Molecular Templates, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2020

Schedule of Reconciliation of Income Taxes at Statutory Federal Income Tax Rate to Net Income Taxes

A reconciliation of income taxes at the statutory federal income tax rate to net income taxes included in the accompanying statements of operations is as follows (in thousands):

	2020			2019
U.S. federal taxes (benefit) at statutory rate	$	(22,032	)	$	(14,578	)
State federal income tax benefit		(895	)		(528	)
Permanent differences		(46	)		34
Stock compensation		524			4,112
Research and development credits		(4,043	)		(1,677	)
Change in valuation allowance due to operations		26,484			12,756
Expiring state carryovers and other		13			(119	)
Total	$	5		$	—

Schedule of Significant Components of Net Deferred Tax Assets

The tax effects of temporary differences that give rise to significant components of the net deferred tax assets are as follows (in thousands):

	December 31,
	2020			2019
Deferred tax assets
Net operating loss carryforward	$	42,029		$	26,554
Research and development credits		9,066			4,147
Deferred stock compensation		3,260			1,571
Deferred revenue		5,195			1,956
Lease liability		3,045			2,835
Other		1,301			736
Total deferred tax assets		63,896			37,799

Total deferred tax liabilities
Depreciable and amortizable assets		(1,677	)		(1,340	)
Right-of-use asset		(2,344	)		(2,112	)
R&D intangible assets		—			(956	)
Total deferred tax liabilities		(4,021	)		(4,408	)
Less: Valuation allowance		(59,875	)		(33,391	)
Net deferred tax assets	$	—		$	—