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Income Taxes | 12 Months Ended
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Dec. 31, 2022
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes Our Consolidated Financial Statements include the operations of our TRSs, which are not entitled to the dividends paid deduction and are subject to federal, state and local income taxes on its taxable income. During the years ended December 31, 2022, 2021 and 2020, the Company qualified as a REIT and incurred no federal income tax expense; accordingly, the only federal income taxes included in the accompanying Consolidated Financial Statements relate to activities of our TRSs. The components of the income tax provision for the years ended December 31, 2022, 2021 and 2020 is comprised of the following:
| Year Ended December 31,
| 2022 |  | 2021 |  | 2020
Current: |  |  |  |  |
Federal | $ | (226) |  |  | $ | (2,458) |  |  | $ | (3,659) |
State | (356) |  |  | (1,936) |  |  | (1,718) |
Deferred: |  |  |  |  |
Federal | (19,154) |  |  | (454) |  |  | 2,969 |
State | (3,627) |  |  | (31) |  |  | — |
Total Income Tax Provision | $ | (23,363) |  |  | $ | (4,879) |  |  | $ | (2,408) |
Deferred income taxes represent the tax effect of the temporary differences between the book and tax basis of assets and liabilities. Deferred income tax assets and liabilities include the following as of December 31, 2022 and 2021:
| Year Ended December 31,
| 2022 |  | 2021
Basis Difference - Real Estate | $ | 1,603 |  |  | $ | 332 |
Section 163(j) Interest Limitation | 551 |  |  | 316 |
Other - Temporary Differences | 263 |  |  | 243 |
Total Deferred Income Tax Assets, Net of Allowance | $ | 2,417 |  |  | $ | 891 |
Deferred Income - Investment in Joint Venture | $ | (24,340) |  |  | $ | — |
Other - Temporary Differences | (299) |  |  | (332) |
Total Deferred Income Tax Liabilities | $ | (24,639) |  |  | $ | (332) |
Total Net Deferred Income Tax (Liabilities) Assets | $ | (22,222) |  |  | $ | 559 |
We evaluate tax positions taken in the financial statements on a quarterly basis under the interpretation for accounting for uncertainty in income taxes. As a result of this evaluation, we may recognize a tax benefit from an uncertain tax position only if it is "more-likely-than-not" that the tax position will be sustained on examination by taxing authorities. As of December 31, 2022, we do not have any unrecognized tax benefits. We file income tax returns in the U.S. and various states. The statute of limitations for income tax returns is generally three years. As such, our tax returns that are subject to examination would be primarily from 2019 and thereafter. There were no material interest or penalties recorded for the years ended December 31, 2022, 2021 and 2020. Federal Income Tax Treatment of Common Dividends For the years ended December 31, 2022, 2021 and 2020, the dividends paid to the Company's common shareholders per common share for income tax purposes were characterized as follows:
| 2022 |  | As a Percentage of Distributions |  | 2021 |  | As a Percentage of Distributions |  | 2020 |  | As a Percentage of Distributions
Ordinary Income (A) | $ | 1.0720 |  |  | 90.85 | % |  | $ | 0.9928 |  |  | 91.93 | % |  | $ | 0.5800 |  |  | 58.00 | %
Unrecaptured Section 1250 Capital Gain | 0.0060 |  |  | 0.51 | % |  | 0.0060 |  |  | 0.55 | % |  | 0.2576 |  |  | 25.76 | %
Other Capital Gain (B) | 0.0168 |  |  | 1.42 | % |  | 0.0128 |  |  | 1.19 | % |  | 0.1624 |  |  | 16.24 | %
Qualified Dividend | 0.0852 |  |  | 7.22 | % |  | 0.0684 |  |  | 6.33 | % |  | — |  |  | 0.00 | %
| $ | 1.1800 |  |  | 100.00 | % |  | $ | 1.0800 |  |  | 100.00 | % |  | $ | 1.0000 |  |  | 100.00 | %
(A) For the years ended December 31, 2022, 2021 and 2020, the Code Section 199A dividend is equal to the total ordinary income dividend. (B) For the year ended December 31, 2022, Section 1061 of the Code related to Capital Gains for One Year Amounts was 52.0% and for Three Year Amounts was 12.6%. The income tax characterization of dividends to common shareholders is based on the calculation of Taxable Earnings and Profits, as defined in the Code. Taxable Earnings and Profits differ from regular taxable income due primarily to differences in the estimated useful lives and methods used to compute depreciation and in the recognition of gains and losses on the sale of real estate assets.

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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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