Income Taxes (Tables)

12 Months Ended

Mar. 31, 2023

Income Tax Disclosure [Abstract]

Summary of Provision for (Benefit of) Income Taxes

The provision for (benefit of) income taxes consist of the following components:

	Fiscal Year Ended March 31,
	2023			2022			2021
Current:
Federal taxes	$	13,857		$	1,090		$	6,562
State taxes		259			1,081			1,226
Foreign taxes		1,781			1,192			826
Total current taxes		15,897			3,363			8,614
Deferred:
Federal taxes	$	(9,562	)	$	43		$	(6,053	)
State taxes		311			(379	)		(2,068	)
Foreign taxes		312			551			(733	)
Total deferred taxes		(8,939	)		215			(8,854	)
Provision for (benefit of) income taxes	$	6,958		$	3,578		$	(240	)

Summary of Provision for (Benefit of) Income Taxes Differs from the Amount Computed at Federal Statutory Rate

The provision for (benefit of) income taxes differs from the amount computed at the federal statutory rate as follows:

	Fiscal Year Ended March 31,
	2023			2022			2021
Tax expense at United States federal statutory rate (1)	$	904		$	1,091		$	1,948
Items affecting federal income tax rate:
Impact of legal and audit settlements		3,339			—			(56	)
Impact of foreign withholding tax		2,811			—			—
Executive compensation limitation		2,575			2,068			775
Impact of net operating loss adjustment		1,814			(100	)		(220	)
State income taxes		1,473			950			572
Impact of foreign operations		311			356			(1,203	)
Compensation		66			1,059			865
Non-deductible expenses		—			(27	)		(258	)
Impact of deferred adjustments		(11	)		188			(31	)
Impact of amended returns		(122	)		163			(9	)
Impact of valuation allowance		(259	)		(882	)		563
Impact of uncertain tax positions		(366	)		1,620			278
Return to provision true-ups		(511	)		(152	)		(15	)
Research and development tax credits		(5,066	)		(2,756	)		(3,449	)
Provision for (benefit of) income taxes	$	6,958		$	3,578		$	(240	)

(1)Federal statutory rate was 21.0% for March 31, 2023, 2022 and 2021.

Summary of Net Deferred Tax Assets and Liabilities

The net deferred tax assets and liabilities in the consolidated balance sheets consist of the following:

	March 31, 2023			March 31, 2022
Deferred tax assets:
Compensation and benefits	$	14,506		$	17,494
Capitalized software		14,226			(647	)
Deferred revenue		9,923			9,245
Research and development credit		7,297			7,165
Accrued legal settlement		4,035			—
Net operating losses		2,470			6,018
Operating lease liabilities		1,937			3,774
Foreign deferred taxes		1,444			1,755
Allowance for credit losses		1,383			1,658
Accounts receivable		47			511
Total deferred tax assets		57,268			46,973
Deferred tax liabilities:
Prepaid expense	$	(11,656	)	$	(10,895	)
Intangibles assets		(8,845	)		(8,703	)
Other		(1,254	)		(630	)
Operating right-of-use assets		(816	)		(1,713	)
Accelerated depreciation		(351	)		(640	)
Valuation allowance		(4,874	)		(5,133	)
Deferred tax assets, net	$	29,472		$	19,259

Summary of Reconciliation in Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits, which is recorded within other noncurrent liabilities and deferred income taxes, net in our consolidated balance sheet, is as follows:

Balance as of March 31, 2020	$	4,192
Additions for prior year tax positions		220
Additions for current year tax positions		635
Reductions for prior year tax positions		(621	)
Balance as of March 31, 2021		4,426
Additions for prior year tax positions		1,184
Additions for current year tax positions		763
Reductions for prior year tax positions		(261	)
Balance as of March 31, 2022		6,112
Additions for prior year tax positions		311
Additions for current year tax positions		941
Reductions for prior year tax positions		(1,453	)
Balance as of March 31, 2023	$	5,911