Sonnet BioTherapeutics, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Accounts Payable and Accrued Expenses

Accounts Payable and Accrued Expenses

6 Months Ended

Jun. 30, 2019

Payables and Accruals [Abstract]

Accounts Payable and Accrued Expenses

9. ACCOUNTS PAYABLE AND ACCRUED Expenses

Accounts payable and accrued expenses are summarized as follows:

	June 30, 2019		December 31, 2018
Accounts payable and accrued expenses	$	4,781,325	$	3,591,641
Accrued taxes (VAT, Sales, Payroll, etc.)		4,206,363		3,243,806
Accrued income taxes		43,520		61,790
Accrued interest		496,533		489,269
	$	9,527,741	$	7,386,506

As of June 30, 2019, approximately $3.4 million of employee and employer taxes, including penalties and interest, have been accrued but not remitted to certain taxing authorities by the Company for cash compensation paid. As a result, the Company is liable for such payroll taxes and any related penalties and interest. A portion of the proceeds from the rights offering as discussed in Note 10 were used in July 2019 to pay down a portion of these payroll taxes accrued at June 30, 2019.