Income Tax Provision

3 Months Ended

Mar. 31, 2022

Income Tax Disclosure [Abstract]

Income Tax Provision

Income Tax Provision

We had an effective income tax rate of 22.3% for the three months ended March 31, 2022, compared to 3.4% for the three months ended March 31, 2021. The increase in the effective tax rate for the three months ended March 31, 2022, as compared to the same period in 2021, was principally driven by a decrease in the excess tax benefits related to stock incentive awards and an increase in reserves for state income tax benefits which are no longer more likely than not to be realized.

The effective income tax rates for the periods presented were different from the statutory United States federal income tax rate of 21% primarily due to excess tax benefits related to stock incentive awards and the tax benefit of research tax credits, offset by state income taxes, non-deductible business expenses, and reserves for unrecognized state income tax benefits. The excess tax benefits related to stock incentive awards realized were $3.0 million for the three months ended March 31, 2022, as compared to $8.8 million for the three months ended March 31, 2021. Excluding the excess tax benefits, the effective tax rate was 28.1% for the three months ended March 31, 2022, compared to 26.4% for the three months ended March 31, 2021.

We made tax payments of $393,000 and $59,000 in the three months ended March 31, 2022, and 2021, respectively.