INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense

The following table sets forth the components of income tax expense:

	Year Ended December 31,
(in thousands)	2022		2021		2020
Current taxes:
Federal	$	35,067	$	31,747	$	13,879
State	12,381		13,609		6,109
Deferred taxes:
Federal	(3,685)		(2,502)		(922)
State	(2,070)		(1,134)		(364)
Total income tax expense	$	41,693	$	41,720	$	18,702

Schedule of Reconciliation of the U.S. Statutory Tax Rate to Annual Effective Tax Rate

The following table sets forth a reconciliation of income tax at the federal statutory rate to recorded income tax expense:

	Year Ended December 31,
($ in thousands)	2022			2021			2020
Loss before income taxes	$	(39,206)		$	(80,937)		$	(5,139)
U.S. Statutory Rate	21		%	21		%	21		%
Recovery based on Statutory Rate	$	(8,233)		$	(16,997)		$	(1,079)
Expense (recovery) resulting from:
State and local income taxes	10,311			12,475			5,745
Expenses disallowed under IRC Section 280E	34,346			31,510			13,729
Nondeductible litigation settlement	1,050			7,667			—
Nondeductible IPO interest-related expense	—			5,746			—
Nondeductible penalties and interest	3,046			1,227			—
Other permanent differences	437			168			261
Equity-based compensation shortfall	904			—			—
Pass-through entities & non-controlling interests	—			—			46
Other, net	(168)			(76)			—
Income tax expense	$	41,693		$	41,720		$	18,702

Schedule of Components of Deferred Tax Assets and Liabilities

The following tables set forth the components of deferred income taxes:

	December 31,
(in thousands)	2022		2021
Deferred tax assets attributable to:
Operating lease liabilities	$	59,127	$	50,089
Property and equipment	281		284
Equity-based compensation	1,218		801
State and local net operating loss carryforwards	739		337
Loyalty program	205		158
Gross deferred tax assets	61,570		51,669
Valuation allowance	—		—
Total deferred tax assets	$	61,570	$	51,669
Deferred tax liabilities attributable to:
Operating lease right-of-use assets	$	(23,136)	$	(21,344)
Tenant improvement allowance	(152)		(764)
Property and equipment	(28,615)		(24,200)
Goodwill and other acquired intangible assets	(43,274)		(6,784)
Total deferred tax liabilities	$	(95,177)	$	(53,092)
Net deferred tax liabilities	$	(33,607)	$	(1,423)