Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

Income before income taxes and equity earnings (losses)

Income before income taxes and equity earnings is attributable to the following jurisdictions (in thousands):

	Year Ended December 31,
	2019		2018		2017
United States	$	304,259	$	278,311	$	259,436
Foreign	13,215		14,682		9,746
Total	$	317,474	$	292,993	$	269,182

Provision for income taxes

The provision for income taxes consisted of the following (in thousands):

	Year Ended December 31,
	2019		2018		2017
Current:
Federal	$	35,270	$	39,504	$	71,329
State and other	17,168		14,609		11,289
Total current provision for income taxes	52,438		54,113		82,618
Deferred:
Federal	4,154		4,676		(6,643)
State and other	(431)		(15)		2,007
Total deferred provision for income taxes	3,723		4,661		(4,636)
Provision for income taxes	$	56,161	$	58,774	$	77,982

Reconciliation of the U.S. federal statutory tax rate to effective tax rate on income before income taxes and equity earnings (losses)

A reconciliation of the U.S. federal statutory tax rate to our effective tax rate on Income before income taxes and equity earnings is as follows:

	Year Ended December 31,
	2019		2018		2017
Federal statutory rate	21.00	%	21.00	%	35.00	%
Change in valuation allowance	0.10		(0.13)		(0.06)
Stock-based compensation	(7.40)		(5.23)		(4.67)
Re-measurement of net deferred tax liability	—		—		(4.46)
Other, primarily state income tax rate	3.99		4.42		3.16
Total effective tax rate	17.69	%	20.06	%	28.97	%

Components of deferred tax assets and liabilities

The table below presents the components of our deferred tax assets and liabilities (in thousands):

	December 31,
	2019		2018
Deferred tax assets:
Product inventories	$	5,740	$	5,413
Accrued expenses	927		776
Leases	42,698		1,189
Share-based compensation	9,245		9,427
Uncertain tax positions	2,852		2,558
Net operating losses	4,807		5,058
Interest rate swaps	66		—
Other	2,889		2,080
Total non-current	69,224		26,501
Less: Valuation allowance	(4,794)		(5,058)
Component reclassified for net presentation	(63,699)		(20,897)
Total non-current, net	731		546
Total deferred tax assets	731		546
Deferred tax liabilities:
Trade discounts on purchases	2,326		2,094
Prepaid expenses	2,821		1,804
Leases	41,418		—
Intangible assets, primarily goodwill	32,331		30,988
Depreciation	17,401		14,924
Interest rate swaps	—		486
Total non-current	96,297		50,296
Component reclassified for net presentation	(63,699)		(20,897)
Total non-current, net	32,598		29,399
Total deferred tax liabilities	32,598		29,399
Net deferred tax liability	$	31,867	$	28,853

Summary of activity related to uncertain tax positions

The following table summarizes the activity related to uncertain tax positions for the past three years (in thousands):

	2019		2018		2017
Balance at beginning of year	$	12,179	$	9,937	$	7,846
Increases for tax positions taken during a prior period	771		76		129
Increases for tax positions taken during the current period	2,354		3,809		3,260
Decreases resulting from the expiration of the statute of limitations	1,390		1,603		869
Decreases relating to settlements	332		40		429
Balance at end of year	$	13,582	$	12,179	$	9,937