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Income Taxes	9 Months Ended
Sep. 30, 2021
Income Taxes
Income Taxes	Note 6 – Income Taxes Income tax expense as a percentage of pre-tax income was 11.9% for the three months ended September 30, 2021, versus tax benefit of 154.2% for the comparable period in the prior year. Income tax expense as a percentage of pre-tax income was 20.8% for the nine months ended September 30, 2021 versus tax benefit of 139.2% for the comparable period in the prior year . Our income tax expense/benefit is primarily impacted by permanent taxable differences, the mix of domestic and foreign pre-tax earnings, as well as our ability to utilize prior net operating loss carryforwards (“NOLs”). The Company experienced an ownership change under IRC Section 382 in February 2010. In general, a Section 382 ownership change occurs if there is a cumulative change in our ownership by “5% shareholders” (as defined in the Internal Revenue Code of 1986, as amended) that exceeds 50 percentage points over a rolling three-year period. An ownership change generally affects the rate at which NOLs and potential other deferred tax assets are permitted to offset future taxable income. Certain state jurisdictions within which we operate contain similar provisions and limitations. All of the remaining federal and state NOLs as of September 30, 2021 are subject to annual limitations due to the February 2010 ownership change. Management assesses the available positive and negative evidence to estimate if sufficient future taxable income will be generated to utilize the existing deferred tax assets. Given our current earnings and anticipated future earnings, we determine there is sufficient evidence to reach a conclusion that a valuation allowance is not warranted.

Income Taxes

9 Months Ended

Sep. 30, 2021

Note 6 – Income Taxes

Income tax expense as a percentage of pre-tax income was 11.9% for the three months ended September 30, 2021, versus tax benefit of 154.2% for the comparable period in the prior year. Income tax expense as a percentage of pre-tax income was 20.8% for the nine months ended September 30, 2021 versus tax benefit of 139.2% for the comparable period in the prior year . Our income tax expense/benefit is primarily impacted by permanent taxable differences, the mix of domestic and foreign pre-tax earnings, as well as our ability to utilize prior net operating loss carryforwards (“NOLs”).

The Company experienced an ownership change under IRC Section 382 in February 2010. In general, a Section 382 ownership change occurs if there is a cumulative change in our ownership by “5% shareholders” (as defined in the Internal Revenue Code of 1986, as amended) that exceeds 50 percentage points over a rolling three-year period. An ownership change generally affects the rate at which NOLs and potential other deferred tax assets are permitted to offset future taxable income. Certain state jurisdictions within

which we operate contain similar provisions and limitations. All of the remaining federal and state NOLs as of September 30, 2021 are subject to annual limitations due to the February 2010 ownership change.

Management assesses the available positive and negative evidence to estimate if sufficient future taxable income will be generated to utilize the existing deferred tax assets. Given our current earnings and anticipated future earnings, we determine there is sufficient evidence to reach a conclusion that a valuation allowance is not warranted.

- 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.

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