XML 54 R40.htm IDEA: XBRL DOCUMENT

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2020

Schedule of Income before Income Tax, Domestic and Foreign

The domestic and foreign components of income before provision for income taxes were as follows (in thousands):


	For the years ended December 31,
	2020		2019		2018
Domestic	$	168,117	$	156,571	$	115,070
Foreign	6,433		(8,332)		(20,588)
Total	$	174,550	$	148,239	$	94,482

Schedule of Components of Provision for Income Taxes

The provision for income taxes consisted of the following (in thousands, except percentages):


	For the years ended December 31,
	2020		2019		2018
Current:
Federal	$	33,327	$	20,482	$	(7,677)
State	14,575		14,564		12,653
Foreign	1,559		7,448		4,781
	49,461		42,494		9,757
Deferred
Federal	(965)		7,933		19,899
State	(2,506)		550		(1,205)
Foreign	(6,277)		(478)		395
	(9,748)		8,005		19,089
Provision for income taxes	$	39,713	$	50,499	$	28,846

Effective tax rate	22.8%		34.1%		30.5%

Schedule of Effective Income Tax Rate Reconciliation

The Company's effective income tax rate varied from the amount computed using the statutory federal income tax rate of 21% as follows (in thousands):


	For the years ended December 31,
	2020		2019		2018
Tax expense at US statutory rate	$	36,655	$	31,130	$	19,841
State income taxes, net of federal benefit	9,837		10,597		8,711
Foreign rate differential	1,256		276		(1,124)
Valuation allowance	(11,339)		4,459		10,466


Uncertain tax position interest and penalties	(712)		474		(1,806)
Tax credits	2,039		(50)		(9,799)
Non-deductible compensation	1,406		1,922		1,813
Other	571		1,691		1,032
Adjustment for Tax Cuts and Jobs Act	—		—		(288)
Provision for income taxes	$	39,713	$	50,499	$	28,846

Schedule of Deferred Tax Assets and Liabilities

The components of the total net deferred tax assets and liabilities as of December 31, 2020 and 2019 were as follows (in thousands):


	2020		2019
Deferred tax assets:

Provision for doubtful accounts	$	10,305	$	8,949
Closure, post-closure and remedial liabilities	28,665		26,960
Operating lease liabilities	38,151		40,879
Accrued expenses	16,797		17,602
Accrued compensation and benefits	11,372		7,155
Net operating loss carryforwards(1)	50,433		50,824
Tax credit carryforwards(2)	14,471		16,909
Interest rate swap liability	10,089		6,252
Stock-based compensation	3,040		2,435
Other	5,553		8,342
Total deferred tax assets	188,876		186,307
Deferred tax liabilities:
Property, plant and equipment	(194,604)		(184,594)
Operating lease right-of-use assets	(38,018)		(40,985)
Permits and other intangible assets	(95,492)		(98,654)
Prepaid expenses	(9,660)		(9,694)
Total deferred tax liabilities	(337,774)		(333,927)
Total net deferred tax liability before valuation allowance	(148,898)		(147,620)
Less valuation allowance	(77,044)		(83,643)
Net deferred tax liabilities	$	(225,942)	$	(231,263)

___________________________________

(1)As of December 31, 2020, the net operating loss carryforwards included (i) state net operating loss carryovers of $193.2 million which will begin to expire in 2021, (ii) federal net operating loss carryforwards of $16.8 million which will begin to expire in 2025 and (iii) foreign net operating loss carryforwards of $151.5 million which will begin to expire in 2021.

(2)As of December 31, 2020, the foreign tax credit carryforwards of $14.1 million will expire between 2021 and 2024.

Summary of Valuation Allowance

The components of the total valuation allowance as of December 31, 2020 and 2019 were as follows (in thousands):


	2020		2019
Allowance related to:
Foreign tax credits	14,127		16,565
Acquired federal net operating losses	779		779
State net operating loss carryforwards	10,429		10,663
Foreign net operating loss carryforwards	29,839		34,149
Deferred tax assets of a Canadian subsidiary	11,468		14,922
Realized and unrealized capital losses	10,402		6,565
Total valuation allowance	$	77,044	$	83,643

Schedule of Income Tax Contingencies

The changes to unrecognized tax benefits (excluding related penalties and interest) from January 1, 2018 through December 31, 2020, were as follows (in thousands):


	2020		2019		2018
Unrecognized tax benefits, beginning of year	$	6,414	$	3,159	$	5,121

(Reductions) additions to prior year tax positions	(833)		3,354		(625)

Expirations	(203)		(209)		(1,115)

Foreign currency translation	112		110		(222)
Unrecognized tax benefits, end of year	$	5,490	$	6,414	$	3,159