Income Taxes

3 Months Ended

Mar. 31, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Note 4 - Income Taxes

The provision for income taxes for the three months ended March 31, 2022, and 2021, consists of the following:

	For the Three Months Ended March 31,
	2022			2021
	(in thousands)
Current portion of income tax expense:
Federal	$	(609)		$	—
State	(304)			(158)
Deferred portion of income tax (expense) benefit	(11,948)			52
Income tax expense	$	(12,861)		$	(106)
Effective tax rate	20.9		%	—		%

Recorded income tax expense or benefit differs from the amount that would be provided by applying the statutory United States federal income tax rate to income or loss before income taxes. These differences primarily relate to the effect of state income taxes, excess tax benefits and deficiencies from stock-based compensation awards, tax limitations on the compensation of covered individuals, changes in valuation allowances, the cumulative effect of other smaller permanent differences, and can also reflect the cumulative effect of an enacted tax rate change, in the period of enactment, on the Company’s net deferred tax asset and liability balance. The quarterly rate and the resulting income tax (expense) benefit can also be affected by the proportional effects of forecasted net income or loss and the correlative effect on the valuation allowance for each period presented, as reflected in the table above. Forecasted net income had a larger impact on the effective tax rate for the three months ended March 31, 2022, compared with the same period in 2021, and valuation allowance adjustments had a larger impact on the effective tax rate for the three months ended March 31, 2021, compared with the same period in 2022.

For all years before 2018, the Company is generally no longer subject to United States federal or state income tax examinations by tax authorities.