Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Schedule of Components of Income Tax Expense (Benefit)

The components of income tax expense were as follows for the periods indicated:



	Year Ended December 31,
	2019			2018		2017
	(In thousands)
Current:
State	—			5		—
	—			5		—
Deferred:
Federal	2,303			15,687		1,537
State	(160		)	2,470		153
	2,143			18,157		1,690

Income tax expense	$	2,143		$	18,162	$	1,690

Schedule of Effective Income Tax Rate Reconciliation

The following reconciles the income tax expense included in the consolidated statements of operations with the income tax expense that would result from the application of the statutory federal tax rate:



	Year Ended December 31,
	2019			2018			2017
	(In thousands)
Income (Loss) before income taxes	$	(27,945	)	$	136,124		$	(10,258	)

Income tax expense (benefit) at federal statutory rate	(5,833		)	28,586			(3,590		)
Net (income) loss prior to transaction	—			—			(1,545		)
Net (income) loss before income taxes attributable to noncontrolling interest	8,108			(12,757		)	6,584
State income taxes, net of federal benefit	(160		)	2,323			153
Nondeductible expenses	—			—			88
Effect of change in federal statutory rate	—			—			1,941
Change in valuation allowance	—			—			(1,941		)
Other	28			10			—
Income tax expense	$	2,143		$	18,162		$	1,690

Schedule of Deferred Tax Balances

The components of the Company’s deferred tax balances were as follows for the periods indicated:



	December 31,
	2019			2018
	(In thousands)
Deferred tax assets:
Tax receivable liability	$	11,264		$	—
Investment in Rosehill Operating	17,656			—
Net operating loss and other tax carryforwards	8,717			8,857
Other	89			16
Total deferred tax assets	37,726			8,873

Deferred tax liabilities:
Investment in Rosehill Operating	—			(15,042		)
State deferred tax liability	(1,196		)	(3,109		)
Total deferred tax liabilities	(1,196		)	(18,151		)

Net deferred tax assets (liabilities)	$	36,530		$	(9,278	)