	Fiscal Year
(in thousands)	2020		2019
Current:
Domestic:
Federal	$	—	$	(130	)
State		152		188
Foreign		27		40
Total current		179		98
Deferred:
Domestic:
Federal		1,365		—
State		322		—
Foreign		—		—
Total deferred		1,687		—
Total provision for income taxes	$	1,866	$	98

The sources of income (loss) before provision for income taxes are from the United States, the Company’s subsidiaries in the United Kingdom and the Company’s French branch. The Company files U.S. federal income tax returns and income tax returns in various state and local jurisdictions.

Current income taxes are the amounts payable under the respective tax laws and regulations on each year’s earnings. Deferred income tax assets and liabilities represent the tax effects of revenues, costs and expenses, which are recognized for tax purposes in different periods from those used for financial statement purposes.

A reconciliation of the federal statutory income tax rate to the effective tax rate is as follows:

	Fiscal Year
	2020			2019
Statutory federal rate		21.0	%		21.0	%
State taxes, net of federal benefit		3.6	%		5.8	%
Non-deductible Tax Receivable Agreement adjustment ⁽¹⁾		0.0	%		(38.3	)%
Valuation allowance		(29.1	)%		4.6	%
Return to provision adjustment		1.1	%		0.2	%
Non-deductible Officers Compensation		0.0	%		2.1	%
Rate Differential on Foreign Income		(0.1	)%		0.1	%
Other		0.6	%		4.8	%
Total		(2.9	)%		0.3	%

⁽¹⁾

Non-deductible Tax Receivable Agreement liability revaluation in fiscal 2019 is a result of changes in levels of projected pre-tax income, as well as the acquisition of NOLs from the Acquired Businesses. See “Tax Receivable Agreement” under Note 14 “Related Party Transactions” for additional information.

	January 30,			February 1,
(in thousands)	2021			2020
Deferred tax assets:
Depreciation and amortization	$	7,700		$	2,063
Employee related costs		1,114			2,857
Allowance for asset valuations		2,604			1,664
Accrued expenses		358			361
Lease liability		29,900			27,712
Net operating losses		108,994			91,345
Tax credits		92			193
Other		290			679
Total deferred tax assets		151,052			126,874
Less: valuation allowances		(119,425	)		(100,846	)
Net deferred tax assets		31,627			26,028
Deferred tax liabilities:
Indefinite lived intangibles		(8,213	)		—
ROU lease asset		(23,102	)		(23,630	)
Other		(2,000	)		(2,296	)
Total deferred tax liabilities		(33,315	)		(25,926	)
Net deferred tax (liability) asset	$	(1,688	)	$	102
Included in:
Deferred income tax asset	$	—		$	102
Deferred income tax liability		(1,688	)		—
Net deferred tax (liability) asset	$	(1,688	)	$	102

As of January 30, 2021, the Company had a gross federal net operating loss of $405,774 (federal tax effected amount of $85,213) for federal income tax purposes that may be used to reduce future federal taxable income. The net operating losses for federal income tax purposes will expire between 2030 and 2038 for losses incurred in tax years beginning before January 1, 2018. Net operating losses incurred in tax years beginning after January 1, 2018 will have an indefinite carryforward period.

As of January 30, 2021, the Company had gross state net operating loss carryforward of $550,947 (tax effected net of federal benefit of $23,561) that may be used to reduce future state taxable income. The net operating loss carryforwards for state income tax purposes expire between 2029 and 2040.

As of January 30, 2021, the Company had total deferred tax assets including net operating loss carryforwards, reduced for uncertain tax positions, of $117,738, of which $91,657 and $25,884 were attributable to federal and domestic state and local jurisdictions, respectively.

The valuation allowance for deferred tax assets was $119,425 at January 30, 2021, increasing $18,579 from the valuation allowance for deferred tax assets of $100,846 at February 1, 2020. During fiscal 2020, the Company maintained a full valuation allowance on all deferred tax assets that have a definite life as the Company does not believe it is more likely than not that such deferred tax assets will be recognized. Indefinite-lived net operating losses have been recognized to the extent the Company believes they can be utilized against indefinite-lived deferred tax liabilities. Adjustments to the valuation allowance are made when there is a change in management’s assessment of the amount of deferred tax assets that are realizable.

A reconciliation of the beginning and ending amount of gross unrecognized tax benefits, excluding interest and penalties, is as follows:

	Fiscal Year
(in thousands)	2020		2019
Beginning balance	$	2,304	$	2,304
Increases for tax positions in current year		—		—
Increases for tax positions in prior years		—		—
Decreases for tax positions in prior years		—		—
Ending balance	$	2,304	$	2,304

As of January 30, 2021 and February 1, 2020, unrecognized tax benefits in the amount of $2,304 and $2,304, respectively, would impact the Company’s effective tax rate if recognized. The statute of limitations does not begin until the net operating losses are utilized. Therefore, the unrecognized tax benefit balance will remain the same until three years after the net operating losses are used to offset taxable income.

The Company includes accrued interest and penalties on underpayments of income taxes in its income tax provision. As of January 30, 2021 and February 1, 2020, the Company did not have any interest and penalties accrued on its Consolidated Balance Sheets and no related provision or benefit was recognized in each of the Company’s Consolidated Statements of Operations and Comprehensive Income (Loss) for the years ended January 30, 2021 and February 1, 2020. Interest is computed on the difference between the tax position recognized net of any unrecognized tax benefits and the amount previously taken or expected to be taken in the Company’s tax returns.

With limited exceptions, the Company is no longer subject to examination for U.S. federal and state income tax for 2007 and prior.