Income Taxes (Tables)

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

The jurisdictional components of income before taxes consist of the following:

	December 31,
(in thousands)	2020		2019		2018
Income before income taxes:
Domestic	$	49,357	$	54,566	$	66,858
Foreign	28,780		29,769		27,673
	$	78,137	$	84,335	$	94,531

Schedule of Components of Income Tax Expense (Benefit)

The components of income tax expense (benefit) consist of the following:

	December 31,
(in thousands)	2020		2019		2018
Current:
Domestic	$	10,823	$	6,403	$	6,771
Foreign	8,759		8,419		7,391
State	3,226		3,291		4,831
	22,808		18,113		18,993
Deferred:
Domestic	674		3,800		2,542
Foreign	(1,199)		(280)		(390)
State	(776)		(204)		(100)
	(1,301)		3,316		2,052
Total income taxes	$	21,507	$	21,429	$	21,045

Schedule of Effective Income Tax Rate Reconciliation

The difference between income tax expense (benefit) for financial statement purposes and the amount of income tax expense computed by applying the domestic statutory income tax rate of 21% to income before income taxes consists of the following:

	December 31,
(in thousands)	2020			2019			2018
Income tax expense at statutory rates	$	16,409		$	17,710		$	19,851
Increase (reduction) from:
Jurisdictional rate differences	1,034			988			719
Valuation allowance	(63)			460			(267)
Stock based compensation	(366)			(358)			(205)
U.S. state taxes	2,450			3,125			3,917
Foreign tax expense	704			—			—
R&D credit	(415)			(699)			(531)
GILTI	50			872			673
Previously unrecognized tax (benefit)/expense	2,219			(1,504)			—
Other, net	(515)			835			219
Provision for income taxes before tax reform	$	21,507		$	21,429		$	24,376
Effective tax rate before effects of tax reform	28		%	25		%	26		%
Tax Reform:
Rate change of deferreds	—			—			1,200
Transition tax on deemed repatriation	—			—			(4,531)
Impact of tax reform	$	—		$	—		$	(3,331)
Provision for income tax	$	21,507		$	21,429		$	21,045
Effective tax rate	28		%	25		%	22		%

Schedule of Deferred Tax Assets and Liabilities

The components of the Company’s deferred income tax assets and liabilities consist of the following:

	December 31,
(in thousands)	2020		2019
Deferred income tax assets:
Inventory basis difference	$	3,150	$	4,351
Accounts receivable reserve	255		384
Rental equipment and Property, plant and equipment	144		73
Stock based compensation	606		391
Pension liability	3,655		2,874
Employee benefit accrual	1,585		1,669
Product liability and warranty reserves	2,242		2,526
Foreign net operating loss	3,566		4,485
Lease liability	3,376		3,046
State net operating loss	148		148
Other	2,430		190
Total deferred income tax assets	$	21,157	$	20,137
Less: Valuation allowance	(3,641)		(4,156)
Net deferred income tax assets	$	17,516	$	15,981
Deferred income tax liabilities:
Inventory basis differences	$	(287)	$	(122)
Rental equipment and Property, plant and equipment	(14,818)		(17,327)
Lease asset	(3,351)		(3,022)
Intangible assets	(16,496)		(18,897)
Expenses not currently deductible for book purposes	(1,003)		(1,996)
Total deferred income tax liabilities	$	(35,955)	$	(41,364)
Net deferred income taxes	$	(18,439)	$	(25,383)

Schedule of Unrecognized Tax Benefits Roll Forward

We do not expect our unrecognized tax benefits disclosed above to change significantly over the next 12 months.

Unrecognized Tax Benefits
	December 31,
(in thousands)	2020		2019
Balance as of beginning of year	$	262	$	236
Increases for tax positions related to the current year	88		88
Increases in tax positions taken related to liabilities assumed in acquisitions	—		2,219
Decreases in tax positions taken related to liabilities assumed in acquisitions	—		(1,504)
Decreases as a result of settlements with taxing authorities related to liabilities assumed in acquisitions	—		(715)
Decreases due to lapse of statute of limitations	(88)		(62)
Balance as of end of year	$	262	$	262