Company: INSP
Filing Date: 2025-02-10
Form Type: 10-K
Source: 0001609550-25-000011
Chunk: 114

Company: Inspire Medical Systems, Inc.
Filing Date: 2025-02-10
Form: 10-K
Item: Item 8
Chunk 114
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otes to Consolidated Financial Statements(Table amounts in thousands, except share and per share amounts)

The components of our provision for income taxes are as follows:December 31,202420232022CurrentUnited States$4,103 $644 $342 Foreign854 603 271 Total current4,957 1,247 613 DeferredForeign(13)— — Total deferred(13)— — Total provision for income taxes$4,944 $1,247 $613 The reconciliation of taxes at the federal statutory rate to our provision for income taxes are as follows:Year Ended December 31,202420232022Tax at federal statutory rate21.0 %21.0 %21.0 %State, net of federal benefit6.5 4.0 3.4 Stock-based compensation2.1 33.6 9.1 Research and development ("R&D") tax credit(7.8)20.6 6.4 Other2.2 (4.6)(0.7)Executive compensation4.0 (16.3)(0.1)Change in valuation allowance(18.9)(64.6)(40.5)Total9.1 %(6.3)%(1.4)%

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Table of ContentsInspire Medical Systems, Inc.Notes to Consolidated Financial Statements(Table amounts in thousands, except share and per share amounts)

Significant components of net deferred tax assets and liabilities were as follows:Year Ended December 31,20242023Deferred tax assets:Net operating losses$16,290 $57,276 R&D tax credits12,631 14,110 R&D expenditures, capitalized for tax38,813 22,533 Accruals and other4,623 3,587 Depreciation177 79 Lease liability7,830 6,138 Inventory1,852 2,561 Stock-based compensation31,097 16,824 Total deferred tax assets113,313 123,108 Deferred tax liabilities:Lease asset(5,742)(5,600)Other comprehensive income(91)(141)Total deferred tax liabilities(5,833)(5,741)Net deferred tax assets107,480 117,367 Valuation allowance(107,467)(117,367)Total deferred income taxes$13 $— Deferred income taxes reflect the tax effects of net