INCOME TAXES (Tables)

9 Months Ended

Sep. 30, 2022

INCOME TAXES

Components of income tax expense

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2022		2021		2022		2021
	(in thousands)
Current:
Federal	$	5,944	$	2	$	17,153	$	1
State		387		—		1,218		—
		6,331		2		18,371		1
Deferred:
Federal		267		188		34,932		182
State		2		44		2,343		44
		269		232		37,275		226
Income tax expense	$	6,600	$	234	$	55,646	$	227

Reconciliation from provision for income taxes at U.S. federal statutory rate to effective tax rate

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2022		2021		2022		2021
	(in thousands)
Income taxes at statutory rate	$	36,030	$	12,171	$	88,066	$	26,658
Less: Income taxes at statutory rate on Partnership income not subject to income taxes		(29,888)		(11,777)		(71,562)		(25,935)
Increase (decrease) resulting from:
State taxes, net of federal income tax		426		66		1,244		138
Change in valuation allowance of deferred tax assets		9		(361)		10		(666)
Deferred taxes related to tax election		—		—		37,253		—
Other		23		135		635		32
Income tax expense	$	6,600	$	234	$	55,646	$	227

Components of deferred tax liabilities and deferred tax assets

	September 30,		December 31,
	2022		2021
	(in thousands)
Deferred tax liabilities:
Property, plant and equipment	$	(38,770)	$	(2,169)
Total deferred tax liabilities		(38,770)		(2,169)
Deferred tax assets:
Federal loss carryovers and credits		734		1,328
Other		764		808
Total deferred tax assets		1,498		2,136
Less valuation allowance		(327)		(317)
Net deferred tax assets		1,171		1,819
Overall net deferred tax liabilities	$	(37,599)	$	(350)