XML 85 R37.htm IDEA: XBRL DOCUMENT v3.22.0.1

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Provision for Income Taxes

The provision for income taxes consists of the following:

			Year Ended December 31,
(in millions)			2021			2020			2019
Current:
Federal			$	86		$	96		$	53
State			28			30			12
Foreign			1			1			—
Total Current			115			127			65
Deferred:
Federal			(7)			(33)			(2)
State			(3)			(9)			(5)
Foreign			(2)			—			—
Total Deferred			(12)			(42)			(7)
Total			$	103		$	85		$	58

U.S. Federal Statutory Income Tax Rate Reconciled to Effective Tax Rate

The U.S. federal statutory income tax rate reconciled to our effective tax rate is as follows:

			Year Ended December 31,
			2021									2020									2019
(in millions, except percent)			Pre-Tax Income			Tax Expense/(Benefit)			Percent of Pre-Tax Income (Loss)			Pre-Tax Income			Tax Expense/(Benefit)			Percent of Pre-Tax Income (Loss)			Pre-Tax Income			Tax Expense/(Benefit)			Percent of Pre-Tax Income (Loss)
			$	441								$	357								$	270
U.S. federal statutory tax rate						$	93		21		%				$	75		21		%				$	57		21		%
State income taxes, net of federal benefit						32			7						25			7						20			7
Tax rate change						(1)			—						—			—						—			—
Nondeductible meals, entertainment and penalties						2			—						—			—						1			—
Stock based compensation						(2)			—						(2)			—						(1)			—
Uncertain tax positions						(1)			—						1			—						—			—
Tax credits						(7)			(2)						(6)			(2)						(7)			(3)
State and tax return to provision adjustments						(10)			(2)						(7)			(2)						(8)			(3)
Other						(3)			(1)						(1)			—						(4)			(1)
Total						$	103		23		%				$	85		24		%				$	58		21		%

Significant Components of Deferred Tax Assets and Liabilities

Significant components of our deferred tax assets and liabilities are as follows:

			Year Ended December 31,
(in millions)			2021			2020
Deferred tax assets:
Net operating losses (federal and state)			$	3		$	3
Accrued expenses			20			14
Accrued workers' compensation costs			9			9
Recovery credit			13			26
Operating lease liabilities			13			15
Stock based compensation			3			3
Tax benefits relating to uncertain positions			1			1
Tax credits (federal and state)			6			8
Total			68			79
Valuation allowance			(5)			(5)
Total deferred tax assets			63			74
Deferred tax liabilities:
Depreciation and amortization			(37)			(37)
Deferred service revenues			—			(20)
Prepaid commission expenses			(24)			(22)
Operating lease right-of-use assets			(10)			(13)
Other			(1)			(2)
Total deferred tax liabilities			(72)			(94)
Net deferred tax liabilities			$	(9)		$	(20)

Reconciliation of Beginning and Ending Valuation Allowance

A reconciliation of the beginning and ending amount of the valuation allowance is presented in the table below:

			Year Ended December 31,
(in millions)			2021			2020			2019
Valuation allowance at January 1			$	5		$	5		$	7
(Credited) Charged to net income			—			—			(2)
Valuation allowance at December 31			5			5			5

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding interest and penalties) related to uncertain income tax provisions, which would affect the effective tax rate if recognized, is presented in the table below:

			Year Ended December 31,
(in millions)			2021			2020			2019
Unrecognized tax benefits at January 1			$	8		$	7		$	6
Additions for tax positions of prior periods			—			1			1
Additions for tax positions of current period			1			1			1
Reductions for tax positions of prior period:
Settlements with taxing authorities			—			(1)			—
Lapse of applicable statute of limitations			(1)			—			(1)
Adjustments to tax positions			(1)			—			—
Unrecognized tax benefits at December 31			$	7		$	8		$	7

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

Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32639-109319

+ Details

Name:	us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32537-109319

+ Details

Name:	us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32687-109319

+ Details

Name:	us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure for tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities and other income tax contingencies. Includes, but is not limited to, interest and penalties, reconciliation of unrecognized tax benefits, unrecognized tax benefits that would affect the effective tax rate, tax years that remain subject to examination by tax jurisdictions, and information about positions for which it is reasonably possible that amounts unrecognized will significantly change within 12 months.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 15A
-URI http://asc.fasb.org/extlink&oid=121826272&loc=SL6600010-109319

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 15
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32718-109319

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 19
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32840-109319

+ Details

Name:	us-gaap_SummaryOfIncomeTaxContingenciesTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of valuation allowances to reduce deferred tax assets to net realizable value, including identification of the deferred tax asset more likely than not will not be fully realized and the corresponding amount of the valuation allowance.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32537-109319

+ Details

Name:	us-gaap_SummaryOfValuationAllowanceTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration