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INCOME TAXES (Tables)
12 Months Ended
Dec. 28, 2022
Income Tax Disclosure [Abstract]  
Schedule of Provision for Income Taxes

The provision for income taxes is based on the following components (in thousands):

    

December 28,

    

December 29,

    

December 30,

For the Years Ended

2022

2021

2020

Current income taxes:

 

  

 

  

 

  

Federal

$

2,366

$

7,163

$

520

State

 

1,112

 

2,158

 

1,123

Total current

 

3,478

 

9,321

 

1,643

Deferred income taxes:

 

  

 

  

 

  

Federal

 

2,958

 

93

 

3,350

State

 

1,642

 

918

 

658

Total deferred

 

4,600

 

1,011

 

4,008

Tax provision for income taxes

$

8,078

$

10,332

$

5,651

Schedule of Effective Income Tax rate

The provision for income taxes differs from the amount computed by applying the federal income tax rate of 21.0% for fiscal 2022, 2021 and 2020 as follows:

December 28,

December 29,

December 30,

For the Years Ended

    

2022

    

2021

    

2020

 

Statutory federal income tax rate applied to earnings before income taxes and extraordinary items

21.0

%  

21.0

%  

21.0

%

State income tax expense (net of federal benefit)

 

7.7

 

5.9

 

4.3

Change in valuation allowance

 

 

0.1

 

0.4

TRA (income) expense

 

(0.3)

 

 

162(m)

0.5

0.8

0.2

WOTC Credit

 

(0.9)

 

(0.5)

 

(0.9)

Stock option exercises

 

0.3

 

(1.4)

 

(6.6)

Other

 

(0.3)

 

0.3

 

0.4

Total

 

28.0

%  

26.2

%  

18.8

%

Schedule of Deferred Tax Assets and Liabilities

The Company’s deferred tax assets and liabilities as of December 28, 2022 and December 29, 2021 are summarized below.

    

December 28,

    

December 29,

2022

2021

Deferred assets:

 

  

 

  

Capital leases

$

55

$

60

Accrued vacation

 

508

 

503

Accrued workers’ compensation

 

2,201

 

2,616

Enterprise zone and other credits

 

7,258

 

7,524

Net operating losses

 

5

 

5

Fixed assets

 

2,392

 

4,393

ROU assets

 

50,112

 

51,864

Other

 

4,397

 

5,694

Total deferred tax assets

 

66,928

 

72,659

Valuation allowance

 

(6,727)

 

(6,181)

Net deferred tax assets

 

60,201

 

66,478

Deferred liabilities:

 

  

 

  

Goodwill

 

(6,420)

 

(6,349)

Trademark

 

(16,721)

 

(16,727)

Prepaid expense

 

(595)

 

(498)

ROU liabilities

 

(44,737)

 

(46,484)

Other

 

267

 

361

Deferred tax liabilities

 

(68,206)

 

(69,697)

Net deferred tax liability

$

(8,005)

$

(3,219)

Schedule of Deferred Tax Assets Classification

The net deferred tax asset amounts above as of December 28, 2022 and December 29, 2021 have been classified in the accompanying consolidated balance sheets as noncurrent assets and are as follows (in thousands):

    

December 28,

    

December 29,

2022

2021

Noncurrent:

Assets - state

$

512

$

2,245

Liabilities - federal

 

(8,517)

 

(5,464)

Net deferred tax liability

$

(8,005)

$

(3,219)