Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Components of Current and Deferred Income Tax Expense

The components of current and deferred income tax expense included in the Consolidated Statement of Operations for years ended December 31, 2015, 2014 and 2013 as determined in accordance with ASC 740, Income Taxes (“ASC 740”), are as follows:

	Year Ended December 31,
	2015			2014		2013
Current:
Federal	$	1,598		$	—	$	—
State and local		2,431			94		—
Foreign		210			—		—
		4,239			94		—
Deferred:
Federal		46,784			10,739		—
State and local		6,233			1,664		—
Foreign		(123	)		—		—
		52,894			12,403		—
Income tax expense from operations	$	57,133		$	12,497	$	—

Schedule of Net Operating Losses for Tax Purposes

The Company has generated net operating losses for tax purposes (“NOLs”) during the year ended December 31, 2013 and prior periods which may be used to minimize income taxes. The following table provides a summary of the NOL activity for the years indicated:

	Year Ended December 31,
	2015			2014			2013
Beginning NOLs	$	(109,839	)	$	(140,959	)	$	(136,515	)
2014 return to provision adjustment		3,906			—			—
U.S. GAAP income		143,665			77,609			51,537
Tax differences:
Temporary		11,804			(1,425	)		5,580
Permanent		(73,175	)		(45,064	)		(61,561	)
State taxes		(2,431	)		—			—
Ending NOLs	$	(26,070	)	$	(109,839	)	$	(140,959	)

Schedule of Net Operating Loss Expiration

Prior to the consideration of any limitations imposed due to ownership changes, the Company’s available NOLs will expire as follows:

Year Ending December 31:
2019	$	5,078
2021		579
2023		608
2024		1,942
2032		13,419
2033		4,444
	$	26,070

Schedule of Annual Limitations for Net Operating Losses

The amounts summarized above are subject to the following annual limitations as indicated by the years such NOLs were incurred:

NOLs generated between	Total		Annual Prospective Limitation		Amount Deemed Worthless
1998 — 2004	$	8,207	$	524	$	3,487
2005 — 2013		17,863		—		—
NOLs	$	26,070	$	524	$	3,487

Schedule of Reconciliation of Gross Net Operating Loss

A reconciliation of the NOLs presented above and the amount utilized in calculating the deferred tax asset at December 31, 2015 and 2014, respectively, is as follows:

	December 31,
	2015			2014
NOLs	$	26,070		$	109,839
NOLs deemed worthless		(3,487	)		(3,487	)
Unrecognized stock-based compensation		(17,863	)		(101,108	)
Gross NOLs available for deferred tax asset		4,720			5,244
Tax rate		38.74	%		38.38	%
Tax affected	$	1,828		$	2,013

Deferred Tax Assets

At December 31, 2015 and 2014, the composition of the deferred tax asset is summarized as follows:

	December 31,
	2015			2014
Deferred tax assets:
NOLs	$	1,828		$	2,013
Foreign NOLs		2,051			816
Stock-based compensation		4,868			6,046
Accrued expenses		10,197			5,236
Deferred rent liability		2,116			2,170
Other		82			82
Deferred tax assets		21,142			16,363
Deferred tax liabilities:
Incentive compensation		2,753			4,092
Fixed assets		2,272			1,965
Unrealized gains		(5	)		—
Deferred tax liabilities		5,020			6,057
Total deferred tax assets less deferred tax liabilities		16,122			10,306
Less: valuation allowance		(2,051	)		(816	)
Net deferred tax assets and liabilities	$	14,071		$	9,490

Reconciliation of Statutory Federal Income Tax Rate and Company's Effective Rate

A reconciliation of the statutory federal income tax rate of 35% and the Company’s effective rate is as follows:

	December 31,
	2015			2014			2013
Federal statutory rate		35.00	%		35.00	%		35.00	%
Permanent differences		0.69	%		0.69	%		0.09	%
State income tax rate, net of federal benefit		4.11	%		1.55	%		10.06	%
Foreign tax differential		0.82	%		0.82	%		—
Change in valuation allowance		0.90	%		(27.74	%)		(45.13	%)
Change in effective state rate		(0.06	%)		6.86	%		—
Other differences, net		0.19	%		(0.19	%)		(0.02	%)
Effective rate		41.65	%		16.99	%		0.00	%