PARTS iD (ID) 10-Q/A 15 Aug 23 2023 Q2 Quarterly report (amended) Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2023	Aug. 14, 2023
Document Information Line Items
Entity Registrant Name	PARTS iD, INC.
Trading Symbol	ID
Document Type	10-Q/A
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		35,102,553
Amendment Flag	true
Amendment Description	On August 15, 2023, PARTS iD, Inc. (the “Company”) filed with the Securities and Exchange Commission (the “SEC”) its Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2023 (the “Original Report”). This Amendment No. 1 on Form 10-Q/A (this “Amendment”) to the Original Report is being filed solely to correct the number for “Net cash provided by financing activities” in the unaudited Condensed Consolidated Statement of Cash Flows for the six months ended June 30, 2023. This Amendment No. 1 amends and restates the Original Report in its entirety. In addition, as required by SEC rules, we are also filing currently dated certifications pursuant to Sections 906 and 302 of the Sarbanes-Oxley Act of 2002.Except as described above, no changes have been made to the Original Report. This Amendment continues to speak as of the date of the Original Report, and the Company has not updated the disclosures contained therein to reflect any events that occurred at a date subsequent to the Original Report.
Entity Central Index Key	0001698113
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Document Period End Date	Jun. 30, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q2
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-38296
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	81-3674868
Entity Address, Address Line One	1 Corporate Drive
Entity Address, Address Line Two	Suite C
Entity Address, City or Town	Cranbury
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	08512
City Area Code	(609)
Local Phone Number	642-4700
Title of 12(b) Security	Class A Common Stock, par value $0.0001 per share
Security Exchange Name	NYSE
Entity Interactive Data Current	Yes

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Current assets
Cash	$ 267,863	$ 3,796,267
Accounts receivable	946,466	1,330,521
Inventory	1,367,416	2,505,259
Prepaid expenses and other current assets	4,071,064	3,775,055
Total current assets	6,652,809	11,407,102
Property and equipment, net	11,206,755	12,915,773
Intangible assets	12,966	262,966
Right-of-use assets	727,234	1,075,157
Security deposits	247,708	247,708
Total assets	18,847,472	25,908,706
Current liabilities
Accounts payable	37,856,202	36,404,249
Customer deposits	875,508	3,098,119
Accrued expenses	5,934,775	5,793,044
Other current liabilities	1,349,495	2,279,138
Operating lease liabilities	430,356	688,188
Convertible notes payable, net	7,490,834	4,203,282
Warrants liability	168,000	551,000
Total current liabilities	54,105,170	53,017,020
Other non-current liabilities
Operating lease, net of current portion	296,879	386,866
Total liabilities	54,402,049	53,403,886
COMMITMENTS AND CONTINGENCIES (Note 7)
SHAREHOLDERS’ DEFICIT
Preferred stock, $0.0001 par value per share; 1,000,000 shares authorized and 0 issued and outstanding
Common stock, $0.0001 par value per share; 10,000,000 Class F shares authorized and 0 issued and outstanding
100,000,000 Class A shares authorized and 35,102,553 issued and outstanding as of June 30, 2023 and 34,825,971 issued and outstanding as of December 31, 2022	3,515	3,411
Additional paid in capital	13,537,195	11,107,946
Accumulated deficit	(49,095,287)	(38,606,537)
Total shareholders’ deficit	(35,554,577)	(27,495,180)
Total liabilities and shareholders’ deficit	$ 18,847,472	$ 25,908,706

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
Preferred stock, par value (in Dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Class F Common Stock
Common stock, par value per share (in Dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	10,000,000	10,000,000
Common stock, shares issued	0	0
Common stock, shares outstanding	0	0
Class A Common Stock
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	35,102,553	34,825,971
Common stock, shares outstanding	35,102,553	34,825,971

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Net revenue	$ 16,119,809	$ 104,257,478	$ 32,320,813	$ 199,149,626
Cost of goods sold	12,059,825	83,674,247	24,829,288	160,072,167
Gross profit	4,059,984	20,583,231	7,491,525	39,077,459
Operating expenses:
Advertising	423,153	9,437,657	1,567,293	19,138,949
Selling, general and administrative	5,128,823	9,940,889	11,157,741	21,613,616
Depreciation	1,978,114	2,142,433	3,977,030	4,096,895
Total operating expenses	7,530,090	21,520,979	16,702,064	44,849,460
Loss from operations	(3,470,106)	(937,748)	(9,210,539)	(5,772,001)
Loss on extinguishment of debt			879,045
Change in fair value of warrants	15,000		(541,000)
Interest expense	522,861		939,166
Loss before income tax benefit	(4,007,967)	(937,748)	(10,487,750)	(5,772,001)
Income tax benefit (expense)	(1,000)	38,037	(1,000)	919,103
Net loss	$ (4,008,967)	$ (899,711)	$ (10,488,750)	$ (4,852,898)
Loss per common share
Loss per share (basic and diluted) (in Dollars per share)	$ (0.11)	$ (0.03)	$ (0.3)	$ (0.14)
Weighted average number of shares (basic and diluted) (in Shares)	35,007,018	33,983,680	34,991,580	33,974,791

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Operations (unaudited) (Parentheticals) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Loss per share (basic and diluted)	$ (0.11)	$ (0.03)	$ (0.29)	$ (0.14)
Weighted average number of shares (basic and diluted)	35,007,018	33,983,680	34,991,580	33,974,791

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes in Shareholders’ Deficit (Unaudited) - USD ($)	Class A Common Stock	Additional Paid-in Capital	Accumulated Deficit	Total
Balance at Dec. 31, 2021	$ 3,396	$ 6,973,541	$ (20,682,657)	$ (13,705,720)
Balance (in Shares) at Dec. 31, 2021	33,965,804
Share-based compensation		1,291,480		1,291,480
Net loss			(3,953,187)	(3,953,187)
Balance at Mar. 31, 2022	$ 3,396	8,265,021	(24,635,844)	(16,367,427)
Balance (in Shares) at Mar. 31, 2022	33,965,804
Balance at Dec. 31, 2021	$ 3,396	6,973,541	(20,682,657)	(13,705,720)
Balance (in Shares) at Dec. 31, 2021	33,965,804
Net loss				(4,852,898)
Balance at Jun. 30, 2022	$ 3,406	8,516,706	(25,535,555)	(17,015,443)
Balance (in Shares) at Jun. 30, 2022	34,062,616
Balance at Mar. 31, 2022	$ 3,396	8,265,021	(24,635,844)	(16,367,427)
Balance (in Shares) at Mar. 31, 2022	33,965,804
Share-based compensation	$ 10	251,685		251,695
Share-based compensation (in Shares)	96,812
Net loss			(899,711)	(899,711)
Balance at Jun. 30, 2022	$ 3,406	8,516,706	(25,535,555)	(17,015,443)
Balance (in Shares) at Jun. 30, 2022	34,062,616
Balance at Dec. 31, 2022	$ 3,411	11,107,946	(38,606,537)	(27,495,180)
Balance (in Shares) at Dec. 31, 2022	34,825,971
Share-based compensation		1,118,994		1,118,994
Net loss			(6,479,783)	(6,479,783)
Balance at Mar. 31, 2023	$ 3,411	12,226,940	(45,086,320)	(32,855,969)
Balance (in Shares) at Mar. 31, 2023	34,825,971
Balance at Dec. 31, 2022	$ 3,411	11,107,946	(38,606,537)	(27,495,180)
Balance (in Shares) at Dec. 31, 2022	34,825,971
Net loss				(10,488,750)
Balance at Jun. 30, 2023	$ 3,515	13,537,195	(49,095,287)	(35,554,577)
Balance (in Shares) at Jun. 30, 2023	35,102,553
Balance at Mar. 31, 2023	$ 3,411	12,226,940	(45,086,320)	(32,855,969)
Balance (in Shares) at Mar. 31, 2023	34,825,971
Vesting of RSUs	$ 104	(104)
Vesting of RSUs (in Shares)	276,582
Note payable allocated to warrants		526,955		526,955
Share-based compensation		783,404		783,404
Net loss			(4,008,967)	(4,008,967)
Balance at Jun. 30, 2023	$ 3,515	$ 13,537,195	$ (49,095,287)	$ (35,554,577)
Balance (in Shares) at Jun. 30, 2023	35,102,553

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash Flows from Operating Activities:
Net loss	$ (10,488,750)	$ (4,852,898)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation	3,977,030	4,096,895
Deferred tax benefit		(921,711)
Amortization of right-of-use assets	347,923	194,526
Share-based compensation expense	1,114,568	686,841
Change in fair value of warrants	(541,000)
Loss on extinguishment of debt	879,045
Write-off of debt issuance costs due to extinguishment of debt	230,498
Amortization of debt discount	112,963
Changes in operating assets and liabilities:
Accounts receivable	384,055	(361,771)
Inventory	1,137,843	370,281
Prepaid expenses and other current assets	(296,009)	(1,220,904)
Accounts payable	1,451,953	(5,132,693)
Customer deposits	(2,222,611)	(4,669,856)
Accrued expenses	141,731	446,498
Operating lease liabilities	(347,819)	(194,526)
Other current liabilities	(929,643)	(703,718)
Net cash used in operating activities	(5,048,223)	(12,263,036)
Cash Flows from Investing Activities:
Purchase of property and equipment	(2,893)	(45,360)
Proceeds from sale of intangible asset	250,000
Website and software development costs	(1,477,288)	(3,577,764)
Net cash used in investing activities	(1,230,181)	(3,623,124)
Cash Flows from Financing Activities:
Repayment of note payable	(2,000,000)
Proceeds from convertible notes payable	4,750,000
Net cash provided by financing activities	2,750,000
Net change in cash	(3,528,404)	(15,886,160)
Cash, beginning of period	3,796,267	23,203,230
Cash, end of period	267,863	7,317,070
Supplemental non-cash disclosure:
Issuance of convertible warrants related to notes payable	684,954
Supplemental disclosure of cash flows information:
Cash paid for interest	157,778
Cash paid for taxes	$ 1,000	$ 2,608

Organization and Description of

Organization and Description of Business	6 Months Ended
	Jun. 30, 2023
Organization and Description of Business [Abstract]
Organization and Description of Business	Note 1 – Organization and Description of Business Description of Business PARTS iD, Inc., a Delaware corporation (the “Company,” “PARTS iD,” “we,” “our” or “us”), is a technology-driven, digital commerce company focused on creating custom infrastructure and unique user experience within niche markets. PARTS iD has a product portfolio comprised of approximately 18 million SKUs, when fully available, an end-to-end digital commerce platform for both digital commerce and fulfillment, and a virtual shipping network comprising over 2,500 locations, approximately 4,500 active brands, and machine learning algorithms for complex fitment industries such as vehicle parts and accessories. Management believes that the Company is a market leader and proven brand-builder, fueled by its commitment to delivering an engaging shopping experience; comprehensive, accurate and varied product offerings; and continued digital commerce innovation.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2 – Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation The unaudited condensed consolidated financial statements are presented in U.S. dollars and have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative GAAP as found in the Accounting Standards Codification (“ASC”) and as amended by Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). In the opinion of management, the accompanying unaudited condensed consolidated financial statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the financial position, results of operations and cash flows for the interim periods presented. The December 31, 2022 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. Results for interim periods should not be considered indicative of results for any other interim period or for the full year. The unaudited condensed consolidated financial statements include the accounts of PARTS iD, Inc. and its wholly owned subsidiary, PARTS iD, LLC. All intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Critical accounting estimates are estimates for which (a) the nature of the estimate is material due to the level of subjectivity and judgment necessary to account for highly uncertain matters or the susceptibility of such matters to change and (b) the impact of the estimate on financial condition or operating performance is material. The Company’s critical accounting estimates and assumptions affecting the financial statements include revenue recognition, return allowances, allowance for credit losses, depreciation, inventory valuation, valuation of deferred income tax assets and the capitalization and recoverability of software development costs. Stock Compensation Compensation expense related to stock option awards and restricted stock units granted to certain employees, directors and consultants is based on the fair value of the awards on the grant date. If the service inception date precedes the grant date, accrual of compensation cost for periods before the grant date is based on the fair value of the award at the reporting date. In the period in which the grant date occurs, cumulative compensation cost is adjusted to reflect the cumulative effect of measuring compensation cost based on fair value at the grant date rather than the fair value previously used at the service inception date or any subsequent reporting date. Forfeitures are recorded as they occur. The Company recognizes compensation cost related to time-vested options and restricted stock units with graded vesting features on a straight-line basis over the requisite service period. Compensation cost related to performance-vesting options and performance-based units, where a performance condition or a market condition that affects vesting exists, is recognized over the shortest of the explicit, implicit, or defined service periods. Compensation cost is adjusted depending on whether the performance condition is achieved. If the achievement of the performance condition is probable or becomes probable, the full fair value of the award is recognized. If the achievement of the performance condition is not probable or ceases to be probable, then no compensation cost is recognized or amounts previously recognized are reversed. Concentration of Credit Risk Financial instruments that expose the Company to a concentration of credit risk principally include cash and accounts receivable balances. The Company has significant cash balances at financial institutions which throughout the year regularly exceed the federally insured limit of $250,000. Any loss incurred or lack of access to such funds could have a significant adverse impact on the Company’s financial condition, results of operations, and cash flows. The Company manages accounts receivable credit risk through its policy of limiting extensions of credit to customers. Substantially all customer orders are paid by credit card at the point of sale. Going Concern These condensed consolidated financial statements have been prepared in accordance with GAAP assuming the Company will continue as a going concern. The going concern assumption contemplates the realization of assts and satisfaction of liabilities in the normal course of business. We have operated with a negative working capital model since our inception. The Company has a working capital deficiency of approximately $47.4 million. We continue to face macro-economic headwinds and the resulting declining revenue and profitability, which increased the working capital deficit, and resulted in the use of approximately $5.0 million in cash from operating activities, of which $1.0 million was attributable to changes in working capital during the six months ended June 30, 2023. With this, substantial doubt exists about the Company’s ability to continue as a going concern within one year from the date of the issuance of these condensed consolidated financial statements. The accompanying condensed consolidated financial statements have been prepared assuming we will continue to operate as a going concern, which contemplates the realization of assets and settlement of liabilities in the normal course of business, and does not reflect any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result from uncertainty related to our ability to continue as a going concern. To address liquidity concerns, the Company is pursuing additional financing and continues to restructure and optimize its operations including moderating capital investments, improving gross margin, reducing expenses, and renegotiating vendor payment terms. In addition, to address its liquidity needs, the Company recently obtained an aggregate of $1.25 million from the sale and issuance of convertible notes and warrants (as discussed below) and a $0.7 million loan from JGB Collateral, LLC. In addition, the Company obtained additional financing in July 2023. See Note 10 – Subsequent Events for more information. PARTS iD has also retained Canaccord Genuity Group, Inc. (“Canaccord”) as its financial advisor and DLA Piper LLP (US) as its legal counsel to assist in evaluating potential strategic alternatives. There can be no assurance that the evaluation of strategic alternatives will result in any potential transaction, or any assurance as to its outcome or timing. PARTS iD has not set a timetable for completion of the process and does not intend to disclose developments related to the process unless and until PARTS iD executes a definitive agreement with respect thereto, or the Board of Directors otherwise determines that further disclosure is appropriate or required. Accounts Receivable Accounts receivable balances include amounts due from customers. The Company periodically reviews its accounts receivable balances to determine whether an allowance for credit losses is necessary based on an analysis of past due accounts, historical occurrences of credit losses, existing economic conditions, and other circumstances that may indicate that the realization of an account is in doubt. As of June 30, 2023 and December 31, 2022, the Company determined that an allowance for credit losses was not necessary. Inventor Inventory consists of purchased goods that are immediately available-for-sale and are stated at the lower cost or net realizable value, determined using the first-in, first-out method. Merchandise-in-transit directly from suppliers to customers is recorded in inventory until the product is delivered to the customer. As of June 30, 2023, and December 31, 2022, merchandise-in-transit amounted to $341,690 and $957,735, respectively. The risk of loss is transferred from the supplier to the Company at the shipping point. Since the purchased goods are immediately shipped directly from suppliers to customers the Company deemed that an inventory reserve for obsolete or slow-moving goods was unnecessary. Other Current Assets Other current assets include advances to vendors amounting to $2,171,240 and $1,796,680 as of June 30, 2023, and December 31, 2022, respectively, which are included in prepaid expenses and other current assets on the condensed consolidated balance sheets. Website and Software Development The Company capitalizes certain costs associated with website and software developed for internal use in accordance with ASC 350-50, Intangibles – Goodwill and Other – Website Development Costs, Intangibles – Goodwill and Other – Internal Use Software, Intan ible Assets Intangible assets consist of indefinite-lived domain names and are stated at cost less impairment losses, if any. The Company reviews its intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of the intangible asset may not be recoverable. When such events occur, the Company compares the carrying amount of the asset to the undiscounted expected future cash flows related to the asset. If the comparison indicates that an impairment exists, the amount of the impairment is calculated as the difference between the excess of the carrying amount over the fair value of the asset. The Company has determined that there were no triggering events in the six months ended June 30, 2023 and 2022, and no impairment charges were necessary. During the first quarter of 2023, the Company sold its Onyx.com domain name for $250,000. Property and Equipment Property and equipment are stated at cost less accumulated depreciation. Depreciation of property and equipment is calculated on a straight-line basis over the estimated useful lives of the assets as follows: Asset Class Estimated useful lives Video and studio equipment 5 years Website and internally developed software 3 years Computer and electronics 5 years Vehicles 5 years Furniture and fixtures 5 years Leasehold improvements Lesser of useful life or lease term Accounts Payable Accounts payable as of June 30, 2023, consisted of amounts payable to vendors of $35.1 million and credit card payable of $2.8 million payable to a credit card company. As of December 31, 2022, accounts payable consisted of amounts payable to vendors of $33.1 million and $3.3 million credit card payable to the same credit card company mentioned above. Revenue Reco nition In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) In determining the appropriate amount of revenue to be recognized as it fulfills its obligations under its agreements, the Company performs the following steps: (i) identifies contracts with customers; (ii) identifies performance obligation(s); (iii) determines the transaction price; (iv) allocates the transaction price to the performance obligation(s); and (v) recognizes revenue when (or as) the Company satisfies each performance obligation. The Company recognizes revenue on product sales through its website as the principal in the transaction as the Company has concluded it controls the product before it is transferred to the customer. The Company controls products when it is the entity responsible for fulfilling the promise to the customer and takes responsibility for the acceptability of the goods, assumes inventory risk from shipment through the delivery date, has discretion in establishing prices, and selects the suppliers of products sold. Sales discounts earned by customers at the time of purchase and taxes collected from customers, which are remitted to governmental authorities, are deducted from gross revenue in determining net revenue. Allowances for sales returns are estimated and recorded based on historical experience and reduce product revenue, inclusive of shipping fees, by expected product returns. Allowances for sales returns at June 30, 2023 and December 31, 2022, were $213,534 and $549,250, respectively. The Company has two types of contractual liabilities: (a) amounts received from customers prior to the delivery of products are recorded as customer deposits in the accompanying condensed consolidated balance sheets and are recognized as revenue when the products are delivered, which amounted to $875,508 and $3,098,119 at June 30, 2023 and December 31, 2022, respectively, and (ii) site credits (which are initially recorded in accrued expenses and are recognized as revenue in the period they are redeemed), amounting to $158,306 and $3,414,019 at June 30, 2023 and December 31, 2022, respectively. Cost of Goods Sold Cost of goods sold consists of the cost of product sold to customers, plus shipping and handling costs and shipping supplies, net of vendor rebates. Advertising Costs Advertising costs are expensed as incurred. The Company incurred $0.4 million in advertising costs during the three months ended June 30, 2023, and $9.4 million during the months ended June 30, 2022. For the six months ended June 30, 2023, advertising costs were $1.6 million and $19.1 for the six months ended June 30, 2022. Income Taxes The Company is a C corporation for U.S. federal income tax purposes. Accordingly, the Company accounts for income taxes in accordance with the provisions of ASC 740, Income Taxes ASC 740 also provides guidance on the accounting for uncertain tax positions recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more likely than not to be sustained upon examination by taxing authorities. ASC 740 also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. Based on the Company’s evaluation, management concluded that there are no significant uncertain tax positions requiring recognition in the Company’s condensed consolidated financial statements. The Company files U.S. federal and State of New Jersey state tax returns and had no unrecognized tax benefits at June 30, 2023 and December 31, 2022. The Company’s policy for recording interest and penalties associated with audits is to record such expenses as a component of income tax expense. There were no amounts accrued for penalties or interest as of or during the six months ended June 30, 2023 and 2022. Management is currently unaware of any issues under review that could result in significant payments, accruals, or material deviations from its filing positions. Loss Per Share For the three and six months ended June 30, 2023 and 2022, basic net loss per common share was determined by dividing net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period. For purposes of calculating diluted net loss per common share, the denominator includes both the weighted average common shares outstanding and the number of common stock equivalents if the inclusion of such common stock equivalents would be dilutive. Dilutive common stock equivalents potentially include performance-based stock units and unvested restricted stock units using the treasury stock method. For all periods presented, there is no difference in the number of shares used to compute basic and diluted net loss per common share due to the Company’s net loss. Recently Adopted Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326), Certain Significant Risks and Uncertainties In February 2022, the Russian Federation launched a full-scale invasion against Ukraine, and sustained conflict and disruption in the region is ongoing. The Company’s engineering and product data development team as well as back office and part of its customer service center are in Ukraine. The Company’s ability to maintain adequate liquidity for its operations is dependent upon several factors, including its revenue and earnings, the impacts of COVID-19 and Russian-Ukraine conflict on macroeconomic conditions, and its ability to take further cost savings and cash conservation measures if necessary. The Russian-Ukraine conflict could have a material adverse effect upon the Company. Significant Accounting Policies There have been no significant changes from the significant accounting policies disclosed in Note 2 of the “Notes to Consolidated Financial Statements” included in our Annual Report on Form 10-K for the year ended December 31, 2022 (our “2022 Form 10-K”).

Property and equipment

Property and equipment	6 Months Ended
	Jun. 30, 2023
Property, Plant and Equipment [Abstract]
Property and equipment	Note 3 – Property and Equipment Property and equipment consists of the following as of: June 30, December 31, Website and software development $ 52,962,606 $ 50,697,486 Furniture and fixtures 854,818 851,926 Computers and electronics 1,015,853 1,015,853 Vehicles 325,504 325,504 Leasehold improvements 300,673 300,673 Video and equipment 176,903 176,903 Total - Gross 55,636,357 53,368,345 Less: Accumulated depreciation (44,429,602 ) (40,452,572 ) Total - Net $ 11,206,755 $ 12,915,773 Depreciation of property and equipment for three months ended June 30, 2023 and 2022 was $1,978,114 and $2,142,433, respectively. Depreciation of property and equipment for the six months ended June 30, 2023 and 2022 was $3,977,030 and $4,096,895, respectively.

Leases

Leases	6 Months Ended
	Jun. 30, 2023
Leases [Abstract]
Leases	Note 4 – Leases Operating Leases The Company has lease arrangements for office spaces and an equipment lease. These leases expire at various dates through 2025. As of and Operating Lease Expense – 3 months ended June 30, 2023 $ 98,426 Operating Lease Expense – 6 months ended June 30, 2023 $ 196,852 Additional Lease Information: Weighted average remaining lease term-operating leases (in years) 1.75 Weighted average discount rate-operating leases 7 % Future minimum lease payments under non-cancellable leases as of June 30, 2023, were as follows: July 1, 2023 to December 31, 2023 $ 359,322 January 1, 2024 to December 31, 2024 276,358 January 1, 2025 to September 30, 2025 197,940 Sub-total 833,620 Less: Portion representing interest 106,385 Total future minimum lease payments 727,235 Less: Current portion of lease obligations 430,356 Long-term portion of lease obligations $ 296,879

Debt

Debt	6 Months Ended
	Jun. 30, 2023
Debt [Abstract]
Debt	Note 5 – Debt On October 21, 2022, the Company entered into a Loan and Security Agreement with JGB Collateral, LLC (as amended, the “JGB Loan Agreement”), a Delaware limited liability company (“JGB”), in its capacity as collateral agent (the “Agent”) and the several financial institutions or entities that from time to time become parties to the JGB Loan Agreement as lenders (collectively, the “Lender”). The loan agreement provided for term loans in an aggregate principal amount of up to $11.0 million under two tranches. The tranches consist of (a) a first tranche consisting of term loans in the aggregate principal amount of $5.5 million, of which the entire amount was funded to the Company on the closing date (the “Initial Term Loan Advance”); and (ii) a second tranche consisting of term loans in the aggregate principal amount of an additional $5.5 million, which may funded to the Company by the Lender in its sole and absolute discretion (subject to the terms and conditions of the Loan Agreement) until the date that is six months after the Closing Date (the “Second Term Loan Advance” and together with the Initial Term Loan Advance, the “Term Loan Advances”). Each of the Term Loan Advances will be issued with an original issue discount of $500,000. In connection with the entry into the loan agreement, with respect to the Initial Term Loan Advance, the Company issued to the Lender a warrant (the “Warrant”) to purchase 1,000,000 shares (the “Warrant Shares”) of the Company’s Class A common stock, par value $0.0001 per share (the “Common Stock”). The Warrant will be exercisable for a period of five years from the date of issuance at a per-share exercise price equal to $2.00, subject to certain adjustments as specified in the Warrant. If the Company seeks and obtains the Second Loan Term Advance in accordance with the terms of the Loan Agreement, the Company will issue another Warrant to the Lender to purchase 1,000,000 shares of the Company’s Common Stock at a per-share exercise price equal to $2.00 and otherwise on the same terms and conditions as the Warrant issued with respect to the Initial Term Loan Advance. The Warrant also provides for customary shelf and piggyback registration rights with respect to the Warrant Shares. The effective interest rate on the Initial Term Loan Advance of $5.5 million was 17.9%. The Company incurred debt issue issuance costs of approximately $165,000 in connection with this loan and recorded a discount of $500,000. As of December 31, 2022 and June 30, 2023, the Company had $4.2 million and $3.4 million outstanding on the note, respectively, net of debt discounts and debt issuance costs. The Company incurred $249,721 and $436,121 of interest expense on the note during the three and six months ended June 30, 2023, respectively. A portion of the note was attributed to the warrants for 1,000,000 shares of the Company’s stock which at the time of issuance had been valued at $799,000 using the Black-Scholes model. As of December 31, 2022, the fair value of the warrant was determined to be approximately $551,000 and at June 30, 2023 the fair value of the warrant was determined to be $168,000, and accordingly, the decrease in its value was recorded as a change in fair value of warrants on the condensed consolidated statement of operations. The loan requires the Company to make 30 monthly payments of $183,333 beginning on April 30, 2023, with the last payment due September 30, 2025. On January 6, 2023, the Company notified its Agent and Lender that it was not in compliance with the Consolidated Quarterly Net Revenue Covenant (as defined in the Loan Agreement) for the calendar quarter ended December 31, 2022. On February 22, 2023, the Company and JGB executed an amendment to the Loan Agreement (the “Amendment”) and on February 27, 2023, the Company repaid $2.0 million of the loan to JGB. On February 22, 2023 the Company and the Agent executed an amendment to the Loan Agreement (the “First Amendment”), which, among other things, (i) the Company agreed to repay the principal amount of the term loan to the Agent in the following installments: (A) $2 million on February 23, 2023, (B) $1 million on August 22, 2023 and (C) the entire remaining principal balance and all accrued but unpaid interest which remained at the original loan rate of 8.0% (including the Original Issue Discount, as defined in the Amendment) on August 22, 2024; (ii) the Agent agreed to withdraw the Notice of Default and not exercise its purported rights and remedies thereunder; (iii) the Lender may elect, at any time and from time to time, to convert any outstanding portion of the outstanding term loan into shares of the Company’s common stock at a conversion price of $0.50 per share; (iv) removed the “Cash Minimum” covenant of which the Company had to maintain unrestricted, unencumbered Cash (as defined in the Loan Agreement) of at least $2,000,000; (v) removed the EBITDA (as defined in the JGB Loan Agreement) covenant of which the Company had to maintain at least the applicable EBITDA Target (as defined in the JGB Loan Agreement) for each calendar quarter; (vi) removed the revenue covenant in which the Company had to maintain consolidated quarterly net revenue of at least $75 million each calendar quarter and (vii) provided a lien to JGB in the Company’s claims for trademark infringement against Volkswagen Group of America, Inc. pursuant to the lawsuit currently pending in the United States District Court for the District of New Jersey and captioned as Onyx Enterprises Int’l, Corp v. Volkswagen Group of America, Inc., and all proceeds and products thereof and United States District Court for the District of Massachusetts and captioned as Onyx Enterprises International Corp. v. ID Parts LLC, and all proceeds and products thereof (collectively, the “Volkswagen Trademark Claims”), provided that the Company can secure the Permitted Litigation Indebtedness (as defined in the Amendment) on the terms described in the Amendment. In connection with the First Amendment, the Company and the Agent entered into an Amended and Restated Intellectual Property and Security Agreement (the “A&R Security Agreement”) which amended and restated that certain Intellectual Property and Security Agreement, dated as of October 21, 2022. The A&R Security Agreement removed the exclusion of the Volkswagen Trademark Claims from the Agent’s security interest in the Company’s intellectual property. The First Amendment was accounted for as a debt extinguishment in accordance with ASC 470, which resulted in the Initial Term Loan Advance being derecognized and the convertible notes that were issued as a result of the First Amendment being recorded at fair value with the difference resulting in a $879,045 loss on debt extinguishment for the three months ended March 31, 2023 and six months ended June 30, 2023. On March 6, 2023 (the “Initial Closing Date”), PARTS iD, Inc., a Delaware corporation (the “Company”), entered into a Note and Warrant Purchase Agreement (the “March Purchase Agreement”) whereby the Company agreed to issue and sell to certain investors (collectively, the “Investors”), in a private placement, (a) an aggregate principal amount of up to $10 million in junior secured convertible promissory notes (the “March Convertible Notes”) and (i) an aggregate of up to two million warrants to purchase the Company’s common stock at an exercise price of $0.50 per share (the “March Warrants”), in one or more closings pursuant to the terms of the March Purchase Agreement. All the disinterested directors of the Company’s Board of Directors, as well as the disinterested directors of the Audit Committee, reviewed and approved the terms of the March Purchase Agreement, March Convertible Notes and March Warrants. As of the Initial Closing Date, the Company issued and sold (a) an aggregate principal amount of $2,900,000 of March Convertible Notes and (ii) an aggregate of 580,000 March Warrants, of which $2,650,000 of March Convertible Notes and 530,000 March Warrants were purchased by entities affiliated with certain directors, officers, and beneficial owners of the Company. At the time of issuance the fair value of the March Warrants was determined to be $158,000 using the Black-Scholes model. As of June 30, 2023, the fair value of the March Warrants was determined to be de minimus, and accordingly, the decrease in their value was recorded as a change in fair value of warrants on the condensed consolidated statement of operations. The March Convertible Notes accrue interest at 7.75% per annum, compounded semi-annually and such interest may be paid at the option of the Company either in cash or common stock. Upon the Company’s sale and issuance of equity or equity-linked securities pursuant to which the Company receives aggregate gross proceeds of at least $3 million (a “Qualified Equity Financing”), the March Convertible Notes are mandatorily convertible into shares of such equity securities sold in the Qualified Equity Financing. The Company may, at its option, redeem the March Convertible Notes (including the outstanding principal and any accrued but unpaid interest thereon) for cash, in full or in part, if the March Convertible Notes have otherwise not been converted within 180 days of the date of issuance. In addition, upon a Change of Control (as defined in the March Convertible Notes) of the Company, the March Convertible Notes shall be repaid in full at or before the closing of such transaction in cash. The March Convertible Notes are strictly subordinated to the (i) senior secured indebtedness incurred or owed by the Company pursuant to the JGB Loan Agreement; and (ii) the Permitted Litigation Indebtedness (as defined in the JGB Loan Agreement). Subject to the subordination provisions described above and more fully described in the March Convertible Notes, the March Convertible Notes are secured by a junior security interest in all the Company’s rights, title, and interest in and to all the Company’s assets. The March Convertible Notes mature on March 6, 2025. The March Warrants will expire after 5 years from the date of issuance and may not be exercised on a cashless basis. The March Warrants provide that a holder of March Warrants will not have the right to exercise any portion of its March Warrants, if such holder, together with its affiliates, and any other party whose holdings would be aggregated with those of the holder for purposes of Section 13(d) or Section 16 of the Exchange Act would beneficially own in excess of 4.99%, of the number of shares of the Company’s Common Stock outstanding immediately after giving effect to such exercise (the “Beneficial Ownership Limitation”); provided, however, that each holder may increase or decrease the Beneficial Ownership Limitation by giving notice to the Company, with any such increase not taking effect until the sixty-first day after such notice is delivered to the Company but not to any percentage in excess of 9.99%; provided that any holder of the Warrants that beneficially owns in excess of 19.99% of the number of shares of the Common Stock outstanding on the issuance date of the Warrants shall not be subject to the Beneficial Ownership Limitation. The Company intends to use the proceeds from the issuance of the March Convertible Notes and the March Warrants for working capital purposes and the repayment of current indebtedness. The March Convertible Notes and the March Warrants were issued by the Company in reliance on the exemption from registration provided by Section 4(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”), and have not been registered under the Securities Act. As of June 30, 2023, the Company had $2.8 million outstanding on the March Convertible Notes, net of debt discounts. On May 19, 2023, the Company issued to certain investors, in a private placement (i) unsecured convertible promissory notes in the aggregate principal amount of $1,000,000 (the “May Convertible Notes”) and (ii) an aggregate of 2,083,333 warrants (the “May Warrants”) to purchase shares of the Company’s Class A common stock at an exercise price of $0.48 per share. Lev Peker, the Chief Executive Officer and a director of the Company purchased an aggregate principal amount of $750,000 May Convertible Notes and received an aggregate of 1,562,500 May Warrants in this offering. All the disinterested directors of the Company’s Board of Directors, as well as the disinterested directors of the Audit Committee, reviewed and approved the terms of the May Convertible Notes and May Warrants. The Company allocated the proceeds from the private placement between the May Convertible Notes and the May Warrants by applying the relative fair value methodology. The Company allocated $578,704 to the May Convertible Notes and $421,296 to the May Warrants. As of June 30, 2023, the Company had approximately $601,000 outstanding on the May Convertible Notes, net of discounts. The May Convertible Notes accrue interest at 7.75% per annum compounded semi-annually. The May Convertible Notes mature on May 19, 2025 (the “Maturity Date”). Effective on the Maturity Date, if the convertible notes have not otherwise been repaid by the Company in accordance with the terms and conditions set forth therein, then at the option of the purchasers, the outstanding balance of the convertible notes (including any accrued but unpaid interest thereon) (the “May Note Amounts”) shall convert into that number of fully paid and nonassessable shares of the Company’s common stock at a conversion price equal to the respective May Note Amounts (as defined in the May Convertible Notes) divided by the conversion price (as defined in the May Convertible Notes). The Company may prepay the May Note Amounts at any time prior to the Maturity Date. The May Convertible Notes are strictly subordinated to the (i) senior secured indebtedness incurred or owed by the Company pursuant to the JGB Loan Agreement and (ii) Permitted Litigation Indebtedness (as defined in the JGB Loan Agreement). The May Warrants will expire after 5 years from the date of issuance and may not be exercised on a cashless basis. The warrants provide that a holder of May Warrants will not have the right to exercise any portion of its warrants, if such holder, together with its affiliates, and any other party whose holdings would be aggregated with those of the holder for purposes of Section 13(d) or Section 16 of the Exchange Act would beneficially own in excess of 4.99%, of the number of shares of the Company’s common stock outstanding immediately after giving effect to such exercise (the “Beneficial Ownership Limitation”); provided, however, that each holder may increase or decrease the Beneficial Ownership Limitation by giving notice to the Company, with any such increase not taking effect until the sixty-first day after such notice is delivered to the Company but not to any percentage in excess of 9.99%; provided that any holder of the May Warrants that beneficially owns in excess of 19.99% of the number of shares of the Common Stock outstanding on the issuance date of the May Warrants shall not be subject to the Beneficial Ownership Limitation. On June 14, 2023, the Company entered into a Note and Warrant Purchase Agreement whereby the Company agreed to issue and sell to an investor in a private placement, (i) an unsecured convertible promissory note in the aggregate principal amount of $250,000 (the “June Convertible Note”) and (ii) a warrant (the “June Warrant”) to purchase an aggregate of 694,444 shares of the Company’s Class A common stock (the “Common Stock”), at an exercise price of $0.36 per share. The June Convertible Note accrues interest at 7.75% per annum, compounded semi-annually. The June Convertible Note matures on June 14, 2025. At maturity, if the June Convertible Note has not otherwise been repaid by the Company, then at the option of the purchaser, the outstanding balance of the June Convertible Note, including any accrued but unpaid interest thereon, shall convert into that number of fully paid and nonassessable shares of the Company’s Common Stock at a Conversion Price (as defined in the June Convertible Note). The Company may prepay the June Note Amount at any time prior to the Maturity Date. The Company allocated the proceeds from the private placement between the June Convertible Note and the June Warrants by applying the relative fair value methodology. The Company allocated $144,342 to the June Convertible Note and $105,658 to the June Warrants. As of June 30, 2023, the Company had approximately $147,000 outstanding on the June Convertible Note, net of discounts. The June Convertible Note is strictly subordinated to the (i) senior secured indebtedness incurred or owed by the Company pursuant to the JGB Loan Agreement and (ii) Permitted Litigation Indebtedness (as defined in the Loan Agreement). The June Warrant will expire after 5 years from the date of issuance and may not be exercised on a cashless basis. The June Warrant provides that the holder will not have the right to exercise any portion of the June Warrant, if the holder, together with its affiliates, and any other party whose holdings would be aggregated with those of the holder for purposes of Section 13(d) or Section 16 of the Exchange Act would beneficially own in excess of 4.99%, of the number of shares of the Company’s Common Stock outstanding immediately after giving effect to such exercise (the “Beneficial Ownership Limitation”); provided, however, that the holder may increase or decrease the Beneficial Ownership Limitation by giving notice to the Company, with any such increase not taking effect until the sixty-first day after such notice is delivered to the Company but not to any percentage in excess of 9.99%; provided that the holder of the June Warrant that beneficially owns in excess of 19.99% of the number of shares of the Common Stock outstanding on the issuance date of the June Warrant shall not be subject to the Beneficial Ownership Limitation. On June 16, 2023, the Company entered into a Second Amendment to the JGB Loan Agreement (the “Second Amendment”). Pursuant to the Second Amendment, the Company borrowed an additional $700,000 with an original discount on such additional loan of $100,000. In accordance with the terms of the Second Amendment, the Company shall repay the loan in equal weekly installments of $50,000 commencing on July 7, 2023; provided, however, that in the event the Company receives gross proceeds of at least $2,000,000 from any debt or equity financing following the effective date of the Second Amendment, then the Company shall repay an amount equal to $950,000 on the outstanding balances under the JGB Loan Agreement. As of June 30, 2023, the Company had approximately $615,000 outstanding on the loan, net of discounts. On July 13, 2023, the Company repaid in full the indebtedness owed under the JGB Loan Agreement and the JGB loan Agreement was terminated in accordance with its terms. See “Subsequent Events” below for more information.

Shareholders_ Deficit

Shareholders’ Deficit	6 Months Ended
	Jun. 30, 2023
Shareholders’ Deficit [Abstract]
Shareholders’ Deficit	Note 6 – Shareholders’ Deficit Preferred Stock As of June 30, 2023, the Company had authorized for issuance a total of 1,000,000 shares of preferred stock, par value of $0.0001 per share (“Preferred Stock”). As of June 30, 2023 and December 31, 2022, no Common Stock As of June 30, 2023, and December 31, 2022, the Company had 35,102,553 and 34,825,971, respectively, shares of Class A common stock outstanding. As of June 30, 2023 and December 31, 2022, the Company had reserved 5,729,078 and 6,005,660, respectively, shares of Class A common stock for issuance as follows: Nature of Reserve As of As of a. Indemnification reserve: Upon the expiration of the indemnification period of two years as described in the Business Combination agreement, subject to the payments of indemnity claims, if any, the Company will issue up to 750,000 shares to former Onyx shareholders 750,000 750,000 b. EIP reserve: Shares reserved for future issuance under the stockholder approved Parts iD, Inc. 2020 Equity Incentive Plan 2,935,496 3,212,078 c. ESPP reserve: Shares reserved for future issuance under the stockholder approved Parts iD, Inc. 2020 Employee Stock Purchase Plan 2,043,582 2,043,582 Total shares reserved for future issuance 5,729,078 6,005,660

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 7 Commitments and Contingencies As of June 30, 2023, there were no material changes to the Company’s legal matters and other contingencies disclosed in Note 7 of the “Notes to Consolidated Financial Statements” included in our Annual Report on 2022 Form 10-K for the year ended December 31, 2022.

Share-Based Compensation

Share-Based Compensation	6 Months Ended
	Jun. 30, 2023
Share-Based Compensation [Abstract]
Share-Based Compensation	Note 8 – Share-Based Compensation During the three months ended June 30, 2023 and 2022, selling, general and administrative expenses included $458,981 and $(180,529) of share-based compensation expense, respectively. For the three months ended June 30, 2022, share-based compensation was negative $(180,529) due to nil accrual for performance-based restricted stock units (“PSUs”) as well as the reversal of previous PSUs accrual of $973,659 as the Company no longer believed the performance criteria included in the PSUs plan was likely to be achieved. During the six months ended June 30, 2023 and 2022, selling general and administrative expenses included $1,114,568 and $686,841 of share-based compensation expense, respectively. During the three months ended June 30, 2023 and 2022, the Company capitalized $324,423 and $432,224, respectively, of share-based compensation expense associated with awards issued to consultants who are directly associated with and who devote time to our internal-use software. During the six months ended June 30, 2023 and 2022, the Company capitalized $787,813 and $856,334, respectively, of share based compensation expense associated with awards issued to consultants who are directly associated with and who devote time to our internal-use software. Equity Incentive Plan In October 2020, in connection with the Business Combination, the Company’s stockholders approved the Parts iD, Inc. 2020 Equity Incentive Plan (the “2020 EIP”). The 2020 EIP became effective immediately upon the closing of the Business Combination. As of June 30, 2023, of the 4,904,596 shares of Class A common stock reserved for issuance under the 2020 EIP in the aggregate, 2,935,496 shares remained available for issuance. The 2020 EIP provides for the grant of stock options, restricted stock, restricted stock units (“RSUs”), PSUs, stock appreciation rights, other stock-based awards, and cash awards (collectively, “awards”). The awards may be granted to employees, directors, and consultants of the Company. Restricted Stock Units The following table summarizes the activity related to RSUs during the six months ended June 30, 2023: Restricted Weighted Unvested balance on January 1, 2023 1,053,445 $ 4.67 Granted - $ - Vested (276,582 ) $ 1.02 Forfeited (173,364 ) $ 5.81 Unvested balance on June 30, 2023 603,499 $ 5.98 As of June 30, 2023, approximately $1.7 million of unamortized share-based compensation expense was associated with outstanding RSUs, which is expected to be recognized over a remaining weighted average period of 0.42 years. Performance-Based Restricted Stock Units The following table summarizes the activity related to PSUs during the six months ended June 30, 2023: PSU Type Balance at Granted Forfeited Balance at Net revenue based 495,200 - 230,000 265,200 Weighted average grant date fair value $ 8.00 $ - $ 6.71 $ 9.12 Cash flow based 123,800 - 57,500 66,300 Weighted average grant date fair value $ 2.44 $ - $ 2.35 $ 2.52 Total 619,000 - 287,500 331,500 As of June 30, 2023, the performance criteria included in the PSUs plan are unlikely to be achieved, and accordingly, the Company has no accrual of share-based compensation expenses associated with the outstanding PSUs. The weighted average period of 0.58 years was remaining before the expiration of outstanding PSUs. Employee Stock Purchase Plan In October 2020, in connection with the Business Combination, the Company’s stockholders approved the Parts iD, Inc. 2020 Employee Stock Purchase Plan (the “2020 ESPP”). There are 2,043,582 shares of Class A common stock available for issuance under the 2020 ESPP. The 2020 ESPP became effective immediately upon the closing of the Business Combination, but it has not yet been implemented. As of June 30, 2023, no shares had been issued under the 2020 ESPP.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Note 9 – Income Taxes Deferred tax assets and liabilities are recognized based on temporary differences in financial statements and income tax carrying values using rates in effect for years such differences are to reverse. Due to uncertainties surrounding the Company’s ability to generate future taxable income and consequently realize such deferred income tax assets, a full valuation allowance has been established. The disclosures regarding deferred tax assets included in our 2022 Form 10-K continue to be accurate for the three and six months ended June 30, 2023. The Company does not currently anticipate any significant increase or decrease in the total amount of unrecognized tax benefits within the next twelve months. None of the Company’s U.S. federal or state income tax returns are currently under examination by the Internal Revenue Service (the “IRS”) or state authorities. However, fiscal years 2017 and later remain subject to examination by the IRS and respective states.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2023
Subsequent Events [Abstract]
Subsequent Events	Note 10 – Subsequent Events Convertible Notes and Warrants On July 13, 2023, the Company entered into a Note and Warrant Purchase Agreement (the “July Purchase Agreement”) $0.42 The July Convertible Notes issued to the non-insider purchaser accrues interest at 7.75% per annum, compounded semi-annually. Effective on the maturity date, if the July Convertible Notes have not otherwise been repaid by the Company, then at the option of the purchasers, the outstanding balance of the July Convertible Notes, including any accrued but unpaid interest thereon (the “July Note Amounts”), shall convert into that number of fully paid and nonassessable shares of the Company’s Common Stock. Upon the Company’s sale and issuance of equity or equity-linked securities pursuant to which the Company receives aggregate gross proceeds of at least $10.0 million (an “Equity Financing”), the Company shall repay the Note Amounts in cash. In addition, upon a Change of Control (as defined in the July Convertible Notes) of the Company, the July Convertible Notes shall be repaid in full at or before the closing of such transaction in cash. The Convertible Notes are strictly subordinated to the Lind Senior Notes (described below) and are secured by a junior security interest in all the Company’s right, title, and interest in and to all the Company’s assets. The July Convertible Notes mature on July 13, 2024. The July Warrants will expire after 5 years from the date of issuance and the July Warrants issued to the non-insider Purchaser may be exercised on a cashless basis. The July Warrants provide that a holder of July Warrants will not have the right to exercise any portion of its July Warrants, if such holder, together with its affiliates, and any other party whose holdings would be aggregated with those of the holder for purposes of Section 13(d) or Section 16 of the Exchange Act would beneficially own in excess of 4.99%, of the number of shares of the Company’s Common Stock outstanding immediately after giving effect to such exercise (the “Beneficial Ownership Limitation”); provided, however, that each holder may increase or decrease the Beneficial Ownership Limitation by giving notice to the Company, with any such increase not taking effect until the sixty-first day after such notice is delivered to the Company but not to any percentage in excess of 9.99%; provided that any holder of the July Warrants that beneficially owns in excess of 19.99% of the number of shares of the Common Stock outstanding on the issuance date of the July Warrants shall not be subject to the Beneficial Ownership Limitation. The July Convertible Notes and the July Warrants were issued by the Company in reliance on the exemption from registration provided by Section 4(a)(2) of the Securities Act. The July Purchase Agreement provides for customary shelf registration rights with respect to the shares of Common Stock underlying the July Convertible Notes and July Warrants. On July 13, 2023, the Company used proceeds from the July Convertible Notes and the Lind Financing (as described below) to repay the Lenders and the JGB Loan Agreement was thereby terminated upon the receipt by the Lenders of a payoff amount of $4,318,444.46 which included the outstanding principal balance due under the JGB Loan Agreement, accrued but unpaid interest thereon and Lenders’ and Agent’s legal fees and other expenses. The payoff amount paid by the Company in connection with the termination of the JGB Loan Agreement was made pursuant to a payoff letter. As a result, the JGB Loan Agreement, together with all documents and agreements executed in connection therewith, have terminated and all liens associated therewith have been released, subject to the Company continuing to be bound by certain terms under the JGB Loan Agreement that customarily survive the termination of similar agreements, including, without limitation, certain indemnification obligations and the terms of the warrants previously issued to the Lenders. Lind Financing On July 14, 2023 (the “Initial Lind Closing Date”), the Company entered into a Securities Purchase Agreement (the “Lind Purchase Agreement”) with Lind Global Partners II, L.P. (“Lind”) and one other external investor. The agreement provides for loans in an aggregate principal amount of up to $10.0 million under various tranches. On the Initial Lind Closing Date, the Company received funding in the amount of $3.75 million and pursuant to the terms of the Lind Purchase Agreement, Lind agreed to fund an additional $1.0 million within 5 business days of the Company (i) having a registration statement (the “Registration Statement”) declared effective by the SEC for the registration of the shares of the Company’s Common Stock issuable upon conversion of the Lind Note (as defined below) and Lind Warrant (as defined below) and (ii) the receipt of Stockholder Approval (as defined in the Lind Purchase Agreement), if necessary. In consideration for the $4.75 million, the Company issued and sold to Lind, in a private placement, (a) a senior secured convertible promissory note in the aggregate principal amount of $5,367,500 (the “Lind Note”) and (b) 12,837,838 At any time while the Lind Note is outstanding, the Company may deliver a written notice requesting an increase in the amount of funding equal to no less than $1.0 million and shall not exceed $5.25 million. Lind shall, within 7 business days of receiving the notice give a written response to the Company stating that Lind has elected (in its sole and absolute discretion) to (i) advance the full requested amount, (ii) advance an amount less than the full requested amount or (iii) not advance any of the requested amount. In addition, Lind may, in its sole discretion and without any action by the Company, deliver written notice to the Company of its election to advance up to an aggregate of $2.0 million of increased funding to the Company. The Lind Note was issued at a discount and matures on July 14, 2024. Following the date that is sixty (60) days after the earlier to occur of (A) the date the Registration Statement is declared effective by the SEC or (B) the date that any shares issued pursuant to the Lind Note may be immediately resold under Rule 144 of the Securities Act, the Company may repay all, but not less than all, of the then outstanding principal amount of the Lind Note, subject to a 5% premium. If the Company elects to prepay the Lind Note, Lind has the right to convert up to 33 1/3% of the principal amount of the Lind Note at the Conversion Price (as defined in the Lind Note) into shares of the Company’s Common Stock. The Lind Note is convertible, at the option of Lind, into shares of the Company’s common stock at price per share equal to the lower of $0.50 or 90% of the average of the 3 lowest daily VWAPs during the 20 Trading Days (as defined in the Lind Note) prior to conversion. As collateral for the obligations under the Lind Purchase Agreement, the Company has granted to Lind a senior security interest in all of Company’s right, title, and interest in, to and under all of Company’s property (inclusive of intellectual property), subject to certain exceptions. The Lind Warrant expires 5 years from the date of issuance and may be exercised on a cashless basis. The Lind Warrant provides that Lind will not have the right to exercise any portion of the warrant, if, together with its affiliates, and any other party whose holdings would be aggregated with those of the holder for purposes of Section 13(d) or Section 16 of the Securities Exchange Act of 1934, as amended, would beneficially own in excess of 4.99%, of the number of shares of the Company’s Common Stock outstanding immediately after giving effect to such exercise (the “Beneficial Ownership Limitation”); provided, however, that the Beneficial Ownership Limitation shall automatically increase to 9.99% if Lind, together with its affiliates, owns in excess of 4.99% of the Company’s outstanding Common Stock. The note and the warrant were issued by the Company in reliance on the exemption from registration provided by Section 4(a)(2) of the Securities Act and have not been registered under the Securities Act. The Lind Warrant provides for customary shelf and piggyback registration rights with respect to the shares of Common Stock underlying the Lind Note and the Lind Warrant. Placement Agent Warrant On July 14, 2023, in consideration for its services in respect of the Lind Financing described above, the Company also issued to Titan Partners Group LLC, a division of American Partners, LLC (the “Placement Agent”) warrants to purchase 536,570 shares of the Company’s Common Stock at an exercise price per share of $0.625 (the “Placement Agent Warrant”). The Placement Agent Warrant has a 5-year term. In addition, the Company paid the Placement Agent a commission of $285,000. The Placement Agent Warrant also provides for customary demand and piggyback registration rights with respect to the shares of Common Stock underlying the Placement Agent Warrant. Management has evaluated subsequent events through the filing date of this Quarterly Report on Form 10-Q and believes that all material subsequent events have been disclosed.

Accounting Policies, by Policy

Accounting Policies, by Policy (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation The unaudited condensed consolidated financial statements are presented in U.S. dollars and have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative GAAP as found in the Accounting Standards Codification (“ASC”) and as amended by Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). In the opinion of management, the accompanying unaudited condensed consolidated financial statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the financial position, results of operations and cash flows for the interim periods presented. The December 31, 2022 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. Results for interim periods should not be considered indicative of results for any other interim period or for the full year. The unaudited condensed consolidated financial statements include the accounts of PARTS iD, Inc. and its wholly owned subsidiary, PARTS iD, LLC. All intercompany accounts and transactions have been eliminated in consolidation.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Critical accounting estimates are estimates for which (a) the nature of the estimate is material due to the level of subjectivity and judgment necessary to account for highly uncertain matters or the susceptibility of such matters to change and (b) the impact of the estimate on financial condition or operating performance is material. The Company’s critical accounting estimates and assumptions affecting the financial statements include revenue recognition, return allowances, allowance for credit losses, depreciation, inventory valuation, valuation of deferred income tax assets and the capitalization and recoverability of software development costs.
Stock Compensation	Stock Compensation Compensation expense related to stock option awards and restricted stock units granted to certain employees, directors and consultants is based on the fair value of the awards on the grant date. If the service inception date precedes the grant date, accrual of compensation cost for periods before the grant date is based on the fair value of the award at the reporting date. In the period in which the grant date occurs, cumulative compensation cost is adjusted to reflect the cumulative effect of measuring compensation cost based on fair value at the grant date rather than the fair value previously used at the service inception date or any subsequent reporting date. Forfeitures are recorded as they occur. The Company recognizes compensation cost related to time-vested options and restricted stock units with graded vesting features on a straight-line basis over the requisite service period. Compensation cost related to performance-vesting options and performance-based units, where a performance condition or a market condition that affects vesting exists, is recognized over the shortest of the explicit, implicit, or defined service periods. Compensation cost is adjusted depending on whether the performance condition is achieved. If the achievement of the performance condition is probable or becomes probable, the full fair value of the award is recognized. If the achievement of the performance condition is not probable or ceases to be probable, then no compensation cost is recognized or amounts previously recognized are reversed.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments that expose the Company to a concentration of credit risk principally include cash and accounts receivable balances. The Company has significant cash balances at financial institutions which throughout the year regularly exceed the federally insured limit of $250,000. Any loss incurred or lack of access to such funds could have a significant adverse impact on the Company’s financial condition, results of operations, and cash flows. The Company manages accounts receivable credit risk through its policy of limiting extensions of credit to customers. Substantially all customer orders are paid by credit card at the point of sale.
Going Concern	Going Concern These condensed consolidated financial statements have been prepared in accordance with GAAP assuming the Company will continue as a going concern. The going concern assumption contemplates the realization of assts and satisfaction of liabilities in the normal course of business. We have operated with a negative working capital model since our inception. The Company has a working capital deficiency of approximately $47.4 million. We continue to face macro-economic headwinds and the resulting declining revenue and profitability, which increased the working capital deficit, and resulted in the use of approximately $5.0 million in cash from operating activities, of which $1.0 million was attributable to changes in working capital during the six months ended June 30, 2023. With this, substantial doubt exists about the Company’s ability to continue as a going concern within one year from the date of the issuance of these condensed consolidated financial statements. The accompanying condensed consolidated financial statements have been prepared assuming we will continue to operate as a going concern, which contemplates the realization of assets and settlement of liabilities in the normal course of business, and does not reflect any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result from uncertainty related to our ability to continue as a going concern. To address liquidity concerns, the Company is pursuing additional financing and continues to restructure and optimize its operations including moderating capital investments, improving gross margin, reducing expenses, and renegotiating vendor payment terms. In addition, to address its liquidity needs, the Company recently obtained an aggregate of $1.25 million from the sale and issuance of convertible notes and warrants (as discussed below) and a $0.7 million loan from JGB Collateral, LLC. In addition, the Company obtained additional financing in July 2023. See Note 10 – Subsequent Events for more information. PARTS iD has also retained Canaccord Genuity Group, Inc. (“Canaccord”) as its financial advisor and DLA Piper LLP (US) as its legal counsel to assist in evaluating potential strategic alternatives. There can be no assurance that the evaluation of strategic alternatives will result in any potential transaction, or any assurance as to its outcome or timing. PARTS iD has not set a timetable for completion of the process and does not intend to disclose developments related to the process unless and until PARTS iD executes a definitive agreement with respect thereto, or the Board of Directors otherwise determines that further disclosure is appropriate or required.
Accounts Receivable	Accounts Receivable Accounts receivable balances include amounts due from customers. The Company periodically reviews its accounts receivable balances to determine whether an allowance for credit losses is necessary based on an analysis of past due accounts, historical occurrences of credit losses, existing economic conditions, and other circumstances that may indicate that the realization of an account is in doubt. As of June 30, 2023 and December 31, 2022, the Company determined that an allowance for credit losses was not necessary.
Inventory	Inventor Inventory consists of purchased goods that are immediately available-for-sale and are stated at the lower cost or net realizable value, determined using the first-in, first-out method. Merchandise-in-transit directly from suppliers to customers is recorded in inventory until the product is delivered to the customer. As of June 30, 2023, and December 31, 2022, merchandise-in-transit amounted to $341,690 and $957,735, respectively. The risk of loss is transferred from the supplier to the Company at the shipping point. Since the purchased goods are immediately shipped directly from suppliers to customers the Company deemed that an inventory reserve for obsolete or slow-moving goods was unnecessary.
Other Current Assets	Other Current Assets Other current assets include advances to vendors amounting to $2,171,240 and $1,796,680 as of June 30, 2023, and December 31, 2022, respectively, which are included in prepaid expenses and other current assets on the condensed consolidated balance sheets.
Website and Software Development	Website and Software Development The Company capitalizes certain costs associated with website and software developed for internal use in accordance with ASC 350-50, Intangibles – Goodwill and Other – Website Development Costs, Intangibles – Goodwill and Other – Internal Use Software,
Intangible Assets	Intan ible Assets Intangible assets consist of indefinite-lived domain names and are stated at cost less impairment losses, if any. The Company reviews its intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of the intangible asset may not be recoverable. When such events occur, the Company compares the carrying amount of the asset to the undiscounted expected future cash flows related to the asset. If the comparison indicates that an impairment exists, the amount of the impairment is calculated as the difference between the excess of the carrying amount over the fair value of the asset. The Company has determined that there were no triggering events in the six months ended June 30, 2023 and 2022, and no impairment charges were necessary. During the first quarter of 2023, the Company sold its Onyx.com domain name for $250,000.
Property and Equipment	Property and Equipment Property and equipment are stated at cost less accumulated depreciation. Depreciation of property and equipment is calculated on a straight-line basis over the estimated useful lives of the assets as follows: Asset Class Estimated useful lives Video and studio equipment 5 years Website and internally developed software 3 years Computer and electronics 5 years Vehicles 5 years Furniture and fixtures 5 years Leasehold improvements Lesser of useful life or lease term
Accounts Payable	Accounts Payable Accounts payable as of June 30, 2023, consisted of amounts payable to vendors of $35.1 million and credit card payable of $2.8 million payable to a credit card company. As of December 31, 2022, accounts payable consisted of amounts payable to vendors of $33.1 million and $3.3 million credit card payable to the same credit card company mentioned above.
Revenue Recognition	Revenue Reco nition In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) In determining the appropriate amount of revenue to be recognized as it fulfills its obligations under its agreements, the Company performs the following steps: (i) identifies contracts with customers; (ii) identifies performance obligation(s); (iii) determines the transaction price; (iv) allocates the transaction price to the performance obligation(s); and (v) recognizes revenue when (or as) the Company satisfies each performance obligation. The Company recognizes revenue on product sales through its website as the principal in the transaction as the Company has concluded it controls the product before it is transferred to the customer. The Company controls products when it is the entity responsible for fulfilling the promise to the customer and takes responsibility for the acceptability of the goods, assumes inventory risk from shipment through the delivery date, has discretion in establishing prices, and selects the suppliers of products sold. Sales discounts earned by customers at the time of purchase and taxes collected from customers, which are remitted to governmental authorities, are deducted from gross revenue in determining net revenue. Allowances for sales returns are estimated and recorded based on historical experience and reduce product revenue, inclusive of shipping fees, by expected product returns. Allowances for sales returns at June 30, 2023 and December 31, 2022, were $213,534 and $549,250, respectively. The Company has two types of contractual liabilities: (a) amounts received from customers prior to the delivery of products are recorded as customer deposits in the accompanying condensed consolidated balance sheets and are recognized as revenue when the products are delivered, which amounted to $875,508 and $3,098,119 at June 30, 2023 and December 31, 2022, respectively, and (ii) site credits (which are initially recorded in accrued expenses and are recognized as revenue in the period they are redeemed), amounting to $158,306 and $3,414,019 at June 30, 2023 and December 31, 2022, respectively.
Cost of Goods Sold	Cost of Goods Sold Cost of goods sold consists of the cost of product sold to customers, plus shipping and handling costs and shipping supplies, net of vendor rebates.
Advertising Costs	Advertising Costs Advertising costs are expensed as incurred. The Company incurred $0.4 million in advertising costs during the three months ended June 30, 2023, and $9.4 million during the months ended June 30, 2022. For the six months ended June 30, 2023, advertising costs were $1.6 million and $19.1 for the six months ended June 30, 2022.
Income Taxes	Income Taxes The Company is a C corporation for U.S. federal income tax purposes. Accordingly, the Company accounts for income taxes in accordance with the provisions of ASC 740, Income Taxes ASC 740 also provides guidance on the accounting for uncertain tax positions recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more likely than not to be sustained upon examination by taxing authorities. ASC 740 also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. Based on the Company’s evaluation, management concluded that there are no significant uncertain tax positions requiring recognition in the Company’s condensed consolidated financial statements. The Company files U.S. federal and State of New Jersey state tax returns and had no unrecognized tax benefits at June 30, 2023 and December 31, 2022. The Company’s policy for recording interest and penalties associated with audits is to record such expenses as a component of income tax expense. There were no amounts accrued for penalties or interest as of or during the six months ended June 30, 2023 and 2022. Management is currently unaware of any issues under review that could result in significant payments, accruals, or material deviations from its filing positions.
Loss Per Share	Loss Per Share For the three and six months ended June 30, 2023 and 2022, basic net loss per common share was determined by dividing net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period. For purposes of calculating diluted net loss per common share, the denominator includes both the weighted average common shares outstanding and the number of common stock equivalents if the inclusion of such common stock equivalents would be dilutive. Dilutive common stock equivalents potentially include performance-based stock units and unvested restricted stock units using the treasury stock method. For all periods presented, there is no difference in the number of shares used to compute basic and diluted net loss per common share due to the Company’s net loss.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326),
Certain Significant Risks and Uncertainties	Certain Significant Risks and Uncertainties In February 2022, the Russian Federation launched a full-scale invasion against Ukraine, and sustained conflict and disruption in the region is ongoing. The Company’s engineering and product data development team as well as back office and part of its customer service center are in Ukraine. The Company’s ability to maintain adequate liquidity for its operations is dependent upon several factors, including its revenue and earnings, the impacts of COVID-19 and Russian-Ukraine conflict on macroeconomic conditions, and its ability to take further cost savings and cash conservation measures if necessary. The Russian-Ukraine conflict could have a material adverse effect upon the Company.
Significant Accounting Policies	Significant Accounting Policies There have been no significant changes from the significant accounting policies disclosed in Note 2 of the “Notes to Consolidated Financial Statements” included in our Annual Report on Form 10-K for the year ended December 31, 2022 (our “2022 Form 10-K”).

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Schedule of Property and Equipment are Stated at Cost Less Accumulated Depreciation	Property and equipment are stated at cost less accumulated depreciation. Depreciation of property and equipment is calculated on a straight-line basis over the estimated useful lives of the assets as follows: Asset Class Estimated useful lives Video and studio equipment 5 years Website and internally developed software 3 years Computer and electronics 5 years Vehicles 5 years Furniture and fixtures 5 years Leasehold improvements Lesser of useful life or lease term

Property and equipment (Tables)

Property and equipment (Tables)	6 Months Ended
	Jun. 30, 2023
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	Property and equipment consists of the following as of: June 30, December 31, Website and software development $ 52,962,606 $ 50,697,486 Furniture and fixtures 854,818 851,926 Computers and electronics 1,015,853 1,015,853 Vehicles 325,504 325,504 Leasehold improvements 300,673 300,673 Video and equipment 176,903 176,903 Total - Gross 55,636,357 53,368,345 Less: Accumulated depreciation (44,429,602 ) (40,452,572 ) Total - Net $ 11,206,755 $ 12,915,773

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2023
Leases [Abstract]
Schedule of Office Spaces and an Equipment Lease	The Company has lease arrangements for office spaces and an equipment lease. These leases expire at various dates through 2025. As of and Operating Lease Expense – 3 months ended June 30, 2023 $ 98,426 Operating Lease Expense – 6 months ended June 30, 2023 $ 196,852 Additional Lease Information: Weighted average remaining lease term-operating leases (in years) 1.75 Weighted average discount rate-operating leases 7 % Future minimum lease payments under non-cancellable leases as of June 30, 2023, were as follows: July 1, 2023 to December 31, 2023 $ 359,322 January 1, 2024 to December 31, 2024 276,358 January 1, 2025 to September 30, 2025 197,940 Sub-total 833,620 Less: Portion representing interest 106,385 Total future minimum lease payments 727,235 Less: Current portion of lease obligations 430,356 Long-term portion of lease obligations $ 296,879

Shareholders_ Deficit (Tables)

Shareholders’ Deficit (Tables)	6 Months Ended
	Jun. 30, 2023
Shareholders’ Deficit [Abstract]
Schedule of Shares of Class A Common Stock for Issuance	shares of Class A common stock for issuance as follows: Nature of Reserve As of As of a. Indemnification reserve: Upon the expiration of the indemnification period of two years as described in the Business Combination agreement, subject to the payments of indemnity claims, if any, the Company will issue up to 750,000 shares to former Onyx shareholders 750,000 750,000 b. EIP reserve: Shares reserved for future issuance under the stockholder approved Parts iD, Inc. 2020 Equity Incentive Plan 2,935,496 3,212,078 c. ESPP reserve: Shares reserved for future issuance under the stockholder approved Parts iD, Inc. 2020 Employee Stock Purchase Plan 2,043,582 2,043,582 Total shares reserved for future issuance 5,729,078 6,005,660

Share-Based Compensation (Table

Share-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2023
Share-Based Compensation [Abstract]
Schedule of Summarizes the Activity Related to RSUs	The following table summarizes the activity related to RSUs during the six months ended June 30, 2023: Restricted Weighted Unvested balance on January 1, 2023 1,053,445 $ 4.67 Granted - $ - Vested (276,582 ) $ 1.02 Forfeited (173,364 ) $ 5.81 Unvested balance on June 30, 2023 603,499 $ 5.98
Schedule of Summarizes the Activity Related to PSUs	The following table summarizes the activity related to PSUs during the six months ended June 30, 2023: PSU Type Balance at Granted Forfeited Balance at Net revenue based 495,200 - 230,000 265,200 Weighted average grant date fair value $ 8.00 $ - $ 6.71 $ 9.12 Cash flow based 123,800 - 57,500 66,300 Weighted average grant date fair value $ 2.44 $ - $ 2.35 $ 2.52 Total 619,000 - 287,500 331,500

Organization and Description _2

Organization and Description of Business (Details)	6 Months Ended
	Jun. 30, 2023
Organization and Description of Business [Abstract]
Description of business	PARTS iD has a product portfolio comprised of approximately 18 million SKUs, when fully available, an end-to-end digital commerce platform for both digital commerce and fulfillment, and a virtual shipping network comprising over 2,500 locations, approximately 4,500 active brands, and machine learning algorithms for complex fitment industries such as vehicle parts and accessories.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Summary of Significant Accounting Policies (Details) [Line Items]
Cash balances	$ 250,000		$ 250,000
Working capital	47,400,000		47,400,000
Decreased in working capital			5,000,000
Cash from operating activities			1,000,000
Liquidity needs			1,250,000
Sale and issuance of convertible notes	700,000		700,000
Merchandise-in-transit amounted	341,690		341,690		$ 957,735
Other Assets, Miscellaneous, Current	2,171,240		2,171,240		1,796,680
Domain name			250,000
Vendors accounts payable					33,100,000
Credit card payable					3,300,000
Allowances for sales returns	213,534		213,534		549,250
Products are delivered	875,508		875,508		3,098,119
Revenue			158,306		$ 3,414,019
Advertising costs	400,000	$ 9,400,000	1,600,000	$ 19,100,000
Accounts Payable [Member]
Summary of Significant Accounting Policies (Details) [Line Items]
Vendors accounts payable			35,100,000
Credit card payable	$ 2,800,000		$ 2,800,000

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details) - Schedule of Property and Equipment are Stated at Cost Less Accumulated Depreciation	6 Months Ended
	Jun. 30, 2023
Video and studio equipment [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Estimated useful lives	5 years
Website and internally developed software [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Estimated useful lives	3 years
Computer and electronics [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Estimated useful lives	5 years
Vehicles [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Estimated useful lives	5 years
Furniture and Fixtures [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Estimated useful lives	5 years
Leasehold Improvements [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Leasehold improvements	Lesser of useful life or lease term

Property and equipment (Details

Property and equipment (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Depreciation of property and equipment	$ 1,978,114	$ 2,142,433	$ 3,977,030	$ 4,096,895

Property and equipment (Detai_2

Property and equipment (Details) - Schedule of Property and Equipment - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Property and Equipment, Gross	$ 55,636,357	$ 53,368,345
Less: accumulated depreciation	(44,429,602)	(40,452,572)
Total - Net	11,206,755	12,915,773
Website and software development [Member]
Property, Plant and Equipment [Line Items]
Property and Equipment, Gross	52,962,606	50,697,486
Furniture and fixtures [Member]
Property, Plant and Equipment [Line Items]
Property and Equipment, Gross	854,818	851,926
Computers and electronics [Member]
Property, Plant and Equipment [Line Items]
Property and Equipment, Gross	1,015,853	1,015,853
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Property and Equipment, Gross	325,504	325,504
Leasehold improvements [Member]
Property, Plant and Equipment [Line Items]
Property and Equipment, Gross	300,673	300,673
Video and equipment [Member]
Property, Plant and Equipment [Line Items]
Property and Equipment, Gross	$ 176,903	$ 176,903

Leases (Details) - Schedule of

Leases (Details) - Schedule of Office Spaces and an Equipment Lease	3 Months Ended	6 Months Ended
	Jun. 30, 2023 USD ($)	Jun. 30, 2023 USD ($)
Leases [Abstract]
Operating Lease Expense - net	$ 98,426	$ 196,852
Additional Lease Information:
Weighted average remaining lease term-operating leases (in years)	1 year 9 months	1 year 9 months
Weighted average discount rate-operating leases	7%	7%
Future minimum lease payments under non-cancellable leases as of June 30, 2023, were as follows:
July 1, 2023 to December 31, 2023	$ 359,322	$ 359,322
January 1, 2024 to December 31, 2024	276,358	276,358
January 1, 2025 to September 30, 2025	197,940	197,940
Sub-total	833,620	833,620
Less: Portion representing interest	106,385	106,385
Total future minimum lease payments	727,235	727,235
Less: Current portion of lease obligations	430,356	430,356
Long-term portion of lease obligations	$ 296,879	$ 296,879

Debt (Details)

Debt (Details) - USD ($)								1 Months Ended	3 Months Ended	6 Months Ended
	Aug. 22, 2023	Jun. 16, 2023	Jun. 14, 2023	Mar. 06, 2023	Feb. 27, 2023	Feb. 23, 2023	Feb. 22, 2023	May 19, 2023	Jun. 30, 2023	Jun. 30, 2023	Apr. 30, 2023	Dec. 31, 2022
Debt (Details) [Line Items]
Aggregate principal amount				$ 2,900,000					$ 11,000,000	$ 11,000,000
Original issue discount									$ 500,000	$ 500,000
Purchase to warrants (in Shares)				530,000				2,083,333
Warrants exercisable										5 years
Exercise price per share (in Dollars per share)			$ 0.36	$ 0.5				$ 0.48	$ 2	$ 2
Effective interest rate amount									$ 5,500,000	$ 5,500,000
Effective interest rate									17.90%	17.90%
Debt issuance costs									$ 165,000	$ 165,000
Loan discount									500,000	500,000
Loan outstanding									4,200,000	4,200,000		$ 3,400,000
Interest expense									$ 249,721	436,121
Issuance cost										799,000
Fair value of warrants										551,000
Fair value of warrant				$ 158,000						$ 168,000
Monthly payments of amount											$ 183,333
Due date										Sep. 30, 2025
Principal amount			$ 250,000			$ 2,000,000		$ 1,000,000
Loan rate							8%
Conversion price (in Dollars per share)							$ 0.5
Cash							$ 2,000,000
Net revenue							$ 75,000,000
Loss on debt extinguishment										$ 879,045
Aggregate warrants (in Shares)				580,000
Convertible notes				$ 2,650,000
Accrue interest, percentage									7.75%	7.75%
Aggregate gross proceeds										$ 3,000,000
Warrants, description										The March Warrants provide that a holder of March Warrants will not have the right to exercise any portion of its March Warrants, if such holder, together with its affiliates, and any other party whose holdings would be aggregated with those of the holder for purposes of Section 13(d) or Section 16 of the Exchange Act would beneficially own in excess of 4.99%, of the number of shares of the Company’s Common Stock outstanding immediately after giving effect to such exercise (the “Beneficial Ownership Limitation”); provided, however, that each holder may increase or decrease the Beneficial Ownership Limitation by giving notice to the Company, with any such increase not taking effect until the sixty-first day after such notice is delivered to the Company but not to any percentage in excess of 9.99%; provided that any holder of the Warrants that beneficially owns in excess of 19.99% of the number of shares of the Common Stock outstanding on the issuance date of the Warrants shall not be subject to the Beneficial Ownership Limitation.
Convertible notes, net of debt discounts outstanding										$ 2,800,000
Convertible notes									$ 7,490,834	7,490,834		$ 4,203,282
Warrants outstanding								421,296
Convertible notes, net of discounts										$ 615,000
Percentage of common stock outstanding										4.99%
Percentage in excess of warrant										9.99%
Warrant description										The June Warrant will expire after 5 years from the date of issuance and may not be exercised on a cashless basis. The June Warrant provides that the holder will not have the right to exercise any portion of the June Warrant, if the holder, together with its affiliates, and any other party whose holdings would be aggregated with those of the holder for purposes of Section 13(d) or Section 16 of the Exchange Act would beneficially own in excess of 4.99%, of the number of shares of the Company’s Common Stock outstanding immediately after giving effect to such exercise (the “Beneficial Ownership Limitation”); provided, however, that the holder may increase or decrease the Beneficial Ownership Limitation by giving notice to the Company, with any such increase not taking effect until the sixty-first day after such notice is delivered to the Company but not to any percentage in excess of 9.99%; provided that the holder of the June Warrant that beneficially owns in excess of 19.99% of the number of shares of the Common Stock outstanding on the issuance date of the June Warrant shall not be subject to the Beneficial Ownership Limitation.
Additional borrowed loan		$ 700,000
Discount on loan		100,000
Loan installment payment		50,000
Gross proceeds		2,000,000
Repayment of loan amount		$ 950,000
Warrant [Member]
Debt (Details) [Line Items]
Purchase to warrants (in Shares)									1,000,000	1,000,000
Convertible notes									$ 105,658	$ 105,658
Convertible notes, net of discounts										$ 601,000
Purchase of warrants shares (in Shares)			694,444
Common Stock [Member]
Debt (Details) [Line Items]
Purchase to warrants (in Shares)									1,000,000	1,000,000
Exercise price per share (in Dollars per share)									$ 2	$ 2
Private Placement [Member]
Debt (Details) [Line Items]
Convertible notes								$ 578,704
Convertible notes, net of discounts										$ 147,000
Warrant [Member]
Debt (Details) [Line Items]
Accrue interest, percentage									19.99%	19.99%
Class A Common Stock [Member]
Debt (Details) [Line Items]
Common stock, par value per share (in Dollars per share)									$ 0.0001	$ 0.0001
First tranches [Member]
Debt (Details) [Line Items]
Aggregate principal amount									$ 5,500,000	$ 5,500,000
Second tranche [Member]
Debt (Details) [Line Items]
Aggregate principal amount									5,500,000	5,500,000
Fair Value Methodology [Member]
Debt (Details) [Line Items]
Convertible notes									$ 144,342	$ 144,342
Black-Scholes model [Member]
Debt (Details) [Line Items]
Purchase to warrants (in Shares)									1,000,000	1,000,000
Director [Member]
Debt (Details) [Line Items]
Purchase to warrants (in Shares)								1,562,500
Principal amount								$ 750,000
Convertible Notes Payable [Member]
Debt (Details) [Line Items]
Accrue interest, percentage									7.75%	7.75%
Forecast [Member]
Debt (Details) [Line Items]
Principal amount	$ 1,000,000
Delaware Corporation [Member]
Debt (Details) [Line Items]
Aggregate principal amount				$ 10,000,000
JGB [Member]
Debt (Details) [Line Items]
Loan repaid					$ 2,000,000

Shareholders_ Deficit (Details)

Shareholders’ Deficit (Details) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Shareholders’ Deficit (Details) [Line Items]
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, par value (in Dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares issued
Preferred stock, shares outstanding
Class A Common Stock [Member]
Shareholders’ Deficit (Details) [Line Items]
Shares of common stock outstanding	35,102,553	34,825,971
Shares of common stock issued	5,729,078	6,005,660

Shareholders_ Deficit (Detail_2

Shareholders’ Deficit (Details) - Schedule of Shares of Class A Common Stock for Issuance - shares	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Schedule Of Shares Of Class ACommon Stock For Issuance Abstract
Indemnification reserve: Upon the expiration of the indemnification period of two years as described in the Business Combination Agreement, subject the payments of indemnity claims, if any, the Company will issue up to 750,000 Common shares to former Onyx shareholders	750,000	750,000
EIP reserve: Shares reserved for future issuance under the stockholder approved Parts iD, Inc. 2020 Equity Incentive Plan	2,935,496	3,212,078
ESPP reserve: Shares reserved for future issuance under the stockholder approved Parts iD, Inc. 2020 Employee Stock	2,043,582	2,043,582
Total shares reserved for future issuance	5,729,078	6,005,660

Shareholders_ Deficit (Detail_3

Shareholders’ Deficit (Details) - Schedule of Shares of Class A Common Stock for Issuance (Parentheticals)	Jun. 30, 2023 shares
Schedule Of Shares Of Class ACommon Stock For Issuance Abstract
Common shares to former Onyx shareholders	750,000

Share-Based Compensation (Detai

Share-Based Compensation (Details) - USD ($)	1 Months Ended	3 Months Ended		6 Months Ended
	Oct. 31, 2020	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Share-Based Compensation (Details) [Line Items]
Selling, general and administrative expenses		$ 458,981	$ (180,529)	$ 1,114,568	$ 686,841
Share-based compensation		(180,529)		1,114,568	686,841
Performance-based restricted stock units value		973,659		973,659
Amount of capitalized		$ 324,423	$ 432,224	$ 787,813	$ 856,334
Common stock reserved for issuance (in Shares)		750,000		750,000
Class A Common Stock [Member]
Share-Based Compensation (Details) [Line Items]
Common stock reserved for issuance (in Shares)		4,904,596		4,904,596
Remain available for issuance shares (in Shares)		2,935,496		2,935,496
Issuance of common stock shares (in Shares)	2,043,582
Restricted Stock Units (RSUs) [Member]
Share-Based Compensation (Details) [Line Items]
Unamortized stock based compensation expense				$ 1,700,000
Phantom Share Units (PSUs) [Member]
Share-Based Compensation (Details) [Line Items]
Weighted average period				6 months 29 days

Share-Based Compensation (Det_2

Share-Based Compensation (Details) - Schedule of Summarizes the Activity Related to RSUs	6 Months Ended
	Jun. 30, 2023 $ / shares shares
Schedule of Summarizes the Activity Related to Rsus [Abstract]
Restricted Stock Units, Unvested balance at beginning of the period | shares	1,053,445
Weighted Average Grant Date Fair Value, Unvested balance at beginning of the period | $ / shares	$ 4.67
Restricted Stock Units, Granted | shares
Weighted Average Grant Date Fair Value, Granted | $ / shares
Restricted Stock Units, Vested | shares	(276,582)
Weighted Average Grant Date Fair Value, Vested | $ / shares	$ 1.02
Restricted Stock Units, Forfeited | shares	(173,364)
Weighted Average Grant Date Fair Value, Forfeited | $ / shares	$ 5.81
Restricted Stock Units, Unvested balance at ending of the period | shares	603,499
Weighted Average Grant Date Fair Value, Unvested balance at ending of the period | $ / shares	$ 5.98

Share-Based Compensation (Det_3

Share-Based Compensation (Details) - Schedule of Summarizes the Activity Related to PSUs	6 Months Ended
	Jun. 30, 2023 $ / shares shares
Share-Based Compensation (Details) - Schedule of Summarizes the Activity Related to PSUs [Line Items]
Balance Beginning	619,000
Forfeited	287,500
Balance Ending	331,500
Net revenue based [Member]
Share-Based Compensation (Details) - Schedule of Summarizes the Activity Related to PSUs [Line Items]
Balance Beginning	495,200
Forfeited	230,000
Balance Ending	265,200
Weighted average grant date fair value [Member]
Share-Based Compensation (Details) - Schedule of Summarizes the Activity Related to PSUs [Line Items]
Balance Beginning (in Dollars per share) | $ / shares	$ 8
Forfeited (in Dollars per share) | $ / shares	6.71
Balance Ending (in Dollars per share) | $ / shares	$ 9.12
Cash flow based [Member]
Share-Based Compensation (Details) - Schedule of Summarizes the Activity Related to PSUs [Line Items]
Balance Beginning	123,800
Forfeited	57,500
Balance Ending	66,300
Weighted average grant date fair value [Member]
Share-Based Compensation (Details) - Schedule of Summarizes the Activity Related to PSUs [Line Items]
Balance Beginning (in Dollars per share) | $ / shares	$ 2.44
Forfeited (in Dollars per share) | $ / shares	2.35
Balance Ending (in Dollars per share) | $ / shares	$ 2.52

Subsequent Events (Details)

Subsequent Events (Details) - USD ($)			6 Months Ended
	Jul. 14, 2023	Jul. 13, 2023	Jun. 30, 2023	Dec. 31, 2022
Subsequent Events (Details) [Line Items]
Accrue interest rate			7.75%
Gross proceeds			$ 10,000,000
Common stock outstanding percentage			4.99%
Excess percentage			9.99%
Ownership percentage			19.99%
Funding amount received			$ 1,000,000
Aggregate convertible note amount			7,490,834	$ 4,203,282
Funding amount shall not exceed			5,250,000
Increased funding			$ 2,000,000
Percentage premium of principal amount			5%
Lind Warrant [Member]
Subsequent Events (Details) [Line Items]
Excess percentage			4.99%
Subsequent Event [Member]
Subsequent Events (Details) [Line Items]
Secured convertible promissory notes		$ 3,250,000
Exercise price per share (in Dollars per share)
Payoff amount		$ 4,318,444.46
Aggregate principal amount	$ 10,000,000
Funding amount received	3,750,000
Additional fund amount	1,000,000
Aggregate convertible note amount	$ 4.75
Aggregate warrant received (in Shares)
Exercise price per share (in Dollars per share)	$ 0.5
Subsequent Event [Member] | Placement Agent Warrant [Member]
Subsequent Events (Details) [Line Items]
Exercise price per share (in Dollars per share)	$ 0.625
Number of shares purchased (in Shares)	536,570
Commission	$ 285,000