Annual report pursuant to section 13 and 15(d)

Income Taxes (Tables)

v2.4.0.8
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2013
Income Tax Disclosure [Abstract]  
Schedule of Income Tax Provision Benifit

The income tax provision (benefit) is composed of the following at December 31:

 

      2013     2012  
      Federal       State       Total       Federal       State       Total  
Current   $ -     $ -     $ -     $ -     $ -     $ -  
Deferred     -       -       -       -       -       -  
                    $ -                     $ -  

Schedule of Effective Income Taxes Rate

The following table presents a reconciliation of the statutory Federal rate and the Company’s effective tax rate for the years ended December 31:

 

    2013     2012  
Tax provision (benefit) at Federal statutory rate     (34.00 )%     (34.00 )%
Accrued compensation     1.19 %     9.82 %
Accrued interest expense     0.34 %     9.73 %
Stock based compensation     0.08 %     0.32 %
Depreciation and amortization     (0.21 )%     0.13 %
Other     0.05 %     0.05 %
Change in valuation allowance     32.55 %     13.96 %
Effective tax rate     0.00 %     0.00 %

Schedule of Deferred Income Tax Assets

The following table presents significant components of the Company’s deferred tax assets and liabilities for the years ended December 31:

 

    2013     2012  
Deferred tax assets:                
Net operating loss carryforwards   $ 8,879,799     $ 7,695,899  
Accrued compensation     1,720,775       1,662,473  
Accrued interest     251,167       257,620  
Credit carryforwards     124,525       124,525  
Stock based compensation     611,380       802,512  
Discount amortization     630,104       321,301  
Amortization     53,595       41,895  
Gross deferred tax assets     12,271,345       10,906,224  
Less valuation allowance     (12,188,172 )     (10,844,963 )
Net deferred tax assets     83,173       61,261  
Deferred tax liabilities:                
Depreciation     (68,371 )     (46,501 )
Gain on sale of assets     (14,802 )     (14,760 )
Gross deferred tax liabilities     (83,173 )     (61,261 )
Net deferred tax assets   $ -     $ -