Form S-I Table of Contents Blue Buffalo Pet Products, Inc. Notes to Consolidated Financial Statements (Continued) approximately $0.1 million and $0.2 million in interest and penalties related to its unrecognized tax benefits, respectively. For the year ended December 31, 2014, the Company recorded approximately $0.3 million of both interest and penalties related to its unrecognized tax benefits. Components of deferred tax assets and liabilities were as follows: December 31, December 31, (dollars In thousands) 2013 2014 Deferred tax assets: Inventories $ 1.734 $ 1,869 Accrued liabilities 448 307 Transaction costs — 1,085 Stock-based compensation 464 1,024 Capitalized debt — 301 Deferred compensation 1,219 746 Research and development 172 41 State net operating lam canyfonvards III 2,072 State tax credits — 325 Other 24 322 Total deferred tax assets 4.172 8.092 Deferred tax liabilities: Propeny. plant, and equipment (768) (18,176) Bond premiums — (1,348) Total deferred tax liabilities (768) (19.524) Net deferred tax (liabilities) assets S 3.404 $ ( I 1,432) Our state net operating loss cart forwards (tIOLC) will begin to expire in 2032. The matonty of the NOI.s relate to our Heartland operations which we expect to use in the coming year. Amounts recognized in the accompanying consolidated balance sheets am as follows: Deatnber 31, December 31, (dollars In thousands) 2013 2014 Current deferred tax assets $ 2,082 $ 5,696 Non-current deferred tax assets 2,090 2,3% Non-current deferred tax liabilities (768) (19.524) Total net deferred tax assets (liabilities) $ 3.404 $ (11.432) As of December 31, 2013 and 2014. the Company had not provided for any valuation allowance on its deferred tax assets. In evaluating the Company's ability to realize its deferred tax assets, management considers whether it is inure likely than not that sonic or all of the deferral tax assets will not be realize