Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

Provision for Income Taxes

The provision for income taxes is comprised of the following (in millions):

	Years ended December 31,
	2023		2022		2021
Current:
Federal	$	66.2	$	55.5	$	27.0
State and local	22.6		17.3		10.1
	88.8		72.8		37.1
Deferred:
Federal	0.5		5.6		(0.4)
State and local	0.1		1.5		—
	0.6		7.1		(0.4)
Total tax expense	$	89.4	$	79.9	$	36.7

Reconciliation Between Effective Tax Rate on Net Income (Loss) and Federal Statutory Tax Rate

The reconciliation between our effective tax rate on net income and the federal statutory rate is as follows (in millions):

	Years ended December 31,
	2023				2022				2021
Income tax at federal statutory rate	$	70.0	21.0	%	$	63.7	21.0	%	$	32.7	21.0	%
Stock compensation	(0.5)		(0.2)	%	0.3		0.1	%	(1.6)		(1.0)	%
Other permanent items	1.8		0.5	%	1.3		0.4	%	1.3		0.8	%
Change in valuation allowance	—		—	%	(0.1)		(0.1)	%	(0.9)		(0.6)	%
Change in uncertain tax positions	0.2		0.1	%	(0.5)		(0.1)	%	(2.9)		(1.8)	%
State and local income taxes, net of federal benefit	17.9		5.4	%	15.2		5.0	%	8.1		5.2	%
Total tax expense	$	89.4	26.8	%	$	79.9	26.3	%	$	36.7	23.6	%

Net Deferred Tax Asset or Liability

Components of the net deferred tax asset or liability are as follows (in millions):

	As of December 31,
	2023		2022
Deferred Tax Assets
Long-term
Accrued liabilities and allowances	$	13.2	$	13.0
Allowance for doubtful accounts	1.5		1.3
Inventories	1.1		1.2
Property and equipment	0.4		0.5
Intangibles	9.4		7.7
Net operating loss carryforwards	0.2		0.7
Other	0.1		0.1
Long-term deferred tax assets	25.9		24.5
Less: Valuation allowance	(0.1)		(0.1)
Net deferred tax assets	25.8		24.4
Deferred Tax Liabilities
Long-term
Accrued liabilities and allowances	(2.7)		(0.6)
Property and equipment	(9.4)		(8.5)
Intangibles	(12.5)		(10.7)
Investment in partnership	(23.6)		(31.1)
Other	(1.7)		(1.1)
Long-term deferred tax liabilities	(49.9)		(52.0)
Net deferred tax liabilities	$	(24.1)	$	(27.6)
The above amounts are included in our Consolidated Balance Sheets as follows:
Other non-current assets	0.4		0.8
Long-term deferred income tax liabilities	(24.5)		(28.4)
Net deferred tax liabilities	$	(24.1)	$	(27.6)

Rollforward of Gross Unrecognized Tax Benefits

A rollforward of the gross unrecognized tax benefits is as follows (in millions):

Unrecognized tax benefit, December 31, 2020	$	6.7
Increase as a result of tax positions taken during the period	4.5
Decrease as a result of tax positions taken during the period	(4.0)
Decrease as a result of expiring statutes	(2.9)
Unrecognized tax benefit, December 31, 2021	$	4.3
Increase as a result of tax positions taken during the period	5.4
Decrease as a result of tax positions taken during the period	(4.8)
Increase as a result of expiring statutes	—
Unrecognized tax benefit, December 31, 2022	$	4.9
Increase as a result of tax positions taken during the period	7.5
Decrease as a result of tax positions taken during the period	(5.5)
Increase as a result of expiring statutes	0.1
Unrecognized tax benefit, December 31, 2023	$	7.0