Income Taxes

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The provision for income taxes relates primarily to the taxable income of the Company's taxable REIT subsidiaries. The earnings, other than in taxable REIT subsidiaries, of the Company are not generally subject to federal income taxes at the Company level due to the REIT election made by the Company.

Income taxes have been provided for on the asset and liability method. Under the asset and liability method, deferred income taxes are recognized for the temporary differences between the financial reporting basis and the tax basis of assets and liabilities.

The Company's provision for income taxes for the years ended December 31, 2022, 2021 and 2020 is summarized as follows:

	2022		2021		2020
Current:
Federal	$	—	$	(26)	$	(173)
State and local	(1,120)		(1,267)		(1,411)
Deferred federal(1)	18		—		—
Total	$	(1,102)	$	(1,293)	$	(1,584)

(1)     The net deferred tax asset is included in Other assets on the accompanying consolidated balance sheets at December 31, 2022. This net deferred tax asset relates primarily to a net operating loss carryforward.

The income tax provision differs from the amount computed by applying the statutory federal income tax rate to pre-tax operating income as follows:

	2022		2021		2020
Federal provision at statutory tax rate (21%)	$	18	$	(35)	$	(195)
State and local taxes, net of federal benefit	—		—		(77)
Other	(1,120)		(1,258)		(1,312)
Total	$	(1,102)	$	(1,293)	$	(1,584)

For the years ended December 31, 2022, 2021 and 2020, the “other” amount is comprised primarily of state franchise taxes of $1,121, $1,267 and $1,314, respectively.

As of December 31, 2022, the Company had estimated net operating loss carry forward for income tax reporting purposes of $84.

A summary of the average taxable nature of the Company's common dividends for each of the years in the three-year period ended December 31, 2022, is as follows:

	2022			2021			2020
Total dividends per share	$	0.48		$	0.43		$	0.42
Ordinary income	81.26		%	65.89		%	95.10		%
Qualifying dividend	—		%	0.1		%	0.6		%
Capital gain	—			—			—
Return of capital	18.74		%	34.01		%	4.3		%
	100.00		%	100.00		%	100.00		%

A summary of the average taxable nature of the Company's dividend on shares of its Series C Preferred for each of the years in the three-year period ended December 31, 2022, is as follows:

	2022			2021			2020
Total dividends per share	$	3.25		$	3.25		$	3.25
Ordinary income	100.00		%	99.84		%	99.38		%
Qualifying dividend	—		%	0.16		%	0.62		%
Capital gain	—			—			—
Return of capital	—			—			—
	100.00		%	100.00		%	100.00		%