XML 35 R20.htm IDEA: XBRL DOCUMENT
v3.22.0.1

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2021
Income Tax Disclosure [Abstract] |
Income Taxes | Income taxesThe Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. Income before income taxes from continuing operations consisted of the following:
| Year ended December 31,
| 2021 |  | 2020 |  | 2019
Domestic | $ | 1,463,029 |  |  | $ | 1,287,976 |  |  | $ | 1,307,299 |
International | 55,465 |  |  | 30,286 |  |  | (111,860) |
| $ | 1,518,494 |  |  | $ | 1,318,262 |  |  | $ | 1,195,439 |
Income tax expense for continuing operations consisted of the following:
| Year ended December 31,
| 2021 |  | 2020 |  | 2019
Current: |  |  |  |  |
Federal | $ | 216,539 |  |  | $ | 47,171 |  |  | $ | 208,339 |
State | 15,601 |  |  | 21,442 |  |  | 58,026 |
International | 14,247 |  |  | 17,481 |  |  | 15,545 |
Total current income tax | 246,387 |  |  | 86,094 |  |  | 281,910 |
Deferred: |  |  |  |  |
Federal | 59,528 |  |  | 198,623 |  |  | 44,263 |
State | 5,342 |  |  | 27,206 |  |  | (25,836) |
International | (4,525) |  |  | 2,009 |  |  | (20,709) |
Total deferred income tax | 60,345 |  |  | 227,838 |  |  | (2,282) |
| $ | 306,732 |  |  | $ | 313,932 |  |  | $ | 279,628 |
Income taxes are allocated between continuing and discontinued operations as follows:
| Year ended December 31,
| 2021 |  | 2020 |  | 2019
Continuing operations | $ | 306,732 |  |  | $ | 313,932 |  |  | $ | 279,628 |
Discontinued operations | — |  |  | 1,657 |  |  | 40,689 |
| $ | 306,732 |  |  | $ | 315,589 |  |  | $ | 320,317 |
The reconciliation between the Company’s effective tax rate from continuing operations and the U.S. federal income tax rate is as follows:
| Year ended December 31,
| 2021 |  | 2020 |  | 2019
Federal income tax rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State income taxes, net of federal benefit | 3.0 |  |  | 3.4 |  |  | 2.3 |
Equity compensation | (2.4) |  |  | — |  |  | 0.5 |
Federal and international tax rate adjustments | 1.3 |  |  | — |  |  | — |
Nondeductible executive compensation | 0.8 |  |  | 1.2 |  |  | 0.8 |
Political advocacy costs | 0.2 |  |  | 1.7 |  |  | 0.2 |
Unrecognized tax benefits | (0.1) |  |  | 0.4 |  |  | 2.4 |
Change in international valuation allowance | (1.0) |  |  | 1.5 |  |  | 1.3 |
Other | 1.0 |  |  | (0.6) |  |  | (0.2) |
Impact of noncontrolling interests primarily attributable to non-tax paying entities | (3.6) |  |  | (4.8) |  |  | (4.9) |
Effective tax rate | 20.2 | % |  | 23.8 | % |  | 23.4 | %
Deferred tax assets and liabilities arising from temporary differences for continuing operations were as follows:
| December 31,
| 2021 |  | 2020
Receivables | $ | 8,430 |  |  | $ | 9,324 |
Accrued liabilities | 67,993 |  |  | 64,982 |
Operating lease liabilities | 581,199 |  |  | 584,656 |
Net operating loss carryforwards | 162,987 |  |  | 167,398 |
Other | 52,434 |  |  | 62,110 |
Deferred tax assets | 873,043 |  |  | 888,470 |
Valuation allowance | (100,616) |  |  | (114,824) |
Net deferred tax assets | 772,427 |  |  | 773,646 |
Intangible assets | (644,039) |  |  | (634,736) |
Property and equipment | (283,913) |  |  | (274,742) |
Operating lease assets | (530,839) |  |  | (532,082) |
Investments in partnerships | (84,407) |  |  | (101,996) |
Other | (37,274) |  |  | (39,690) |
Deferred tax liabilities | (1,580,472) |  |  | (1,583,246) |
Net deferred tax liabilities | $ | (808,045) |  |  | $ | (809,600) |
Reported as: |  |  |
Deferred tax liabilities | $ | (830,954) |  |  | $ | (809,600) |
Deferred tax assets (included in Other long-term assets) | 22,909 |  |  | — |
| $ | (808,045) |  |  | $ | (809,600) |
At December 31, 2021, the Company had federal net operating loss carryforwards of approximately $85,391 that expire through 2036, although a substantial amount expire by 2029. The Company also had state net operating loss carryforwards of $554,806, some of which have an indefinite life, although a substantial amount expire by 2041 and international net operating loss carryforwards of $291,927, some of which will begin to expire in 2022 though the majority have an indefinite life. The Company has a state capital loss carryover of $313,722, the majority of which expires in 2024. The utilization of a portion of these losses may be limited in future years based on the profitability of certain entities. A valuation allowance is recorded to account for the unrealizable balances in the table above. The net decrease of $14,208 in the valuation allowance is primarily due to the release of the valuation allowance on indefinite life net operating losses in jurisdictions where the Company has generated sufficient income to support their future utilization, partially offset by newly created net operating loss carryforwards in state and foreign jurisdictions that the Company does not anticipate being able to utilize. During the year ended December 31, 2021, the Company recorded a true-up to recognize net deferred tax assets related to historical purchases of noncontrolling interests in consolidated partnerships. The effect of this adjustment was an increase of $46,692 to net deferred tax assets, a charge of $16,044 to income tax expense, and an increase of $62,736 to additional paid-in capital. The Company’s prior purchases of this type have not generated significant pre-tax adjustments to additional paid-in capital in any single prior year. The majority of the $16,044 recorded to income tax expense was due to the decrease in the corporate tax rate in 2017. The Company's foreign earnings continue to be indefinitely reinvested as of December 31, 2021. As a result of the passage of the Tax Cuts and Jobs Act (2017 Tax Act), the Company does not expect such earnings to be taxable if remitted. Unrecognized tax benefits A reconciliation of the beginning and ending liability for unrecognized tax benefits that do not meet the more-likely-than-not threshold is as follows:
| Year ended December 31,
| 2021 |  | 2020
Beginning balance | $ | 70,202 |  |  | $ | 68,214 |
Additions for tax positions related to current year | 3,335 |  |  | 2,293 |
Additions for tax positions related to prior years | 22,616 |  |  | 258 |
Reductions related to lapse of applicable statute | (751) |  |  | (133) |
Reductions related to settlements with taxing authorities | (22,378) |  |  | (430) |
Ending balance | $ | 73,024 |  |  | $ | 70,202 |
As of December 31, 2021, the Company’s total liability for unrecognized tax benefits relating to tax positions that do not meet the more-likely-than-not threshold is $73,024, of which $68,708 would impact the Company’s effective tax rate if recognized and $42,860 is classified as a current tax liability related to settlements expected to be paid in 2022. This balance represents an increase of $2,822 from the December 31, 2020 balance of $70,202. The Company recognizes accrued interest and penalties related to unrecognized tax benefits in income tax expense. At December 31, 2021 and 2020, the Company had approximately $15,275 and $17,864, respectively, accrued for interest and penalties related to unrecognized tax benefits, net of federal tax benefit. The Company and its subsidiaries file U.S. federal and state income tax returns and various foreign income tax returns. The Company is no longer subject to U.S. federal and state examinations by tax authorities for years before 2014 and 2009, respectively. In addition to being under audit in various state and local tax jurisdictions, the Company’s federal tax returns are under audit by the Internal Revenue Service for the years 2014-2017.

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
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 -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 21 -URI http://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 http://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 http://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 http://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 http://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 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 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 http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration