2021 | | |
2022 | | |
2023 | |
| Current: | |
| | |
| | |
| | |
| |
| Federal | |
$ | - | | |
$ | - | | |
$ | - | | |
$ | - | |
| State | |
| 25 | | |
| 16 | | |
| 93 | | |
| 68 | |
| Foreign | |
| 220 | | |
| 127 | | |
| 69 | | |
| 519 | |
| Total current provision | |
$ | 245 | | |
$ | 143 | | |
$ | 162 | | |
$ | 587 | |
| Deferred: | |
| | | |
| | | |
| | | |
| | |
| Federal | |
$ | - | | |
$ | - | | |
$ | - | | |
$ | - | |
| State | |
| - | | |
| - | | |
| - | | |
| - | |
| Foreign | |
| 107 | | |
| 1,745 | | |
| 708 | | |
| 2 | |
| Total deferred provision | |
$ | 107 | | |
$ | 1,745 | | |
$ | 708 | | |
$ | 2 | |
| Total provision for income taxes | |
$ | 352 | | |
$ | 1,888 | | |
$ | 870 | | |
$ | 589 | |
|
| SCHEDULE OF STATUTORY FEDERAL INCOME TAX RATE |
The
difference between income taxes at the statutory federal income tax rate and income taxes reported in the Consolidated Statements of
Operations for the years ended December 31 and March 31 is attributable to the following:
SCHEDULE
OF STATUTORY FEDERAL INCOME TAX RATE
| | |
2024 | | |
2021 (restated) | | |
2022 (restated) | | |
2023 | |
| | |
Three Months Ended March 31, | | |
Year Ended December 31, | |
| | |
2024 | | |
2021 | | |
2022 | | |
2023 | |
| Income tax benefit at the federal statutory rate | |
$ | (1,712 | ) | |
$ | (2,285 | ) | |
$ | (1,236 | ) | |
$ | (1,061 | ) |
| State and local income taxes, net of federal taxes | |
| (145 | ) | |
| 411 | | |
| (313 | ) | |
| (298 | ) |
| Increase (decrease) in valuation allowance | |
| 1,570 | | |
| 595 | | |
| (1,105 | ) | |
| 1,488 | |
| Remeasurement of deferred tax adjustments | |
| 8 | | |
| 1,302 | | |
| 359 | | |
| 4 | |
| Permanent differences and other | |
| 222 | | |
| 269 | | |
| 810 | | |
| 678 | |
| Foreign rate differential | |
| 396 | | |
| 1,008 | | |
| (151 | ) | |
| (1,924 | ) |
| GILTI inclusion | |
| - | | |
| 509 | | |
| 2,425 | | |
| 1,586 | |
| Other | |
| 13 | | |
| 79 | | |
| 81 | | |
| 57 | |
| Acquisition fees | |
| - | | |
| - | | |
| - | | |
| 59 | |
| Income tax expense | |
$ | 352 | | |
$ | 1,888 | | |
$ | 870 | | |
$ | 589 | |
|
| SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES |
The
tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at
December 31, 2022 and 2023 and March 31, 2024 are presented below:
SCHEDULE
OF DEFERRED TAX ASSETS AND LIABILITIES
| | |
December 31,
2022 | | |
December 31,
2023 | | |
March 31,
2024 | |
| Deferred tax assets: | |
| | | |
| | | |
| | |
| Net operating loss carryforwards | |
$ | 27,722 | | |
$ | 27,643 | | |
$ | 28,135 | |
| Capital loss carryforwards | |
| 10,670 | | |
| 10,179 | | |
| 10,377 | |
| Deferred revenue | |
| 2,035 | | |
| 2,241 | | |
| 2,265 | |
| Stock-based compensation | |
| 459 | | |
| 302 | | |
| 230 | |
| Federal research and development tax credits | |
| 1,058 | | |
| 1,058 | | |
| 1,058 | |
| Capitalized research | |
| 980 | | |
| 1,396 | | |
| 1,524 | |
| Inventories | |
| 324 | | |
| 411 | | |
| 383 | |
| Bad debt reserve | |
| 594 | | |
| 724 | | |
| 639 | |
| Deferred lease liability | |
| 548 | | |
| 425 | | |
| 388 | |
| Acquisition costs | |
| - | | |
| 923 | | |
| 1,455 | |
| Other deductible temporary differences | |
| 2,610 | | |
| 2,399 | | |
| 2,859 | |
| Total gross deferred tax assets | |
$ | 47,000 | | |
$ | 47,701 | | |
$ | 49,313 | |
| Less: valuation allowance | |
| (43,692 | ) | |
| (44,495 | ) | |
| (46,532 | ) |
| Net deferred tax assets | |
$ | 3,308 | | |
$ | 3,206 | | |
$ | 2,781 | |
| | |
| | | |
| | | |
| | |
| Deferred tax liabilities: | |
| | | |
| | | |
| | |
| Intangible amortization | |
$ | (4,403 | ) | |
$ | (4,068 | ) | |
$ | (3,958 | ) |
| ROU assets | |
| (498 | ) | |
| (382 | ) | |
| (348 | ) |
| Other deductible temporary differences | |
| - | | |
| (343 | ) | |
| (159 | ) |
| Total deferred tax liabilities | |
$ | (4,901 | ) | |
$ | (4,793 | ) | |
$ | (4,465 | ) |
| | |
| | | |
| | | |
| | |
| Net deferred tax liabilities | |
$ | (1,593 | ) | |
$ | (1,587 | ) | |
$ | (1,684 | ) |
|
| SCHEDULE OF UNRECOGNIZED TAX POSITIONS |
A
reconciliation of the beginning and ending amount of unrecognized tax positions is as follows as of December 31, 2022 and 2023 and March
31, 2024:
SCHEDULE OF UNRECOGNIZED TAX POSITIONS
| | |
December 31,
2022 | | |
December 31,
2023 | | |
March 31,
2024 | |
| Balance at the beginning of the period | |
$ | 384 | | |
$ | 344 | | |
$ | 294 | |
| Additions based on tax provisions taken related to current period | |
| 123 | | |
| 139 | | |
| 27 | |
| Reductions related to expiration of statute of limitations | |
| (163 | ) | |
| (189 | ) | |
| - | |
| Balance at the end of period | |
$ | 344 | | |
$ | 294 | | |
$ | 321 | |
|