The Company’s pretax income is associated with activities in domestic and international jurisdictions, as follows:

	Year Ended December 31,
	2020			2019			2018
Income Before Provision (Benefit) for Taxes
Domestic	$	260,361		$	110,012		$	6,579
International		(12,400	)		(27,822	)		34,934
Total	$	247,961		$	82,190		$	41,513

	Year Ended December 31,
	2020		2019			2018
Current
Federal Income Tax	$	20,306	$	3,442		$	219
State and Local Income Tax		7,747		3,142			1,323
Foreign Income Tax		571		310			5,245
		28,624		6,894			6,787
Deferred
Federal Income Tax		2,308		12,385			(5,220	)
State and Local Income Tax		300		3,365			(2,544	)
Foreign Income Tax		4,303		(4,241	)		(68	)
		6,911		11,509			(7,832	)
Provision (Benefit) for Taxes	$	35,535	$	18,403		$	(1,045	)

	Year Ended December 31,
	2020			2019			2018
Income Before Provision (Benefit) for Taxes	$	247,961		$	82,190		$	41,513
Provision (Benefit) for Taxes	$	35,535		$	18,403		$	(1,045	)
Effective Income Tax Rate		14.3	%		22.4	%		-2.5	%

The following table reconciles the U.S. federal statutory tax rate to the effective income tax rate:

	Year Ended December 31,
	2020			2019			2018
Expected Income Tax Expense at the Federal Statutory Rate		21.0	%		21.0	%		21.0	%
Permanent Differences for Compensation		-0.1	%		4.1	%		-18.6	%
Accrual to Blackstone Related to Employee Matters Agreement		0.0	%		0.1	%		0.6	%
Partnership (Income) Loss Not Subject to U.S. Corporate Income Taxes		-8.3	%		-8.6	%		-9.3	%
Foreign Income Taxes		0.7	%		-1.5	%		5.4	%
State and Local Income Taxes, Net of Federal Benefit		2.9	%		5.7	%		1.3	%
Return to Provision		-0.4	%		-0.2	%		0.0	%
Rate Change Impact		0.0	%		1.3	%		-4.6	%
Tax Benefit from NOL Carryback under the CARES Act		-1.5	%		—			—
Other		0.0	%		0.5	%		1.7	%
Effective Income Tax Rate		14.3	%		22.4	%		-2.5	%

Deferred income taxes reflect the net tax effects of temporary differences that may exist between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes using enacted tax rates in effect for the year in which the differences are expected to reverse. A summary of the tax effects of the temporary differences is as follows:

	December 31,
	2020		2019
Deferred Tax Assets
Operating Lease Liabilities	$	21,579	$	23,669
Tax Basis Step-Up from Blackstone		18,314		21,891
Deferred Compensation		17,481		13,759
Partner Exchange Basis Step-Up		20,451		9,624
Net Operating Loss		—		4,222
Other		2,648		1,337
Total Deferred Tax Assets	$	80,473	$	74,502
Deferred Tax Liabilities
Operating Lease Right-of-Use Assets	$	18,762	$	21,549
Intangible Assets		1,302		1,099
Fixed Assets		1,823		468
Other		5,256		3,149
Total Deferred Tax Liabilities		27,143		26,265
Deferred Tax Asset, Net	$	53,330	$	48,237

On March 27, 2020, the President of the United States signed the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) into law, which includes several provisions for corporations regarding the tax treatment of net operating losses, interest deductions and payroll benefits. The Company has elected to carryback certain net operating losses, which resulted in a $3.7 million decrease in the Company’s Provision for Income Taxes for the year ended December 31, 2020.

The realization of deferred tax assets arising from timing differences and net operating losses requires taxable income in future years in order to deduct the reversing timing differences and absorb the net operating losses. The Company assesses positive and negative evidence in determining whether to record a valuation allowance with respect to deferred tax assets. This assessment is performed separately for each taxing jurisdiction.

The Company considered its cumulative taxable income earned in recent periods and projections of future taxable income based on the growth trajectory of its business as positive evidence in evaluating its ability to utilize the deferred tax assets. The Company’s projections of future taxable income currently indicate that it is more likely than not that the deferred tax assets will be realized.

The Company does not believe that it meets the indefinite reversal criteria that would allow the Company to refrain from recognizing any deferred tax liability with respect to its foreign subsidiaries. Accordingly, the Company records a deferred tax liability with respect to an outside basis difference in its investment in a foreign subsidiary, where applicable.

The Company is subject to taxation in the United States and various state, local and foreign jurisdictions. As of December 31, 2020, the Company is not generally subject to examination by the tax authorities for years before 2017.

The Company does not anticipate a material increase or decrease in unrecognized tax benefits during the coming year.

For the years ended December 31, 2020, 2019 and 2018, no interest or penalties were accrued with respect to unrecognized tax positions and there were no settlements with taxing authorities.