Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

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


	Year Ended December 31,
	2022		2021		2020
Current:
U.S. federal	$	12,949	$	(7,267)	$	239
U.S. state and local	6,147		4,940		6,828
Foreign	34,506		36,699		30,788
UBT	(390)		588		(3)
	53,212		34,960		37,852
Deferred:
U.S. federal	(17,083)		(1,000)		(11,050)
U.S. state and local	(1,596)		(1,515)		(5,848)
Foreign	3,971		(12,098)		3,602
UBT	80		2,666		(3,253)
	(14,628)		(11,947)		(16,549)
Provision for income taxes	$	38,584	$	23,013	$	21,303

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,
	2022		2021		2020
Tax expense at federal statutory rate	$	20,584	$	37,065	$	15,166
Non-controlling interest	2,366		2,440		73
Incremental impact of foreign taxes compared to federal tax rate	8,122		5,009		(476)
Other permanent differences	2,287		11,797		6,531
U.S. state and local taxes, net of U.S. federal benefit	(876)		2,737		(321)
New York City UBT	(1,071)		2,929		(3,256)
Other rate changes	153		(7,007)		(12,783)
Nontaxable gain on insurance disposition	—		(65,231)		—
Uncertain tax positions	3,496		(6,936)		1,475
U.S. tax on foreign earnings, net of tax credits	4,808		31,299		2,643
Prior year adjustments	4,189		(714)		1,076
Valuation allowance	(4,670)		11,532		11,966
Other	(804)		(1,907)		(791)
Provision for income taxes	$	38,584	$	23,013	$	21,303

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,
	2022		2021
Deferred tax asset
Basis difference of investments	$	15,857	$	15,906
Deferred compensation	70,361		70,635
Excess interest expense	39,645		31,319
Other deferred and accrued expenses	10,693		12,157
Net operating loss and credit carry-forwards	45,592		60,160
Total deferred tax asset1	182,148		190,177
Valuation allowance	(31,362)		(48,623)
Deferred tax asset, net of valuation allowance	150,786		141,554
Deferred tax liability
Depreciation and amortization	19,675		24,331
Total deferred tax liability1	19,675		24,331
Net deferred tax asset	$	131,111	$	117,223

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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, 2022 and 2021 is as follows (in thousands):


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
Increases for prior year tax positions	3,159
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, 2022	$	7,553