XML 27 R16.htm IDEA: XBRL DOCUMENT

Income Taxes	3 Months Ended
Mar. 31, 2021
Income Taxes [Abstract]
Income Taxes	10. Income Taxes We file income tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. With certain exceptions, we are no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities for years before 2017 for federal returns and 2016 for state returns. Our effective income tax rate was approximately 28% and 18% during the three months ended March 31, 2021 and 2020, respectively. Effective income tax rates for interim periods are based upon our then current estimated annual rate. Our effective income tax rate varies based upon the estimate of taxable earnings as well as on the mix of taxable earnings in the various states in which we operate. As such, our effective tax rates for the 2021 and 2020 periods reflect an estimate of the effect of the COVID-19 pandemic on our annual taxable earnings, state taxes, non-deductible items and changes in valuation allowance on deferred tax assets for each respective year. Certain of our state filings are under routine examination. While there is no assurance as to the results of these audits, we do not currently anticipate any material adjustments in connection with these examinations. In May 2015, we entered into Agreement to Allocate Consolidated Income Tax Liability and Benefits with BVH, and its other subsidiaries at the time pursuant to which, among other customary terms and conditions, the parties agreed to file consolidated federal tax returns. Under the agreement, the parties calculate their respective income tax liabilities and attributes as if each of them was a separate filer. If any tax attributes are used by another party to the agreement to offset its tax liability, the party providing the benefit will receive an amount for the tax benefits realized. We paid BVH $11.2 million during the three months ended March 31, 2021 pursuant to the Agreement. We did not make or receive any payments under the Agreement during the three months ended March 31, 2020. The Agreement was terminated with respect to the subsidiaries of BVH other than Woodbridge Holdings Corporation, through which BVH holds its investment in us, in connection with BVH’s spin-off of the non-Woodbridge subsidiaries on September 30, 2020. As of March 31, 2020, we did not have any significant amounts accrued for interest and penalties or recorded for uncertain tax positions.

Income Taxes

3 Months Ended

Mar. 31, 2021

10. Income Taxes

We file income tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. With certain exceptions, we are no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities for years before 2017 for federal returns and 2016 for state returns.

Our effective income tax rate was approximately 28% and 18% during the three months ended March 31, 2021 and 2020, respectively. Effective income tax rates for interim periods are based upon our then current estimated annual rate. Our effective income tax rate varies based upon the estimate of taxable earnings as well as on the mix of taxable earnings in the various states in which we operate. As such, our effective tax rates for the 2021 and 2020 periods reflect an estimate of the effect of the COVID-19 pandemic on our annual taxable earnings, state taxes, non-deductible items and changes in valuation allowance on deferred tax assets for each respective year.

Certain of our state filings are under routine examination. While there is no assurance as to the results of these audits, we do not currently anticipate any material adjustments in connection with these examinations.

In May 2015, we entered into Agreement to Allocate Consolidated Income Tax Liability and Benefits with BVH, and its other subsidiaries at the time pursuant to which, among other customary terms and conditions, the parties agreed to file consolidated federal tax returns. Under the agreement, the parties calculate their respective income tax liabilities and attributes as if each of them was a separate filer. If any tax attributes are used by another party to the agreement to offset its tax liability, the party providing the benefit will receive an amount for the tax benefits realized. We paid BVH $11.2 million during the three months ended March 31, 2021 pursuant to the Agreement. We did not make or receive any payments under the Agreement during the three months ended March 31, 2020. The Agreement was terminated with respect to the subsidiaries of BVH other than Woodbridge Holdings Corporation, through which BVH holds its investment in us, in connection with BVH’s spin-off of the non-Woodbridge subsidiaries on September 30, 2020.

As of March 31, 2020, we did not have any significant amounts accrued for interest and penalties or recorded for uncertain tax positions.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References + Details