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Income Taxes
 12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Income before income taxes and equity in earnings is attributable to the following jurisdictions (in thousands):
  Year Ended December 31,
  202220212020
United States$919,461 $752,957 $428,857 
Foreign 65,411 71,188 22,817 
Total$984,872 $824,145 $451,674 

The provision for income taxes consisted of the following (in thousands):
 Year Ended December 31,
 202220212020
Current:   
Federal$164,135 $124,379 $67,093 
State and other57,459 44,783 20,680 
Total current provision for income taxes221,594 169,162 87,773 
Deferred:   
Federal13,592 2,970 (1,298)
State and other1,577 1,680 (1,244)
Total deferred provision for income taxes15,169 4,650 (2,542)
Provision for income taxes$236,763 $173,812 $85,231 

A reconciliation of the U.S. federal statutory tax rate to our effective tax rate on Income before income taxes and equity in earnings is as follows:
 Year Ended December 31,
 202220212020
Federal statutory rate21.00 %21.00 %21.00 %
Change in valuation allowance(0.02)(0.11)(0.22)
Stock-based compensation(1.09)(3.67)(6.34)
Other, primarily state income tax rate4.15 3.87 4.43 
Total effective tax rate24.04 %21.09 %18.87 %
We reduce federal and state income taxes payable by the tax benefits associated with the exercise of deductible nonqualified stock options and the lapse of restrictions on deductible restricted stock awards. To the extent realized tax deductions exceed the amount of previously recognized deferred tax benefits related to share-based compensation, we record an excess tax benefit. We record all excess tax benefits or deficiencies as income tax benefit or expense in the income statement. We recorded excess tax benefits of $10.8 million to our income tax provision in 2022, $30.0 million in 2021 and $28.6 million in 2020.

The table below presents the components of our deferred tax assets and liabilities (in thousands):
 December 31,
 20222021
Deferred tax assets:  
Product inventories$10,932 $8,597 
Accrued expenses2,028 3,105 
Leases65,852 59,457 
Share-based compensation8,636 8,981 
Uncertain tax positions3,253 2,792 
Net operating losses987 2,524 
Other4,139 3,839 
Total non-current95,827 89,295 
Less: Valuation allowance(815)(2,086)
Component reclassified for net presentation(94,034)(86,113)
Total non-current, net978 1,096 
Total deferred tax assets978 1,096 
Deferred tax liabilities:
Trade discounts on purchases3,995 2,566 
Prepaid expenses4,903 4,226 
Leases64,549 58,146 
Intangible assets, primarily goodwill48,836 36,936 
Depreciation21,998 19,369 
Interest rate swaps8,512 710 
Total non-current152,793 121,953 
Component reclassified for net presentation(94,034)(86,113)
Total non-current, net58,759 35,840 
Total deferred tax liabilities58,759 35,840 
Net deferred tax liability$57,781 $34,744 

At December 31, 2022, certain of our international subsidiaries had tax loss carryforwards totaling approximately $3.5 million, which expire in various years after 2023.  Deferred tax assets related to the tax loss carryforwards of these international subsidiaries were $1.0 million as of December 31, 2022 and $2.5 million as of December 31, 2021.  We have recorded a corresponding valuation allowance of $0.7 million and $1.8 million in the respective years.

As of December 31, 2022, United States income taxes were not provided on earnings or cash balances of our foreign subsidiaries, outside of the provisions of the transition tax from U.S. tax reform enacted in December 2017. As we have historically invested or expect to invest the undistributed earnings indefinitely to fund current cash flow needs in the countries where held, additional income tax provisions may be required. Determining the amount of unrecognized deferred tax liability on these undistributed earnings and cash balances is not practicable due to the complexity of tax laws and regulations and the varying circumstances, tax treatments and timing of any future repatriation.
The following table summarizes the activity related to uncertain tax positions for the past three years (in thousands):
 202220212020
Balance at beginning of year$13,297 $15,553 $13,582 
Increases for tax positions taken during a prior period275 — 1,363 
Increases for tax positions taken during the current period5,264 3,518 2,721 
Decreases resulting from the expiration of the statute of limitations3,347 3,185 2,113 
Decreases relating to settlements— 2,589 — 
Balance at end of year$15,489 $13,297 $15,553 

The total amount of unrecognized tax benefits that, if recognized, would decrease the effective tax rate was $12.2 million at December 31, 2022 and $10.5 million at December 31, 2021.

We record interest expense related to unrecognized tax benefits in Interest and other non-operating expenses, net, while we record related penalties in Selling and administrative expenses on our Consolidated Statements of Income.  For unrecognized tax benefits, we had interest income of $0.1 million in 2022 and $0.6 million in 2021 and interest expense of $1.0 million in 2020.  Accrued interest related to unrecognized tax benefits was approximately $1.6 million at December 31, 2022 and $1.6 million at December 31, 2021.

We file income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions.  With few 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 2019.

On August 16, 2022, the Inflation Reduction Act of 2022 (“IRA”) was signed into law. Among other items, the IRA implemented a CAMT of 15 percent on book income of certain large corporations, a one percent excise tax on net stock repurchases and several tax incentives to promote clean energy. Both the CAMT and the excise tax provisions of the IRA are effective for tax years beginning after December 31, 2022. Based on our historical activity, we do not expect the excise tax and other provisions of the IRA to materially impact our results of operations, financial position, statement of cash flows.