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INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2019
Income Tax Disclosure [Abstract]  
Components of Income Before Taxes, Domestic and Foreign

The components of income from continuing operations before income taxes were as follows:

($ in millions)
2019
 
2018
 
2017
Income (loss) before income taxes:
 
 
 
 
 
U.S.
$
16.3

 
$
43.4

 
$
51.0

Non-U.S.
12.3

 
4.7

 
(12.4
)
Total income from continuing operations before income taxes
$
28.6

 
$
48.1

 
$
38.6
Schedule of Effective Income Tax Rate Reconciliation
A reconciliation of the federal statutory corporate income tax rate to our effective income tax rate follows: 
($ in millions)
2019
 
2018
 
2017
Tax expense at statutory rate
$
6.0

 
21.0
 %
 
$
10.1

 
21.0
 %
 
$
13.5

 
35.0
 %
Add (deduct):
 
 
 
 
 

 
 
 
 
 
 
Rates different from statutory(1)
(1.3
)
 
(4.5
)
 
(0.9
)
 
(1.9
)
 
2.3

 
5.9

Statutory income tax change
—

 
—

 
2.1

 
4.4

 
(7.6
)
 
(19.6
)
State income taxes
1.5

 
5.2

 
0.8

 
1.7

 
3.5

 
9.1

Nondeductible items
1.3

 
4.5

 
1.3

 
2.7

 
3.1

 
7.9

GILTI inclusion(2)
0.2

 
0.7

 
1.1

 
2.3

 
—

 
—

Unrecognized tax benefit relating to warrants(3)
—

 
—

 
—

 
—

 
0.3

 
0.7

Valuation allowance
5.8

 
20.3

 
4.7

 
9.8

 
(2.5
)
 
(6.6
)
Unrecognized tax benefit
(0.1
)
 
(0.4
)
 
(2.2
)
 
(4.7
)
 
—

 
—

Other
(1.1
)
 
(3.8
)
 
(0.2
)
 
(0.4
)
 
(0.2
)
 
(0.5
)
Income tax expense on continuing operations
$
12.3

 
43.0
 %
 
$
16.8

 
34.9
 %
 
$
12.4

 
31.9
 %

(1)
Includes differences between the U.S. federal tax rates and the rates in Canada and the U.S. Virgin Islands.
(2)
In accordance with FASB Staff Q&A, Topic 740, No. 5, we have elected to treat the income tax impact of GILTI as a period cost.
(3)
Non-cash impacts of changes in the derivative liabilities that we had from our warrants that expired in August 2017 were not recognized for purposes of calculating our tax provision; instead, they were treated as an unrecognized tax benefit.  Further, exercises of the warrants were also treated as an unrecognized tax benefit for purposes of calculating our tax provision.
Schedule of Components of Income Tax Expense (Benefit)
The amounts of our consolidated federal and state income tax expense (benefit) from continuing operations were as follows: 
($ in millions)
 
2019
 
2018
 
2017
Current:
 
 
 
 
 
 
U.S. Federal
 
$
(1.9
)
 
$
2.2

 
$
8.9

U.S. State
 
1.9

 
(0.2
)
 
7.0

Non-U.S.
 
0.1

 
0.2

 
(0.1
)
 
 
0.1

 
2.2

 
15.8

Deferred:
 
 

 
 

 
 
U.S. Federal
 
$
9.6

 
$
14.2

 
$
(0.6
)
U.S. State
 
0.6

 
(0.2
)
 
(3.5
)
Non-U.S.
 
2.0

 
0.6

 
0.7

 
 
12.2

 
14.6

 
(3.4
)
Income tax expense on continuing operations
 
$
12.3

 
$
16.8

 
$
12.4
Schedule of Deferred Tax Assets and Liabilities Our deferred income tax liabilities and assets were as follows: 
 
 
December 31,
($ in millions)
 
2019
 
2018
Deferred tax assets:
 
 

 
 

Goodwill and other intangibles
 
$
8.3

 
$
8.4

Inventory
 
1.3

 
2.8

Accrued insurance
 
5.2

 
4.6

Stock compensation
 
3.5

 
2.5

Interest limitation carryover
 
10.4

 
6.6

Start-up acquisition costs
 
2.8

 
2.7

Other accrued expenses
 
3.4

 
3.4

Operating lease liabilities
 
18.1

 
—

Net operating loss ("NOL") carryforwards
 
11.3

 
8.4

Property, plant and equipment, net - Polaris
 
3.3

 
2.9

Other
 
1.9

 
3.7

Total gross deferred tax assets
 
69.5

 
46.0

Valuation allowance
 
(15.1
)
 
(9.2
)
Net deferred tax assets
 
54.4

 
36.8

Deferred income tax liabilities:
 
 
 
 
Property, plant and equipment, net - non-Polaris
 
(56.4
)
 
(46.1
)
Partnership outside basis
 
(28.2
)
 
(26.7
)
Depletion
 
—

 
(1.6
)
Operating lease assets
 
(17.9
)
 
—

Other
 
(2.2
)
 
(0.4
)
Total gross deferred tax liabilities
 
(104.7
)
 
(74.8
)
Net deferred tax liability(1)
 
$
(50.3
)
 
$
(38.0
)


(1)
At December 31, 2019, our state deferred tax asset of $4.5 million was classified as a non-current asset, and our U.S. and foreign deferred tax liability of $54.8 million was classified as a non-current liability. At December 31, 2018, our state deferred tax asset of $5.1 million was classified as a non-current asset, and our U.S. and foreign deferred tax liability of $43.1 million was classified as a non-current liability.
Reconciliation of Unrecognized Tax Benefits
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
($ in millions)
 
2019
 
2018
 
2017
Unrecognized tax benefits at January 1
 
$
4.6

 
$
6.2

 
$
43.0

Additions for tax positions related to current year
 
0.5

 
0.5

 
6.8

Additions for tax positions related to prior year
 
7.4

 
—

 
—

Reductions - current year decrease
 
—

 
—

 
(5.4
)
Reductions - prior year decrease
 
(1.2
)
 
—

 
(38.2
)
Lapse of statute of limitations
 
—

 
(2.1
)
 
—

Unrecognized tax benefits at December 31
 
$
11.3

 
$
4.6

 
$
6.2