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Income Taxes
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Tax Disclosure [Text Block] Income Taxes
Income (loss) before income taxes includes the following components, based on country of domicile.

Years Ended December 31,
(dollars in thousands)202320222021
U.S. operations$1,711,849 $(109,311)$2,263,748 
Foreign operations941,857 (42,255)866,080 
Income (loss) before income taxes$2,653,706 $(151,566)$3,129,828 

Income tax expense (benefit) includes the following components, based on the taxing authority to which taxes are paid. The Company's most significant U.K. and Bermuda subsidiaries have elected to be taxed as domestic corporations for U.S. tax purposes. U.S. income tax also includes state income tax expense. U.S. income taxes have not been recognized on any undistributed earnings of the Company's foreign subsidiaries that are considered indefinitely reinvested, the amount of which is not material to the consolidated financial statements.
Years Ended December 31,
(dollars in thousands)202320222021
Current:
U.S. income tax$249,149 $222,074 $200,742 
Foreign income tax69,669 12,042 29,811 
Total current tax expense318,818 234,116 230,553 
Deferred:
U.S. income tax250,041 (301,423)437,743 
Foreign income tax(16,243)19,098 15,665 
Total deferred tax expense (benefit)233,798 (282,325)453,408 
Income tax expense (benefit)$552,616 $(48,209)$683,961 

The Company made net income tax payments of $280.7 million, $251.5 million and $204.9 million in 2023, 2022 and 2021, respectively. Income taxes payable were $29.4 million and $2.2 million at December 31, 2023 and 2022, respectively, and were included in other liabilities on the consolidated balance sheets. Income taxes receivable were $0.3 million and $9.9 million at December 31, 2023 and 2022, respectively, and were included in other assets on the consolidated balance sheets.

The following table presents a reconciliation of the Company's income taxes using the U.S. corporate income tax rate to the Company's income tax expense (benefit).
Years Ended December 31,
(dollars in thousands)202320222021
U.S. corporate tax rate$557,278 21.0 %$(31,829)21.0 %$657,264 21.0 %
Increase (decrease) resulting from:
State income taxes, net of U.S. federal income tax benefit
27,007 1.03,369 (2.2)12,689 0.4
Tax-exempt investment income(15,328)(0.6)(16,063)10.6(16,109)(0.5)
Foreign operations10,854 0.45,335 (3.5)14,443 0.5
Impairment of goodwill— 0.016,800 (11.1)— 0.0
Markel CATCo Re income not subject to tax(15,013)(0.6)(18,871)12.5— 0.0
Other(12,182)(0.4)(6,950)4.515,674 0.5
Income tax expense (benefit)$552,616 20.8 %$(48,209)31.8 %$683,961 21.9 %
The following table presents the components of domestic and foreign deferred tax assets and liabilities.

December 31,
(dollars in thousands)20232022
Assets:
Unpaid losses and loss adjustment expenses$216,863 $170,518 
Unearned premiums168,172 161,243 
Lease liabilities161,350 132,735 
Life and annuity benefits39,729 32,149 
Accrued incentive compensation52,853 39,469 
Net operating loss carryforwards43,439 25,305 
Tax credit carryforwards25,396 18,264 
Other differences between financial reporting and tax bases93,693 65,250 
Total gross deferred tax assets801,495 644,933 
Less valuation allowance(13,916)(16,943)
Total gross deferred tax assets, net of allowance787,579 627,990 
Liabilities:
Investments1,196,717 761,421 
Goodwill and other intangible assets175,767 180,186 
Deferred policy acquisition costs176,382 161,220 
Property, plant and equipment152,149 144,259 
Right-of-use lease assets152,939 127,398 
Other differences between financial reporting and tax bases104,024 113,065 
Total gross deferred tax liabilities1,957,978 1,487,549 
Net deferred tax liability$1,170,399 $859,559 

Deferred tax assets and liabilities are recorded on the consolidated balance sheets on a net basis by taxing jurisdiction. As of December 31, 2023 and 2022, the Company's consolidated balance sheets included net deferred tax liabilities of $1.2 billion and $896.7 million, respectively, in other liabilities and net deferred tax assets of $23.5 million and $37.2 million, respectively, in other assets.

At December 31, 2023, the Company had tax credit carryforwards of $25.4 million, substantially all of which related to foreign tax credits to be used against U.S. income tax. The Company expects to utilize all tax credit carryforwards before expiration. The earliest any of these credits will expire is 2033.

At December 31, 2023, the Company had deferred tax assets of $32.9 million for U.S. state net operating loss carryforwards and $9.7 million for foreign net operating loss carryforwards, which are available to offset future taxable income in certain U.S. state and foreign jurisdictions, respectively. The Company's ability to benefit from the majority of these net operating loss carryforwards is not subject to expiration. As described below, the deferred tax assets related to losses at certain of the Company's subsidiaries and branches are offset by valuation allowances.

At December 31, 2023, the Company had total gross deferred tax assets of $801.5 million. The Company has a valuation allowance of $13.9 million to offset gross deferred tax assets primarily attributable to cumulative net operating losses at certain of the Company's subsidiaries and branches. The Company believes that it is more likely than not that it will realize the remaining $787.6 million of gross deferred tax assets through generating taxable income or the reversal of existing temporary differences attributable to the gross deferred tax liabilities. Additionally, the Company's net deferred tax liability for investments includes deferred tax assets attributed to its unrealized losses on fixed maturity securities. The Company has the ability and intent to execute a tax planning strategy such that it is more likely than not that all of these deferred tax assets will be realized.
At December 31, 2023, the Company did not have any material unrecognized tax benefits. The Company does not anticipate any changes in unrecognized tax benefits during 2024 that would have a material impact on the Company's income tax provision.

The Company is subject to income tax in the U.S. and in foreign jurisdictions. The Internal Revenue Service is currently examining the Company's 2017 U.S. federal income tax return. The Company believes its income tax liabilities are adequate as of December 31, 2023, however, these liabilities could be adjusted as a result of this examination. With few exceptions, including the 2017 U.S. federal income tax return, the Company is no longer subject to income tax examination by tax authorities for years ended before January 1, 2020.