The provision for income taxes, relating to continuing operations, is composed of the following as of December 31, 2020, 2019 and 2018 (in millions):

	2020			2019			2018
Current:
U.S. Federal expense (benefit)	$	—		$	(0.1	)	$	(0.3	)
State and local tax		0.1			0.1			0.1
Total current		0.1			—			(0.2	)
Deferred:
U.S. Federal tax		0.1			9.7			(1.6	)
State and local tax		(0.1	)		1.4			0.4
Total deferred		—			11.1			(1.2	)

Total income tax expense (benefit)	$	0.1		$	11.1		$	(1.4	)

A reconciliation of income taxes based on the application of the statutory federal income tax rate to income taxes as set forth in the consolidated statements of operations is as follows for the years ended December 31, 2020, 2019 and 2018:

	2020			2019			2018
Federal statutory rate		21.0	%		21.0	%		21.0	%
Increase (decrease) in taxes resulting from:
State and local taxes		(6.6	)		(13.8	)		(7.8	)
Goodwill Impairment		(169.1	)		—			—
Nondeductible items		(13.2	)		(1.8	)		(2.9	)
Prior year true-up items		(33.5	)		—			1.8
Restricted stock		(34.5	)		(4.5	)		5.1
Refundable tax credits		—			0.8			1.5
Other, net		—			(0.8	)		(0.1	)
Change in valuation allowance		219.8			(111.5	)		—
Effective income tax rate		(16.1	)%		(110.6	)%		18.6	%

At December 31, 2020, our valuation allowance on deferred tax assets (“DTAs”) was approximately $18.1 million compared to $20.0 million at December 31, 2019. In each reporting period, we assess the available positive and negative evidence to estimate if sufficient future taxable income would be generated to utilize the existing deferred tax assets. Starting in 2019, our operations were in a position of cumulative losses for the most recent three-year period. The cumulative loss incurred by the Company over the three-year period ended December 31, 2019 constitutes a significant piece of objective negative evidence. Such objective negative evidence limits the ability to consider other subjective evidence, such as our projections for future profitability and growth. Based on this evaluation, the company concluded primarily that it is more likely than not that a significant portion of our deferred tax assets will not be realized. Accordingly, the Company recorded a full valuation allowance on its net deferred tax asset position, resulting in a $12.7 million income tax expense in our provision for income taxes in 2019. The Company maintained the cumulative loss for the most recent three-year period as of December 31, 2020. Before we change our judgement on the need for a valuation allowance, a sustained period of operating profitability is required.

The income tax expense from continuing operations for 2020 was $0.1 million on a loss before taxes of $0.8 million. For 2019, an income tax expense of $11.1 million was recorded on a pretax loss of $10.2 million.

At December 31, 2020, the Company had gross deferred tax assets of $32.9 million and a valuation allowance of $18.1 million, netting to deferred tax assets of $14.8 million. The Company had deferred tax liabilities of $14.8 million at December 31, 2020. The Company had no net deferred tax assets at both December 31, 2020 and 2019.

On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act ("the Act") was signed into law, making several changes to the Internal Revenue Code. The changes included, but are not limited to increasing the limitation on the amount of deduction interest expense under Code Section 163(j), allowing companies to carry back certain net operating losses, and increasing the amount of net operating loss carryforwards that corporations can use to offset taxable income. The Company benefited from these changes with an additional interest expense deduction of $4.3 million in 2020.

Deferred income taxes at December 31, 2020 and 2019 are comprised of the following (in millions):

	2020					2019
	Assets			Liabilities		Assets			Liabilities
Income tax loss carryforwards	$	17.0		$	—	$	17.8		$	—
Other accrued liabilities		1.7			—		1.0			—
Employee benefits related		1.9			—		0.8			—
Property, plant and equipment		—			0.3		—			0.2
Insurance related		0.7			0.6		0.7			—
Goodwill		0.5			—		0.4			—
Intangibles		0.5			—		-			—
Inventories		1.4			—		1.8			—
Accounts receivables		0.7			—		0.8			—
LIFO		—			5.6		—			5.2
Leases		8.4			8.3		9.7			9.6
Other		0.1			—		2.4			0.4
Gross deferred tax assets and liabilities		32.9			14.8		35.4			15.4
Valuation allowance		(18.1	)		—		(20.0	)		—
Total	$	14.8		$	14.8	$	15.4		$	15.4

The Company has both federal and state tax loss carryforwards reflected above. The Company’s federal tax loss carryforwards of approximately $41.4 million will begin to expire in 2030. As a result of the Tax Act, any federal tax losses incurred by the Company starting in 2018 will have an indefinite carryforward. The Company also has an interest limitation carryforward under IRC Section 163(j) of approximately $0.3 million as of December 31, 2020. This limitation also has an indefinite carryforward period. The Company has substantially concluded all U.S. federal income tax matters for years through 2009. The Company’s remaining carryforwards have expiration dates from 2020 to 2040. The Company has no material uncertain tax positions at December 31, 2020 or 2019.

We file U.S. and state tax returns in jurisdictions with varying statutes of limitations. The 2017 through 2020 tax years generally remain subject to examination by federal and state tax authorities.