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Income Taxes | 12 Months Ended
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Dec. 29, 2020
Income Taxes |
Income Taxes | (9) Income Taxes Components of our income tax (benefit) expense for the years ended December 29, 2020, December 31, 2019 and December 25, 2018 are as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Fiscal Year Ended |
​ |  | December 29, 2020 |  | December 31, 2019 |  | December 25, 2018 |
Current: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Federal | ​ | $ | (648) | ​ | $ | 15,643 | ​ | $ | 2,934 | ​
State | ​ |  | 4,505 | ​ |  | 10,050 | ​ |  | 8,794 | ​
Foreign | ​ | ​ | 403 | ​ | ​ | 369 | ​ | ​ | 210 | ​
Total current | ​ |  | 4,260 | ​ |  | 26,062 | ​ |  | 11,938 | ​
Deferred: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Federal | ​ |  | (16,859) | ​ | ​ | 4,396 | ​ |  | 11,909 | ​
State | ​ |  | (3,073) | ​ | ​ | 1,939 | ​ |  | 410 | ​
Total deferred | ​ |  | (19,932) | ​ |  | 6,335 | ​ |  | 12,319 | ​
Income tax (benefit) expense | ​ | $ | (15,672) | ​ | $ | 32,397 | ​ | $ | 24,257 | ​
​ Our pre-tax income is substantially derived from domestic restaurants. A reconciliation of the statutory federal income tax rate to our effective tax rate for December 29, 2020, December 31, 2019 and December 25, 2018 is as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | Fiscal Year Ended | ​
​ | ​ | ​ | December 29, 2020 | ​ | December 31, 2019 | ​ | December 25, 2018 | ​
Tax at statutory federal rate | ​ | ​ | 21.0 | % | 21.0 | % | 21.0 | %
State and local tax, net of federal benefit | ​ | ​ | 3.6 | ​ | 3.8 | ​ | 3.6 | ​
FICA tip tax credit | ​ | ​ | (92.5) | ​ | (9.4) | ​ | (9.6) | ​
Work opportunity tax credit | ​ | ​ | (12.4) | ​ | (1.5) | ​ | (1.5) | ​
Stock compensation | ​ | ​ | (2.3) | ​ | (0.1) | ​ | (1.4) | ​
Net income attributable to noncontrolling interests | ​ | ​ | (3.0) | ​ | (0.6) | ​ | (0.8) | ​
Officers compensation | ​ | ​ | 2.6 | ​ | 1.2 | ​ | 1.7 | ​
Other | ​ | ​ | 1.6 | ​ | 0.7 | ​ | (0.1) | ​
Total | ​ | ​ | (81.4) | % | 15.1 | % | 12.9 | %
​ Our effective tax rate was a benefit of 81.4% in 2020 compared to expense of 15.1% in 2019. This was primarily due to the impact of FICA tip and Work opportunity tax credits on lower pre-tax income. Additionally, these credits exceeded our federal tax liability in 2020 but we expect to utilize these credits in future years or by carrying back to our 2019 tax year. Our effective tax rate increased to 15.1% in 2019 compared to 12.9% in 2018 primarily due to lower excess tax benefits related to our share-based compensation program partially offset by lower non-deductible officer compensation. In addition, the prior year tax rate benefitted from an adjustment related to tax reform that we recorded in conjunction with the filing of our 2017 tax return. Components of deferred tax liabilities, net are as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | December 29, 2020 |  | December 31, 2019 |
Deferred tax assets: | ​ | ​ | ​ | ​ | ​ | ​ | ​
Deferred revenue—gift cards | ​ | $ | 26,692 | ​ | $ | 16,122 | ​
Insurance reserves | ​ | ​ | 5,998 | ​ | ​ | 4,774 | ​
Long-term deferred payroll taxes | ​ | ​ | 5,995 | ​ | ​ | — | ​
Other reserves | ​ |  | 705 | ​ |  | 601 | ​
Share-based compensation | ​ |  | 5,621 | ​ |  | 5,510 | ​
Operating lease liabilities | ​ | ​ | 146,803 | ​ | ​ | 137,744 | ​
Deferred compensation | ​ |  | 12,778 | ​ |  | 10,503 | ​
Tax credit carryforwards | ​ | ​ | 10,360 | ​ | ​ | 1,710 | ​
Other assets | ​ |  | 2,119 | ​ |  | 2,482 | ​
Total deferred tax asset | ​ |  | 217,071 | ​ |  | 179,446 | ​
Deferred tax liabilities: | ​ | ​ | ​ | ​ | ​ | ​ | ​
Property and equipment | ​ |  | (71,263) | ​ |  | (63,777) | ​
Goodwill and intangibles | ​ |  | (6,896) | ​ |  | (6,241) | ​
Operating lease right-of-use asset | ​ | ​ | (131,718) | ​ | ​ | (123,813) | ​
Other liabilities | ​ | ​ | (9,996) | ​ | ​ | (8,310) | ​
Total deferred tax liability | ​ |  | (219,873) | ​ |  | (202,141) | ​
Net deferred tax liability | ​ | $ | (2,802) | ​ | $ | (22,695) | ​
​ ​ As of December 29, 2020, we have federal tax credit carryforwards of $10.2 million expiring in 2040 and state tax credit carryforwards of $0.2 million expiring in 2023. The federal tax credits include FICA tip and Work opportunity tax credits that exceeded credit limitations in the current year. We expect to generate sufficient earnings in future periods and/or may implement tax planning strategies that would allow us to fully utilize these credits. As such, we have not provided any valuation allowances for these credits, or any of our other deferred tax assets, as their realization is more likely than not. A reconciliation of the beginning and ending liability for unrecognized tax benefits, all of which would impact the effective tax rate if recognized, is as follows: ​
​ | ​ | ​ | ​ | ​
Balance at December 25, 2018 | ​ | $ | 1,482 | ​
Additions to tax positions related to prior years | ​ |  | 16 | ​
Additions to tax positions related to current year | ​ | ​ | 362 | ​
Reductions due to statute expiration | ​ | ​ | (314) | ​
Reductions due to exam settlements | ​ |  | — | ​
Balance at December 31, 2019 | ​ |  | 1,546 | ​
Additions to tax positions related to prior years | ​ | ​ | 148 | ​
Additions to tax positions related to current year | ​ |  | 389 | ​
Reductions due to statute expiration | ​ |  | (421) | ​
Reductions due to exam settlement | ​ | ​ | — | ​
Balance at December 29, 2020 | ​ | $ | 1,662 | ​
​ As of December 29, 2020 and December 31, 2019, the total amount of accrued penalties and interest related to uncertain tax provisions was not material. All entities for which unrecognized tax benefits exist as of December 29, 2020 possess a December tax year-end. As a result, as of December 29, 2020, the tax years ended December 26, 2017, December 25, 2018 and December 31, 2019 remain subject to examination by all tax jurisdictions. As of December 29, 2020, no audits were in process by a tax jurisdiction that, if completed during the next twelve months, would be expected to result in a material change to our unrecognized tax benefits. Additionally, as of December 29, 2020, no event occurred that is likely to result in a significant increase or decrease in the unrecognized tax benefits through December 28, 2021.

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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 http://asc.fasb.org/extlink&oid=84230637&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 http://asc.fasb.org/extlink&oid=116825942&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 http://asc.fasb.org/extlink&oid=84230637&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 http://asc.fasb.org/extlink&oid=116825942&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 http://asc.fasb.org/extlink&oid=84230637&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 http://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 http://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 http://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331 + Details
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