Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

The provision for income taxes consisted of the following (in thousands):


	Year Ended December 31,
	2021		2020		2019
Current:
U.S. federal	$	(7,267)	$	239	$	(4,142)
U.S. state and local	4,940		6,828		3,928
Foreign	36,699		30,788		52,943
UBT	588		(3)		1,278
	34,960		37,852		54,007
Deferred:
U.S. federal	(1,000)		(11,050)		(11,565)
U.S. state and local	(1,515)		(5,848)		8,537
Foreign	(12,098)		3,602		506
UBT	2,666		(3,253)		(1,674)
	(11,947)		(16,549)		(4,196)
Provision for income taxes	$	23,013	$	21,303	$	49,811

Summary of Actual Income Tax Expense and Amount Calculated Utilizing U.S. Federal Statutory Rates

Differences between the Company’s actual income tax expense and the amount calculated utilizing the U.S. federal statutory rates were as follows (in thousands):


	Year Ended December 31,
	2021		2020		2019
Tax expense at federal statutory rate	$	37,065	$	15,166	$	24,492
Non-controlling interest	2,440		73		3,466
Incremental impact of foreign taxes compared to federal tax rate	5,009		(476)		7,935
Other permanent differences	11,797		6,531		4,538
U.S. state and local taxes, net of U.S. federal benefit	2,737		(321)		(2,650)
New York City UBT	2,929		(3,256)		(392)
Other rate changes	(7,007)		(12,783)		10,509
Nontaxable gain on insurance disposition	(65,231)		—		—
Uncertain tax positions	(6,936)		1,475		(1,025)
U.S. tax on foreign earnings, net of tax credits	31,299		2,643		3,166
Return-to-provision adjustments	(714)		1,076		(3,937)
Valuation allowance	11,532		11,966		4,015
Other	(1,907)		(791)		(306)
Provision for income taxes	$	23,013	$	21,303	$	49,811

Summary of Deferred Tax Asset and Liability

Significant components of the Company’s deferred tax asset and liability consisted of the following (in thousands):


	Year Ended December 31,
	2021		2020
Deferred tax asset
Basis difference of investments	$	15,906	$	15,644
Deferred compensation	70,635		74,030
Excess interest expense	31,319		26,238
Other deferred and accrued expenses	12,157		8,835
Net operating loss and credit carry-forwards	60,160		84,822
Total deferred tax asset1	190,177		209,569
Valuation allowance	(48,623)		(81,191)
Deferred tax asset, net of valuation allowance	141,554		128,378
Deferred tax liability
Depreciation and amortization	24,331		27,406
Total deferred tax liability1	24,331		27,406
Net deferred tax asset	$	117,223	$	100,972

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1Before netting within tax jurisdictions.

Summary of Gross Unrecognized Tax Benefits

A reconciliation of the beginning to the ending amounts of gross unrecognized tax benefits for the years ended December 31, 2021, 2020 is as follows (in thousands):


Balance, December 31, 2019	$	10,481
Increases for prior year tax positions	1,706
Decreases for prior year tax positions	—
Increases for current year tax positions	—
Decreases related to settlements with taxing authorities	—
Decreases related to a lapse of applicable statute of limitations	—
Balance, December 31, 2020	$	12,187
Increases for prior year tax positions	884
Decreases for prior year tax positions	(999)
Increases for current year tax positions	—
Decreases related to settlements with taxing authorities	—
Decreases related to a lapse of applicable statute of limitations	(7,678)
Balance, December 31, 2021	$	4,394