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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2021
Income Tax Disclosure [Abstract] |
Domestic and Foreign Components of Income/Loss before Income Tax Expense | The U.S. and foreign components of income/loss before income tax expense for the years ended December 31, 2021, 2020 and 2019 are as follows:
|  | Year Ended December 31, |
|  | 2021 |  |  | 2020 |  |  | 2019 |
U.S. |  | $ | 15,986 |  |  | $ | (5,187 | ) |  | $ | 6,774 |
Foreign |  |  | 40,685 |  |  |  | (30,035 | ) |  |  | (6,653 | )
Total |  | $ | 56,671 |  |  | $ | (35,222 | ) |  | $ | 121 |
Components of Current and Deferred Income Tax Expense | The components of current and deferred income tax expense included in the Consolidated Statement of Operations for years ended December 31, 2021, 2020 and 2019 are as follows:
|  | Years Ended December 31, |
|  | 2021 |  |  | 2020 |  |  | 2019 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 5,857 |  |  | $ | 3,670 |  |  | $ | 10,311 |
State and local |  |  | 1,538 |  |  |  | 832 |  |  |  | 2,271 |
Foreign |  |  | (837 | ) |  |  | (1,877 | ) |  |  | (1,687 | )
|  | $ | 6,558 |  |  | $ | 2,625 |  |  | $ | 10,895 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | (1,217 | ) |  | $ | 60 |  |  | $ | (246 | )
State and local |  |  | (251 | ) |  |  | 13 |  |  |  | (54 | )
Foreign |  |  | 1,784 |  |  |  | (2,265 | ) |  |  | (49 | )
|  | $ | 316 |  |  | $ | (2,192 | ) |  | $ | (349 | )
Income tax expense |  | $ | 6,874 |  |  | $ | 433 |  |  | $ | 10,546 |
Reconciliation of Statutory Federal Income Tax Rate and Company's Effective Rate | A reconciliation of the statutory federal income tax expense and the Company’s total income tax expense is as follows:
|  | Years Ended December 31, |
|  | 2021 |  |  | 2020 |  |  | 2019 |
U.S. federal statutory income tax |  | $ | 11,901 |  |  | $ | (7,397 | ) |  | $ | 25 |
Decrease in unrecognized tax benefits, net |  |  | (5,014 | ) |  |  | (5,661 | ) |  |  | (3,893 | )
Foreign operations |  |  | (3,211 | ) |  |  | (3,342 | ) |  |  | (3,561 | )
Change in tax-related indemnification assets, net |  |  | 1,053 |  |  |  | 1,189 |  |  |  | 740 |
Non-deductible executive compensation |  |  | 881 |  |  |  | 399 |  |  |  | 1,608 |
Stock-based compensation tax shortfalls |  |  | 647 |  |  |  | 1,485 |  |  |  | 1,198 |
(Gain)/loss on revaluation of deferred consideration(1) |  |  | (424 | ) |  |  | 11,929 |  |  |  | 2,378 |
Blended state income tax rate, net of federal benefit |  |  | 526 |  |  |  | (171 | ) |  |  | 237 |
Change in valuation allowance – Capital losses |  |  | 5 |  |  |  | 4,448 |  |  |  | 7,555 |
Change in valuation allowance – Foreign net operating losses (“NOLs”) and interest carryforwards |  |  | — |  |  |  | (2,018 | ) |  |  | 3,997 |
Non-taxable gain on sale – Canadian ETF business |  |  | — |  |  |  | (740 | ) |  |  | — |
Other differences, net |  |  | 510 |  |  |  | 312 |  |  |  | 262 |
Income tax expense |  | $ | 6,874 |  |  | $ | 433 |  |  | $ | 10,546 |
(1) | The (gain)/loss on revaluation is not adjusted for income taxes as the obligation was assumed by a wholly-owned subsidiary that is based in Jersey, a jurisdiction where the Company is subject to a zero percent tax rate.
Schedule of Income Tax Payments By Jurisdiction | A summary of income taxes paid by jurisdiction for the years ended December 31, 2021, 2020 & 2019 is as follows:
|  | Years Ended December 31, |
|  | 2021 |  |  | 2020 |  |  | 2019 |
Federal |  | $ | 4,258 |  |  | $ | 4,470 |  |  | $ | 6,990 |
State and local |  |  | 1,020 |  |  |  | 1,353 |  |  |  | 1,818 |
Foreign |  |  | 3,178 |  |  |  | 4,308 |  |  |  | 1,252 |
|  | $ | 8,456 |  |  | $ | 10,131 |  |  | $ | 10,060 |
Summary of Deferred Tax Asset Recorded | A summary of the components of the Company’s deferred tax assets at December 31, 2021 and 2020 is as follows:
|  | December 31, |
|  | 2021 |  |  | 2020 |
Deferred tax assets: |  |  |  |  |  |  |  |
Capital losses |  | $ | 16,601 |  |  | $ | 16,596 |
Accrued expenses |  |  | 4,993 |  |  |  | 3,507 |
NOLs – Foreign |  |  | 1,934 |  |  |  | 2,167 |
Stock-based compensation |  |  | 1,359 |  |  |  | 1,922 |
Goodwill and intangible assets |  |  | 1,276 |  |  |  | 1,466 |
Unrealized losses |  |  | 614 |  |  |  | — |
Interest carryforwards |  |  | 437 |  |  |  | 2,235 |
NOLs – U.S. |  |  | 382 |  |  |  | 510 |
Outside basis differences |  |  | 122 |  |  |  | 122 |
Operating lease liabilities |  |  | — |  |  |  | 4,953 |
Other |  |  | 376 |  |  |  | 111 |
Deferred tax assets |  |  | 28,094 |  |  |  | 33,589 |
Deferred tax liabilities: |  |  |  |  |  |  |  |
Fixed assets and prepaid assets |  |  | 257 |  |  |  | 1,261 |
Foreign currency translation adjustment |  |  | 181 |  |  |  | 293 |
Unremitted earnings – International subsidiaries |  |  | 118 |  |  |  | 138 |
Allocated equity component of Convertible Notes |  |  | — |  |  |  | 1,022 |
Right of use assets – operating leases |  |  | — |  |  |  | 3,927 |
Deferred tax liabilities |  |  | 556 |  |  |  | 6,641 |
Total deferred tax assets less deferred tax liabilities |  |  | 27,538 |  |  |  | 26,948 |
Less: Valuation allowance |  |  | (18,657 | ) |  |  | (18,885 | )
Deferred tax assets, net |  | $ | 8,881 |  |  | $ | 8,063 |
Schedule of Changes in Balance of Gross Unrecognized Tax Benefits | The table below sets forth the aggregate changes in the balance of these gross unrecognized tax benefits:
|  | Total |  |  | Unrecognized Tax Benefits |  |  | Interest and Penalties |
Balance on January 1, 2020 |  | $ | 32,101 |  |  | $ | 25,998 |  |  | $ | 6,103 |
Decrease - Lapse of statute of limitations (1) |  |  | (5,981 | ) |  |  | (4,620 | ) |  |  | (1,361 | )
Increases |  |  | 320 |  |  |  | — |  |  |  | 320 |
Foreign currency translation (2) |  |  | 576 |  |  |  | 472 |  |  |  | 104 |
Balance at December 31, 2020 |  | $ | 27,016 |  |  | $ | 21,850 |  |  | $ | 5,166 |
Decrease - Lapse of statute of limitations (1) |  |  | (5,171 | ) |  |  | (3,559 | ) |  |  | (1,612 | )
Increases |  |  | 173 |  |  |  | — |  |  |  | 173 |
Foreign currency translation (2) |  |  | (93 | ) |  |  | (73 | ) |  |  | (20 | )
Balance at December 31, 2021 |  | $ | 21,925 |  |  | $ | 18,218 |  |  | $ | 3,707 |
(1) | Recorded as an income tax benefit along with an equal and offsetting amount recorded in other losses and gains, net, to recognize a reduction in the indemnification asset.
(2) | The gross unrecognized tax benefits were accrued in British pounds.

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