INCOME TAX (Tables)

12 Months Ended

Dec. 31, 2022

Income tax provision (benefit) on income from operations consists of the following:

Reconciliation of the U.S. statutory income tax rate to our effective income tax expense rate for operations follows:


	Years Ended December 31,
	2022		2021		2020
Federal income tax expense at statutory rate	$	39,395	$	33,386	$	36,759
State income tax, net of federal income tax benefit	9,197		5,594		6,677
Net operating loss carryback	(261)		3,391		(3,445)
Excess tax benefits of share-based compensation	(7,752)		(47,675)		(60,190)
Tax credits	(31,334)		(4,999)		(3,867)
Non-deductible business expenses	5,425		7,542		4,199
Uncertain tax positions	8,338		(425)		—
Other, net	345		709		89
	$	23,353	$	(2,477)	$	(19,778)

The tax effects of the major items recorded as deferred tax assets and liabilities as of December 31 are:


	2022		2021
Deferred income tax assets:
Capitalized research and experimental expenditures	$	76,731	$	—
Operating expenses not currently deductible	17,263		16,639
Stock option and other employee benefit plans	21,373		19,596
Loss and credit carryforwards	8,589		18,604
Deferred revenue	4,405		4,717
Other	289		—
Total deferred income tax assets	128,650		59,556
Valuation allowance	—		—
Total deferred income tax assets, net of valuation allowance	128,650		59,556

Deferred income tax liabilities:
Intangible assets	(256,818)		(266,827)
Property and equipment	(11,220)		(12,272)
Prepaid expenses	(9,503)		(8,542)
Total deferred income tax liabilities	(277,541)		(287,641)
Net deferred income tax liabilities	$	(148,891)	$	(228,085)


	2022		2021
Balance at beginning of period	$	4,635	$	1,929
Additions for tax positions of prior period	5,522		4,508
Reductions for tax positions of prior period	(170)		(10)
Additions for tax positions of current period	5,804		212
Settlements	—		—
Expiration of statutes of limitations	(1,160)		(2,004)
Balance at end of period	$	14,631	$	4,635