Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

v3.22.1
INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
SCHEDULE OF INCOME TAX PROVISION (BENEFIT)

The benefit from income taxes for the years ended December 31, 2021 and 2020 consists of the following (in thousands):

 

             
    Years Ended December 31,  
    2021     2020  
Current Federal     -       (2,139 )
Current State     -       -  
Deferred Federal     -       -  
Deferred State     -       -  
Benefit from income taxes     -       (2,139 )
SCHEDULE OF EFFECTIVE INCOME TAX RATE TO THE FEDERAL STATUTORY RATE

The reconciliation of the effective income tax rate to the federal statutory rate is as follows:

 

             
    Years Ended December 31,  
    2021     2020  
Federal income tax rate     (21 )%     (21 )%
State tax, net of federal benefit     (7 )%     (7 )%
Carryback net operating loss     — %     — %
Change in valuation allowances     28 %     12 %
Effective income tax rate    

-

 %     16 %
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES

 

    December 31,
2021		     December 31,
2020		  
Deferred tax assets:                
Inventory valuation   $ 1,373     $ 1,379  
Accrued liabilities and other reserves    

257

       169  
Operating lease liability    

277

       465  
Net operating loss carryforwards     3,158       2,281  
Gross deferred tax assets    

5,065

       4,294  
Valuation allowance     (4,701 )     (3,515 )
Total deferred tax assets    

364

       779  
Deferred tax liabilities:                
Operating lease right-of-use asset, net     (128 )     (436 )
Depreciation     (236 )     (343 )
Total deferred tax liabilities     (364 )     (779 )
Net deferred tax asset (liability)   $ —     $ —