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Income Taxes | 12 Months Ended
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Dec. 31, 2022
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes: The significant components of the Provision for income tax expense related to continuing operations are as follows (in millions):
| For the Year Ended December 31,
| 2022 |  | 2021 |  | 2020
Current: |  |  |  |  |
Federal | $ | 58.7 |  |  | $ | 63.7 |  |  | $ | 29.8 |
State and other | 13.5 |  |  | 20.8 |  |  | 10.4 |
Total current expense | 72.2 |  |  | 84.5 |  |  | 40.2 |
Deferred: |  |  |  |  |
Federal | 17.9 |  |  | 14.4 |  |  | 23.0 |
State and other | 10.0 |  |  | 3.0 |  |  | 11.5 |
Total deferred expense | 27.9 |  |  | 17.4 |  |  | 34.5 |
Total income tax expense related to continuing operations | $ | 100.1 |  |  | $ | 101.9 |  |  | $ | 74.7 |
A reconciliation of differences between the federal income tax at statutory rates and our actual income tax expense on our income from continuing operations, which include federal, state, and other income taxes, is presented below:
| For the Year Ended December 31,
| 2022 |  | 2021 |  | 2020
Tax expense at statutory rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
Increase (decrease) in tax rate resulting from: |  |  |  |  |
State and other income taxes, net of federal tax benefit | 4.0 | % |  | 4.0 | % |  | 4.4 | %
Increase (decrease) in valuation allowance | 0.6 | % |  | (0.6) | % |  | 2.2 | %
Noncontrolling interests | (4.4) | % |  | (4.3) | % |  | (4.9) | %
Share-based windfall tax benefits | — | % |  | (0.6) | % |  | (1.2) | %
Other, net | 1.0 | % |  | 0.7 | % |  | (0.3) | %
Income tax expense | 22.2 | % |  | 20.2 | % |  | 21.2 | %
The Provision for income tax expense in 2022 was greater than the federal statutory rate primarily due to state and other income tax expense and the increase in valuation allowance, offset by the impact of noncontrolling interests. The Provision for income tax expense in 2021 was less than the federal statutory rate primarily due to the impact of noncontrolling interests, the decrease in valuation allowance and share-based windfall tax benefits, offset by state and other income tax expense. The Provision for income tax expense in 2020 was greater than the federal statutory rate primarily due to state and other income tax expense and the increase in valuation allowance, offset by the impact of noncontrolling interests and share-based windfall tax benefits. See Note 1, Summary of Significant Accounting Policies, “Income Taxes,” for a discussion of the allocation of income or loss related to pass-through entities, which is referred to as the impact of noncontrolling interests in this discussion. The Coronavirus Aid, Relief, and Economic Security Act of 2020 (the “CARES Act”) included provisions relating to net operating loss carryback periods, alternative minimum tax credit refunds, modifications to the net interest deduction limitations, technical corrections to tax depreciation methods for qualified improvement property and deferral of employer payroll taxes. The CARES Act did not materially impact our effective tax rate for the years ended December 31, 2022, 2021 and 2020, although it has impacted the timing of cash payments for taxes. Deferred income taxes recognize the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and amounts used for income tax purposes and the impact of available NOLs. The significant components of our deferred tax assets and liabilities are presented in the following table (in millions):
| As of December 31,
| 2022 |  | 2021
Deferred income tax assets: |  |  |
Net operating loss | $ | 36.9 |  |  | $ | 50.4 |
Insurance reserve | 19.1 |  |  | 18.4 |
Stock-based compensation | 16.1 |  |  | 14.3 |
Operating lease liabilities | 6.6 |  |  | 6.5 |
Other accruals | 24.8 |  |  | 23.0 |
Tax credits | 12.4 |  |  | 10.9 |
Total deferred income tax assets | 115.9 |  |  | 123.5 |
Less: Valuation allowance | (35.8) |  |  | (43.1) |
Net deferred income tax assets | 80.1 |  |  | 80.4 |
Deferred income tax liabilities: |  |  |
Revenue reserves | — |  |  | (1.0) |
Intangibles | (61.2) |  |  | (30.1) |
Operating lease right-of-use assets | (5.5) |  |  | (6.0) |
Property, net | (15.9) |  |  | (0.1) |
Carrying value of partnerships | (80.2) |  |  | (66.2) |
Other | (0.3) |  |  | (0.3) |
Total deferred income tax liabilities | (163.1) |  |  | (103.7) |
Net deferred income tax liabilities | $ | (83.0) |  |  | $ | (23.3) |
We have state NOLs of $35.3 million that expire in various amounts at varying times through 2031. For the years ended December 31, 2022 and 2021, the net decrease in our valuation allowance was $7.3 million and $3.1 million, respectively. The decrease in our valuation allowance in 2022 related primarily to the expiration of state NOLs. The decrease in our valuation allowance in 2021 related primarily to changes in forecasted income. As of December 31, 2022, we have a remaining valuation allowance of $35.8 million. This valuation allowance remains recorded due to uncertainties regarding our ability to utilize a portion of our state NOLs and other credits before they expire. The amount of the valuation allowance has been determined for each tax jurisdiction based on the weight of all available evidence including management’s estimates of taxable income for each jurisdiction in which we operate over the periods in which the related deferred tax assets will be recoverable. It is possible we may be required to increase or decrease our valuation allowance at some future time if our forecast of future earnings varies from actual results on a consolidated basis or in the applicable state tax jurisdictions, if the timing of future tax deductions differs from our expectations, or pursuant to changes in state tax laws and rates. Our continuing practice is to recognize interest and penalties related to income tax matters in income tax expense. Interest recorded as part of our income tax provision during 2022, 2021, and 2020 was not material. Accrued interest income related to income taxes as of December 31, 2022 and 2021 was not material. In December 2016, we signed an agreement with the IRS to participate in their Compliance Assurance Process (“CAP”) for the 2017 tax year and have renewed this agreement each year since. CAP is a program in which we and the IRS endeavor to agree on the treatment of significant tax positions prior to the filing of our federal income tax returns. The IRS is currently examining the 2021 and 2022 tax years. In June 2022, the IRS issued a no change letter effectively closing our 2020 tax year audit. The statute of limitations has expired or we have settled federal income tax examinations with the IRS for all tax years through 2020. Our state income tax returns are also periodically examined by various regulatory taxing authorities. We are currently under audit by one state for tax years ranging from 2017 - 2019. For the tax years that remain open under the applicable statutes of limitations, management considered potential unrecognized tax benefits and determined there are no material unrecognized tax benefits that would impact prior years’ income taxes.

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- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 21 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 17 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 6.I.5.Q1) -URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 14 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 270 -Section 50 -Paragraph 1 -URI https://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI https://asc.fasb.org/topic&trid=2144680 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 + Details
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