Pieris Pharmaceuticals, Inc. General form of registration statement for all companies including face-amount certificate companies

General form of registration statement for all companies including face-amount certificate companies

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

The income tax benefits are as follows:


	Years ended December 31,
	2014		2013
Current	$	18	$	–
Total income tax benefit	$	18	$	–

Principal Differences Between Income Taxes Computed at U.S. Statutory Tax Rate and German Statutory Tax Rate and Respective Effective Tax Rate

The applicable U.S. statutory federal income tax rate was 34.00% for the year ended December 31, 2014. The applicable German statutory federal income tax rate was 29.13% for the year ended December 31, 2013 and December 31, 2014. The principal differences between income taxes computed at the U.S. statutory tax rate for the year ended December 31, 2014 and at the German statutory tax rate for the year ended December 31, 2013 and the respective effective tax rate are as follows:


	Years ended December 31,
	2014			2013
Income tax expense (benefit) at the statutory federal income tax rate	$	(3,348,994	)	$	19,280
Decrease in allowances on deferred tax assets	$	(4,811,972	)	$	(37,210	)
Differences local / Group tax rate		420,337			–
Nondeductible expenses		438,797			17,930
Correction of net operating loss carryforwards		7,307,952			–
Other		(6,102	)		–
Total income tax expense (benefit)	$	18		$	–

Components of Deferred Tax Assets and Liabilities

The components of deferred tax assets and liabilities related to net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income taxes purposes were as follows:


	December 31,
	2014		2013
Deferred tax assets
Net operating loss carryforwards	$	9,951,666	$	16,859,179
Deferred revenue		–		138,378
Equity issuance cost		–		102,935
Bank loan		12,653		23,014
Intercompany Loan Australia		1,129		–

Total deferred tax assets		9,965,448		17,123,506

Valuation allowance		9,916,553		17,053,767

Net deferred tax assets		48,895		69,739
Deferred tax liabilities
Useful life adjustment fixed assets		30,646		54,303
Adjustment accruals		8,811		15,436
Prepaid expenses		9,438		–

Total deferred tax liabilities		48,895		69,739

Net deferred tax asset/(liability)	$	–	$	–