Income Taxes

9 Months Ended

Sep. 30, 2023

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

The Company’s effective income tax rate is based on expected income, statutory rates, valuation allowances against deferred tax assets, and any tax planning opportunities available to the Company. For interim financial reporting, the Company estimates the annual effective income tax rate based on full year projections and applies the annual effective income tax rate against year-to-date pretax income to record income tax expense, adjusted for discrete items, if any. The Company refines annual estimates as new information becomes available. The Company’s tax rate does not bear a relationship to statutory tax rates due to permanent differences, which are primarily related to nondeductible compensation and state taxes.

The Company’s income tax expense consisted of the following:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2023		2022		2023		2022
Income before provision for income taxes	$	73,154	$	53,389	$	174,587	$	152,275
Income tax expense using estimated annual effective income tax rate	20,556		14,629		49,058		41,724
Changes in effective tax rates	(101)		(96)		—		—
Income tax expense	$	20,455	$	14,533	$	49,058	$	41,724

There were no discrete items for the three and nine months ended September 30, 2023 and 2022.