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INCOME TAXES (Tables) | 12 Months Ended
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Dec. 31, 2021
Income Tax Disclosure [Abstract] |
Provision for Federal and Foreign Income Tax Expense for Continuing Operations | The Company’s provision for federal and foreign income tax expense for continuing operations consisted of the following:
|  | Year Ended December 31, |
|  | 2019 |  |  | 2020 |  |  | 2021 |
Income (loss) before income taxes: |  |  |  |  |  |  |  |  |
U.S. |  | $ | 235,571 |  |  | $ | (784,167 | ) |  | $ | (389,176 | )
Foreign |  |  | 38,189 |  |  |  | (143,157 | ) |  |  | (49,841 | )
Total |  | $ | 273,760 |  |  | $ | (927,324 | ) |  | $ | (439,017 | )
Current and Deferred Income Taxes | Current and deferred income taxes were as follows:
|  | Year Ended December 31, |
|  | 2019 |  |  | 2020 |  |  | 2021 |
Current: |  |  |  |  |  |  |  |  |
Federal |  | $ | 45,247 |  |  | $ | (271,162 | ) |  | $ | 4,026 |
Foreign |  |  | 24,022 |  |  |  | 397 |  |  |  | 794 |
State |  |  | 12,486 |  |  |  | 289 |  |  |  | 1,008 |
Total current expense |  | $ | 81,755 |  |  | $ | (270,476 | ) |  | $ | 5,828 |
Deferred: |  |  |  |  |  |  |  |  |
Federal |  | $ | (298 | ) |  | $ | (50,445 | ) |  | $ | (20,204 | )
Foreign |  |  | 5 |  |  |  | 13,266 |  |  |  | 409 |
State |  |  | (1,550 | ) |  |  | (1,721 | ) |  |  | (2,835 | )
Total deferred taxes |  | $ | (1,843 | ) |  | $ | (38,900 | ) |  | $ | (22,630 | )
Income taxes |  | $ | 79,912 |  |  | $ | (309,376 | ) |  | $ | (16,802 | )
Reconciliation Between Income Tax Expense and Taxes Computed | A reconciliation between income tax expense and taxes computed by applying the applicable statutory federal income tax rate to income before income taxes is as follows:
|  | Year Ended December 31, |
|  | 2019 |  |  | 2020 |  |  | 2021 |
Computed statutory tax expense |  | $ | 57,490 |  |  | $ | (194,739 | ) |  | $ | (92,194 | )
State and local income taxes, net of federal income tax impact |  |  | 8,479 |  |  |  | (1,153 | ) |  |  | (1,465 | )
Changes in valuation allowance |  |  | 2,532 |  |  |  | 46,731 |  |  |  | 76,308 |
Foreign tax rate differential |  |  | 4,646 |  |  |  | (6,633 | ) |  |  | (4,466 | )
Foreign tax credits |  |  | 4,143 |  |  | — |  |  | — |
Impacts related to COVID-19 pandemic (1) |  | — |  |  |  | (187,515 | ) |  | — |
Changes in uncertain tax positions |  |  | 197 |  |  |  | 24,879 |  |  |  | 7,524 |
Other, net |  |  | 2,425 |  |  |  | 9,054 |  |  |  | (2,509 | )
Income taxes |  | $ | 79,912 |  |  | $ | (309,376 | ) |  | $ | (16,802 | )
(1) The amount for the year ended December 31, 2020 includes benefits of a rate differential on earnings of $122,975, tax losses with respect to investments in foreign subsidiaries and a write down of certain intercompany receivables associated with the Company’s foreign subsidiaries of $135,599, offset by a tax charge for the remeasurement of deferred taxes and tax attributes of $49,866 and dislodged foreign tax credits not benefited of $21,193.
Tax Effects of Significant Temporary Differences and Tax Loss and Tax Credit Carryforwards | The tax effects of significant temporary differences and tax loss and tax credit carryforwards comprising the net long-term deferred income tax liabilities as of the periods presented consisted of the following:
|  | December 31, |
|  | 2020 |  |  | 2021 |
Deferred liabilities: |  |  |  |  |  |
Theatre properties and equipment |  | $ | 118,051 |  |  | $ | 100,547 |
Finance lease assets |  |  | 24,202 |  |  |  | 19,564 |
Operating lease right-of-use assets |  |  | 297,452 |  |  |  | 288,205 |
Intangible asset – other |  |  | 41,297 |  |  |  | 45,587 |
Intangible asset – tradenames |  |  | 72,268 |  |  |  | 71,877 |
Investment in partnerships |  |  | 20,402 |  |  |  | 16,128 |
Total deferred liabilities |  |  | 573,672 |  |  |  | 541,908 |
Deferred assets: |  |  |  |  |  |
Deferred revenue – NCM |  |  | 83,998 |  |  |  | 84,084 |
Deferred revenue – Other |  |  | 6,208 |  |  |  | 3,661 |
Prepaid rent |  |  | 5,255 |  |  |  | 3,365 |
Gift Cards |  |  | 9,265 |  |  |  | 8,354 |
Operating lease obligations |  |  | 313,552 |  |  |  | 304,462 |
Finance lease obligations |  |  | 31,284 |  |  |  | 25,611 |
Tax impact of items in accumulated other comprehensive income and additional paid-in-capital |  |  | 19,475 |  |  |  | 32,959 |
Restricted stock |  |  | 2,611 |  |  |  | 5,494 |
Accrued expenses |  |  | 3,552 |  |  |  | 4,326 |
Other tax loss carryforwards |  |  | 89,320 |  |  |  | 124,632 |
Other tax credit and attribute carryforwards |  |  | 121,698 |  |  |  | 154,995 |
Other expenses, not currently deductible for tax purposes |  |  | 11,535 |  |  |  | 14,305 |
Total deferred assets |  |  | 697,753 |  |  |  | 766,248 |
Net deferred income tax (asset) liability before valuation allowance |  |  | (124,081 | ) |  |  | (224,340 | )
Valuation allowance against deferred assets – non-current |  |  | 203,606 |  |  |  | 264,168 |
Net deferred income tax liability |  | $ | 79,525 |  |  | $ | 39,828 |
Net deferred tax (asset) liability – Foreign |  | $ | 7,280 |  |  | $ | 6,737 |
Net deferred tax liability – U.S. |  |  | 72,245 |  |  |  | 33,091 |
Total |  | $ | 79,525 |  |  | $ | 39,828 |
Reconciliation of Total Amounts of Unrecognized Tax Benefits Excluding Interest and Penalties | The following is a reconciliation of the total amounts of unrecognized tax benefits excluding interest and penalties for the periods presented:
|  | Year Ended December 31, |
|  | 2019 |  |  | 2020 |  |  | 2021 |
Balance at January 1, |  | $ | 10,561 |  |  | $ | 10,235 |  |  | $ | 46,528 |
Gross increases - tax positions in prior periods |  | 1 |  |  |  | 32,417 |  |  |  | 7,656 |
Gross decreases - tax positions in prior periods |  |  | — |  |  |  | (88 | ) |  |  | (1,611 | )
Gross increases - current period tax positions |  |  | 202 |  |  |  | 4,010 |  |  |  | 3,465 |
Settlements |  |  | (522 | ) |  |  | — |  |  |  | (122 | )
Foreign currency translation adjustments |  |  | (7 | ) |  |  | (46 | ) |  |  | (11 | )
Balance at December 31, |  | $ | 10,235 |  |  | $ | 46,528 |  |  | $ | 55,905 |

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