Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Income from Continuing Operations Before Income Taxes

For financial reporting purposes, income from continuing operations before income taxes includes the following components (in thousands):

	2022		2021		2020
United States	$	141,306	$	92,847	$	103,306
Foreign (Canada)	187		193		182
Total	$	141,493	$	93,040	$	103,488

Income Tax Expense Included in Consolidated Statements of Comprehensive Income

Income tax expense included in the accompanying Consolidated Statements of Comprehensive Income for the years ended December 31, 2022, 2021 and 2020 was as follows (in thousands): 

	2022		2021		2020
Continuing operations:
Current:
Federal	$	20,910	$	12,369	$	21,926
Foreign	50		52		78
State and local	7,299		3,397		5,584
Total	28,259		15,818		27,588
Deferred:
Federal	5,667		5,029		(1,968)
State and local	2,195		1,282		(479)
Total	7,862		6,311		(2,447)
Total income tax expense from continuing operations	36,121		22,129		25,141
Discontinued operations:
Operations of discontinued operations:
Current	(7)		(5)		(11)
Total income tax benefit from discontinued    operations	(7)		(5)		(11)
Total income tax expense	$	36,114	$	22,124	$	25,130

Provision for Income Taxes Attributable to Income from Continuing Operations

The provision for income taxes attributable to income from continuing operations differed from the amount obtained by applying the federal statutory income tax rate to income from continuing operations before income taxes, as follows (in thousands, except percentages):

	2022			2021			2020
Tax at U.S. federal statutory rates	$	29,714		$	19,538		$	21,733
State taxes (net of federal benefit)	9,019			4,498			5,354
Reserves for uncertain tax positions	337			(104)			(1,290)
Share-based compensation	(6,832)			(4,187)			(2,394)
Non-deductible officers' compensation	2,507			1,267			538
Other, net	1,376			1,117			1,200
Provision for income taxes from continuing operations	$	36,121		$	22,129		$	25,141
Effective income tax rate	25.5		%	23.8		%	24.3		%

Tax Effects of Temporary Differences That Rises to Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities

The tax effects of temporary differences that gave rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2022 and 2021, were as follows (in thousands):

	2022		2021
Deferred tax assets:
Net operating loss carryforwards	$	1,473	$	1,202
Allowance for doubtful accounts	4,682		3,613
Employee benefits and compensation	37,075		33,549
Lease costs	6,871		5,726
Deferral of employer FICA taxes	—		1,961
Other deferred tax assets	574		778
Total gross deferred tax assets	50,675		46,829
Less: valuation allowance	(3,156)		(2,046)
Total deferred tax assets, net	47,519		44,783
Deferred tax liabilities:
Goodwill and other intangibles	68,306		57,990
Property and equipment	1,185		1,488
Other deferred tax liabilities	2,791		745
Total gross deferred tax liabilities	72,282		60,223
Deferred income taxes, net	$	(24,763)	$	(15,440)

Summary of Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

	2022		2021		2020
Balance at January 1	$	1,594	$	1,536	$	2,536
Additions for tax positions of the current year	175		161		150
Additions for positions of prior years	486		400		—
Settlements of prior year positions	—		(374)		—
Lapse of statutes of limitation	(144)		(129)		(1,150)
Balance at December 31	$	2,111	$	1,594	$	1,536