XML 49 R37.htm IDEA: XBRL DOCUMENT
v3.24.0.1

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2023
Components of Income Tax Expense (Benefit), Continuing Operations [Abstract] |
Income Taxes | NOTE 25 – I ncome Taxes The provision for income taxes consists of the following (in thousands):
|  | Year Ended December 31, |
|  | 2023 |  |  | 2022 |  |  | 2021 |
Current taxes: |  |  |  |  |  |  |  |  |
Federal |  | $ | 127,771 |  |  | $ | 159,383 |  |  | $ | 167,258 |
State |  |  | 39,361 |  |  |  | 49,956 |  |  |  | 39,911 |
Foreign |  |  | 1,056 |  |  |  | 929 |  |  |  | 2,950 |
|  |  | 168,188 |  |  |  | 210,268 |  |  |  | 210,119 |
Deferred taxes: |  |  |  |  |  |  |  |  |
Federal |  |  | 9,067 |  |  |  | 8,752 |  |  |  | 19,747 |
State |  |  | 2,917 |  |  |  | 4,203 |  |  |  | 5,640 |
Foreign |  |  | 3,984 |  |  |  | (262 | ) |  |  | 6,717 |
|  |  | 15,968 |  |  |  | 12,693 |  |  |  | 32,104 |
Provision for income taxes |  | $ | 184,156 |  |  | $ | 222,961 |  |  | $ | 242,223 |
Reconciliation of the statutory federal income tax rate with our company’s effective income tax rate is as follows (in thousands):
|  | Year Ended December 31, |
|  | 2023 |  |  | 2022 |  |  | 2021 |
Statutory rate |  | $ | 148,405 |  |  | $ | 185,874 |  |  | $ | 224,087 |
State income taxes, net of federal income tax |  |  | 34,012 |  |  |  | 42,813 |  |  |  | 37,169 |
Non-deductible business expenses |  |  | 25,177 |  |  |  | 10,944 |  |  |  | 9,732 |
Change in valuation allowance |  |  | 21,931 |  |  |  | 9,802 |  |  |  | 2,248 |
Foreign tax rate difference |  |  | (2,471 | ) |  |  | (2,846 | ) |  |  | 125 |
Federal tax credits |  |  | (7,002 | ) |  |  | (2,793 | ) |  |  | (2,126 | )
Excess tax benefit from stock-based compensation |  |  | (31,109 | ) |  |  | (19,418 | ) |  |  | (32,004 | )
Other, net |  |  | (4,787 | ) |  |  | (1,415 | ) |  |  | 2,992 |
|  | $ | 184,156 |  |  | $ | 222,961 |  |  | $ | 242,223 |
Tax effect of temporary differences and carryforwards that comprise significant portions of deferred tax assets and liabilities (in thousands):
|  | December 31, |
|  | 2023 |  |  | 2022 |
Deferred tax assets: |  |  |  |  |  |
Lease liabilities |  | $ | 205,487 |  |  | $ | 206,091 |
Deferred compensation |  |  | 82,593 |  |  |  | 81,457 |
Receivable reserves |  |  | 52,342 |  |  |  | 47,308 |
Unrealized loss on investments |  |  | 51,549 |  |  |  | 62,318 |
Net operating loss carryforwards |  |  | 45,879 |  |  |  | 28,997 |
Accrued expenses |  |  | 15,457 |  |  |  | 25,833 |
Total deferred tax assets |  |  | 453,307 |  |  |  | 452,004 |
Valuation allowance |  |  | (46,843 | ) |  |  | (24,779 | )
|  |  | 406,464 |  |  |  | 427,225 |
Deferred tax liabilities: |  |  |  |  |  |
Lease right-of-use assets |  |  | (195,962 | ) |  |  | (199,085 | )
Goodwill and other intangibles |  |  | (72,927 | ) |  |  | (61,225 | )
Prepaid expenses |  |  | (6,966 | ) |  |  | (4,427 | )
Depreciation |  |  | (3,620 | ) |  |  | (1,180 | )
Other |  |  | (5,467 | ) |  |  | (2,101 | )
|  |  | (284,942 | ) |  |  | (268,018 | )
Net deferred tax asset |  | $ | 121,522 |  |  | $ | 159,207 |
Our net deferred tax asset at December 31, 2023, includes net operating loss carryforwards of $134.0 million that expire between 2024 and 2043. Certain of our net operating loss carryforwards do not expire. A valuation allowance is recorded to the extent that it is more likely than not that any portion of the deferred tax asset will not be realized. The valuation allowance was increased by $22.1 million. We believe the realization of the remaining net deferred tax asset of $121.5 million is more likely than not based on the ability to carry back certain tax attributes against prior year taxable income for tax years before 2023 and to carry forward net operating losses indefinitely after 2023, and expectations of future taxable income, which is supported by a history of cumulative income. The current tax payable, included in accounts payable and accrued expenses, is $6.1 million and $9.1 million as of December 31, 2023 and 2022, respectively. The current tax receivable, included in other assets, is $38.9 million and $28.1 million as of December 31, 2023 and 2022, respectively. As of December 31, 2023, we considered all undistributed earnings of non-U.S. subsidiaries to be permanently reinvested. Therefore, we have not provided for any U.S. deferred income taxes. Because the time or manner of repatriation is uncertain, we cannot determine the impact of local taxes, withholding taxes and foreign tax credits associated with the future repatriation of such earnings, and therefore cannot quantify the tax liability that would be payable in the event all such foreign earnings are repatriated. Uncertain Tax Positions As of December 31, 2023 and 2022, we had $5.4 million and $5.3 million, respectively, of gross unrecognized tax benefits, all of which, if recognized, would impact the effective tax rate. We recognize interest and penalties related to uncertain tax positions in provision for income taxes in the consolidated statements of operations. As of December 31, 2023 and 2022, we had accrued interest and penalties of $0.4 million and $0.3 million, respectively, before benefit of federal tax deduction, included in accounts payable and accrued expenses in our consolidated statements of financial condition. The amount of interest and penalties recognized in our consolidated statements of operations for the years ended December 31, 2023, 2022, and 2021, was not significant. The following table summarizes the activity related to our company’s unrecognized tax benefits from January 1, 2021 to December 31, 2023 (in thousands):
|  | Year Ended December 31, |
|  | 2023 |  |  | 2022 |  |  | 2021 |
Beginning balance |  | $ | 5,271 |  |  | $ | 4,924 |  |  | $ | 3,962 |
Increase related to prior year tax positions |  |  | 112 |  |  |  | 195 |  |  |  | 2,719 |
Decrease related to prior year tax positions |  |  | (63 | ) |  |  | (635 | ) |  |  | (119 | )
Increase related to current year tax positions |  |  | 1,083 |  |  |  | 978 |  |  |  | 745 |
Decrease related to settlements with taxing authorities |  |  | — |  |  |  | — |  |  |  | (2,370 | )
Decrease related to lapsing of statute of limitations |  |  | (973 | ) |  |  | (191 | ) |  |  | (13 | )
Ending balance |  | $ | 5,430 |  |  | $ | 5,271 |  |  | $ | 4,924 |
We file income tax returns with the U.S. federal jurisdiction, various states, and certain foreign jurisdictions. We are not subject to U.S. federal examination for taxable years before 2020. We are not subject to certain state and local, or non-U.S. income tax examinations for taxable years before 2015. There is a reasonable possibility that the unrecognized tax benefits will change within the next 12 months as a result of the expiration of various statutes of limitations or for the resolution of U.S. federal and state examinations, but we do not expect this change to be material to the consolidated financial statements.

X
- References No definition available. + Details
Name: | us-gaap_ComponentsOfIncomeTaxExpenseBenefitContinuingOperationsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 -Topic 946 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480990/946-20-50-13 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//740/tableOfContent Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 14 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-14 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-21 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 270 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482526/740-270-50-1 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 17 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-17 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 6.I.5.Q1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479360/740-10-S99-1 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479360/740-10-S99-2 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482603/740-30-50-2 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration