Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.21.2
Income Taxes (Tables)
12 Months Ended
Jul. 31, 2021
Income Tax Disclosure [Abstract]  
Schedule of (Benefit) Provision for Income Taxes

Set forth below is the (benefit) provision for income taxes for continuing operations for the years ended July 31:

 

All figures below are rounded to the nearest thousand   2021     2020  
Current:   $       $    
Federal     -       -  
State     (2,412,000 )     (872,000 )
Foreign     -       -  
Total (benefit from) provision for income taxes   $ (2,412,000 )   $ (872,000 )

Schedule of Significant Components of Deferred Tax Assets

Significant components of the Company’s deferred tax assets as of July 31, 2021 and 2020 are listed below:

 

All figures below are rounded to the nearest thousand   2021     2020  
Net operating loss carryforwards   $ 56,369,000     $ 46,623,000  
Credits     5,566,000       4,311,000  
Start-up costs     17,000       21,000  
Accumulated depreciation     74,000       98,000  
Option and stock awards     1,179,000       386,000  
Other     180,000       122,000  
Net deferred tax assets     63,385,000       51,561,000  
Valuation allowance for deferred tax assets     (63,385,000 )     (51,561,000 )
Net deferred taxes   $ -     $ -  

Schedule of Reconciliation of Income Taxes Using Statutory Income Tax Rate

A reconciliation of income taxes using the statutory income tax rate, compared to the effective rate, is as follows:

 

    2021     2020  
Federal tax benefit at the expected statutory rate     21.00 %     21.00 %
State income tax, net of federal tax benefit     4.01 %     1.60 %
Non-deductible expenses     (1.17 )%     (0.76 )%
Tax impact of stock option cancellations     - %     (10.04 )%
Tax impact of sales of state net operating losses and credits     (1.07 )%     (0.4 )%
Change in valuation allowance     (20.05 )%     (11.46 )%
Other     2.35 %     2.08 %
Income tax benefit - effective rate     5.07 %     2.02 %