Income Taxes

9 Months Ended

Sep. 30, 2022

Income Taxes

Income Taxes

14. INCOME TAXES:

The Company elected to be taxed as a REIT effective January 1, 2013, pursuant to the U.S. Internal Revenue Code of 1986, as amended. As a REIT, generally the Company is not subject to federal corporate income taxes on ordinary taxable income and capital gains income from real estate investments that it distributes to its stockholders. The Company continues to be required to pay federal and state corporate income taxes on earnings of its taxable REIT subsidiaries (“TRSs”).

For the three months and nine months ended September 30, 2022, the Company recorded an income tax provision of $10.2 million and $27.7 million, respectively, related to its TRSs.

For the three months and nine months ended September 30, 2021, the Company recorded an income tax provision of $1.1 million and $6.6 million, respectively. The income tax provision for the nine months ended September 30, 2021 includes the recording of a valuation allowance of $3.6 million related to the Company’s reassessment of the realizability of its deferred tax assets due to the impact of the COVID-19 pandemic.

At September 30, 2022 and December 31, 2021, the Company had no unrecognized tax benefits.