Energous Corporation 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, 2014

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

As of December 31, 2014 and 2013, the Company’s deferred tax assets (liabilities) consisted of the effects of temporary differences attributable to the following:

	December 31,
	2014		2013
Deferred tax assets (liabilities):
Tax credit and net operating loss carryovers	$	3,191,795	$	900,830
Property and equipment		(20,282)		-
Research and development costs		5,820,399		845,900
Start-up and organizational costs		1,443		1,554
Stock-based compensation		448,893		647
Other accruals		188,439		90,680
Total gross deferred tax assets		9,630,687		1,839,611
Less: valuation allowance		(9,630,687)		(1,839,611)
Deferred tax assets, net	$	-	$	-

Summary of Valuation Allowance [Table Text Block]

The change in the Company’s valuation allowance is as follows:

	2014		2013
January 1,	$	1,839,611	$	8,472
Increase in valuation allowance		7,791,076		1,831,139
December 31,	$	9,630,687	$	1,839,611

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

	For the Year			For the Year
	Ended			Ended
	December 31,			December 31,
	2014			2013
Tax benefit at federal statutory rate		(34.0)	%		(34.0)	%
State income taxes		(5.8)			(5.8)
Permanent difference:
Stock-based compensation		1.1			0.1
Derivative instrument issuance - financing warrant		-			1.3
Change in fair value of derivative liability		22.9			1.3
General and administrative expense - consulting warrant		-			3.9
Amortization of debt discount		0.8			-
Gain on debt extinguishment		(1.8)			-
Other		0.6			-
Federal research and development tax credit		(0.9)			-
Increase in valuation allowance		17.1			33.2
Effective income tax rate		0.0	%		0.0	%