INCOME TAXES

The Company’s federal and state income tax provision from continuing operations for the three months and nine months ended September 30, 2017 and 2016 is summarized in the following table (in thousands):



	Three Months Ended September 30,					Nine Months Ended September 30,
	2017			2016		2017			2016
Current
Federal	$	(925	)	$	—	$	(925	)	$	—
State	378			118		528			143
Total current	(547		)	118		(397		)	143
Deferred
Federal	515			268		1,523			393
State	92			35		271			57
Total deferred	607			303		1,794			450
Total income tax expense	$	60		$	421	$	1,397		$	593

The income tax expense recognized for the three months and nine months ended September 30, 2017 is a result of an increase in the deferred tax liability, partially offset by a receivable recognized upon the acceleration of an existing Alternative Minimum Tax credit.

The Company’s reconciliation of the statutory rate from continuing operations to the effective income tax rate for the three months and nine months ended September 30, 2017 and 2016 is summarized as follows (in thousands):



	Three Months Ended September 30,						Nine Months Ended September 30,
	2017			2016			2017			2016
Tax benefit at statutory rate	$	(4,307	)	$	(3,730	)	$	(20,543	)	$	(10,002	)
State tax expense, net of federal taxes	378			131			528			134
Alternative minimum tax receivable	(925		)	—			(925		)	—
Valuation allowance changes affecting income tax provision	4,876			4,967			22,194			10,282
Non-deductible transaction costs and other	38			(947		)	143			179
Income tax expense	$	60		$	421		$	1,397		$	593

At September 30, 2017, the Company had Federal net operating loss (“NOL”) carry forwards of approximately $389.1 million, of which $13.6 million is subject to an annual limitation, which will begin expiring in 2026 and later. The Company has post-apportioned state NOL carry forwards of approximately $432.8 million, the majority of which will begin expiring in 2017 and later.