v3.26.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Domestic and Foreign Components of Net Loss Before Income Taxes

The domestic and foreign components of net loss before income taxes are as follows:

 

(In thousands)   2025     2024  
   

For the Years Ended
December 31,

(In thousands)   2025     2024  
Domestic   $ (19,472   $ (21,819
Foreign     -       -  
Net loss before income taxes   $ (19,472   $ (21,819
Schedule of Income Tax Provision (Benefit)

The following summarizes the Company’s income tax provision (benefit):

 

(In thousands)  2025   2024 
   For the Years Ended
December 31,
 
(In thousands)  2025   2024 
Federal:          
Current  $-   $- 
Deferred   (3,174)   (4,030)
           
State and local:          
Current   -    - 
Deferred   (1,069)   (1,393)
Federal, State and Local, Tax Expense   (4,243)   (5,423)
Change in valuation allowance   4,243    5,423 
Income tax provision (benefit)  $-   $- 
Schedule of Effective Income Tax Rate Reconciliation

In accordance with this guidance, the following table provides a disaggregated reconciliation of the Company’s effective income tax rate to the U.S. statutory federal income tax rate:

 

   Percentage  

Amount

(In thousands)

 
   For the Year Ended
December 31, 2025
 
   Percentage  

Amount

(In thousands)

 
Tax benefit at federal statutory rate   21.0%  $(4,089)
State taxes, net of federal benefit   -    - 
Foreign tax effects   -    - 
Effects of changes in tax laws or rates enacted   -    - 
Effect of cross-border tax laws   -    - 
Tax credits:          
Research and development costs   -    - 
Changes in valuation allowance   (16.3)%   3,174 
Nontaxable or nondeductible items:          
Stock-based compensation   (1.9)%   373 
Others   (0.5)%   90 
    3.8      
Changes in unrecognized tax benefits   -    - 
Other adjustments:          
Stock-based compensation true-up   (2.5)%   486 
Other adjustments   0.2%   (34)
    (0.1      
    (0.5      
Effective income tax   0.0%  $- 

 

The reconciliation between the U.S. statutory federal income tax rate and the Company’s effective tax rate for the year ended December 31, 2024 is as follows in accordance with the guidance prior to adoption of ASU 2023-09:

 

   For the Year Ended
December 31,
 
   2024  
Tax benefit at federal statutory rate   (21.0 )%
State taxes, net of federal benefit   (7.0 )%
Nondeductible compensation   3.8 %
Permanent differences   (0.1 )%
True up adjustments   (0.5 )%
Change in valuation allowance   24.8 %
Effective income tax rate   0.0 %
Schedule of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets are as follows:

  

(In thousands)  2025   2024 
  

For the Years Ended

December 31,

 
(In thousands)  2025   2024 
Deferred tax assets:          
Net operating loss carryforwards  $28,054   $22,163 
Research and development credit carryforwards   186    186 
Research and development expense   3,845    5,347 
Intangible assets   202    190 
Operating lease liability   196    298 
Stock-based compensation   1,942    2,245 
Impairment loss   137    137 
Property and equipment   68    25 
Unrealized loss on short-term investments   110    6 
Total gross deferred tax assets   34,740    30,597 
Deferred tax liabilities          
Operating lease asset   (183)   (282)
Unrealized gain on short-term investments   -    - 
Property and equipment   -    - 
Total net deferred tax assets   34,557    30,315 
Less: valuation allowance   (34,557)   (30,315)
Total deferred tax assets  $-   $-