Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Schedule of provision for income taxes from operations

The provision for income taxes from operations consisted of the following:


	Years Ended December 31,
(in thousands)	2021		2020		2019
Current
Federal	$	65,861	$	42,337	$	28,314
State	19,515		12,571		7,465
Foreign	7,641		4,478		6,039
Deferred			0
Federal	802		2,330		3,329
State	(169)		598		805
Foreign	(1,548)		250		(1,577)
	$	92,102	$	62,564	$	44,375

Schedule of income and loss from operations before income taxes

Income and loss from operations before income taxes for the years ended December 31, 2021, 2020, and 2019, respectively, consisted of the following:


	Years Ended December 31,
(in thousands)	2021		2020		2019
Domestic	$	336,085	$	238,320	$	163,257
Foreign	22,464		11,244		15,100
	$	358,549	$	249,564	$	178,357

Schedule of effective income tax rates reconciliations

Reconciliations between the statutory federal income tax rates and the Company’s effective income tax rates as a percentage of income before income taxes for its operations were as follows:


	Years Ended December 31,
(in thousands)	2021		2020		2019
Federal tax rate	21.0	%	21.0	%	21.0	%
State taxes, net of federal benefit	4.3	%	4.2	%	3.6	%



Change in valuation allowance	—	%	0.1	%	(0.1)	%
True-up of prior year tax returns to tax provision	(0.1)	%	(0.4)	%	(0.3)	%
Difference between U.S. statutory and foreign local tax rates	0.4	%	0.4	%	0.8	%
Change in uncertain tax position	—	%	—	%	0.1	%
Other	0.1	%	(0.2)	%	(0.2)	%
Effective income tax rate	25.7	%	25.1	%	24.9	%

Schedule of deferred tax assets and liabilities

The tax effects of the significant temporary differences that constitute the deferred tax assets and liabilities at December 31, 2021 and 2020, respectively, were as follows:


	December 31,
(in thousands)	2021		2020
Deferred asset taxes
State tax	$	1,490	$	1,076
Workers’ compensation	892		883
Health claims	1,351		1,207
Vacation liability	376		374
Allowance for doubtful accounts	344		384
Inventories	7,497		6,108
Sales incentive and advertising allowances	1,777		1,086
Lease obligations	11,562		11,631
Stock-based compensation	2,612		2,148
Unrealized foreign exchange gain or loss	378		344
Foreign tax credit carryforwards	4,983		4,744
Uncertain tax positions’ unrecognized tax benefits	72		77
Non-United States tax loss carry forward	7,824		7,717
Other	940		—
	$	42,098	$	37,779
Less valuation allowances	(11,992)		(11,316)
Total deferred asset taxes	$	30,106	$	26,463
Deferred tax liabilities
Depreciation	$	(14,999)	$	(12,933)
Goodwill and other intangibles amortization	(16,682)		(15,642)
Tax effect on cumulative translation adjustment	(504)		(568)
Right of use assets	(11,453)		(11,489)

Other	—		(247)
Total deferred tax liabilities	(43,638)		(40,879)
Total Deferred tax asset/(liability)	$	(13,532)	$	(14,416)

Schedule of reconciliation of unrecognized tax benefits, including foreign translation amount

A reconciliation of the beginning and ending amounts of unrecognized tax benefits in 2021, 2020 and 2019, respectively, were as follows, including foreign translation amounts:


Reconciliation of Unrecognized Tax Benefits	2021		2020		2019
Balance at January 1	$	1,168	$	1,706	$	1,757
Additions based on tax positions related to prior years	9		78		8
Reductions based on tax positions related to prior years	(47)		(7)		(30)
Additions for tax positions of the current year	3		48		167

Lapse of statute of limitations	(189)		(657)		(196)
Balance at December 31	$	944	$	1,168	$	1,706