XML 65 R50.htm IDEA: XBRL DOCUMENT v3.22.1
Income Taxes (Tables)
 3 Months Ended
Mar. 31, 2022
Income Tax Disclosure [Abstract]  
Summary of Deferred Tax Asset Recorded
A summary of the components of the Company’s deferred tax assets at March 31, 2022 and December 31, 2021 are as follows:
 
 
  
March 31,

2022
 
  
December 31,
2021
 
Deferred tax assets:
  
  
Capital losses
    $ 16,818      $ 16,601  
NOLs – Foreign
      1,846        1,934  
Unrealized losses
      1,794        614  
Accrued expenses
      1,263        4,993  
Goodwill and intangible assets
      1,228        1,276  
Interest carryforwards
      604        437  
Stock-based compensation
      469        1,359  
NOLs – U.S.
      255        382  
Outside basis differences
      122        122  
Other
      362        376  
    
 
 
     
 
 
  
Deferred tax assets
      24,761        28,094  
    
 
 
     
 
 
  
 
  
March 31,

2022
 
  
December 31,
2021
 
Deferred tax liabilities:
  
  
Fixed assets and prepaid assets
      158        257  
Unremitted earnings – International subsidiaries
      146        118  
Unrealized gains
      91        —  
Foreign currency translation adjustment
      52        181  
    
 
 
     
 
 
  
Deferred tax liabilities
      447        556  
    
 
 
     
 
 
  
Total deferred tax assets less deferred tax liabilities
      24,314        27,538  
Less: Valuation allowance
      (20,580 )       (18,657 ) 
    
 
 
     
 
 
  
Deferred tax assets, net
    $ 3,734      $ 8,881  
    
 
 
     
 
 
  
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, 2022
    $ 21,925      $ 18,218      $ 3,707  
Decrease - Settlements
(1)
      (13,052 )       (11,865 )       (1,187 ) 
Decrease - Lapse of statute of limitations
(1)
      (6,845 )       (4,825 )       (2,020 ) 
Increases
      7        —        7  
Foreign currency translation
(2)
      (583 )       (485 )       (98 ) 
    
 
 
     
 
 
     
 
 
  
Balance at March 31, 2022
    $ 1,452      $ 1,043      $ 409  
    
 
 
     
 
 
     
 
 
  
 
 
(1)
In January 2022, an audit of ManJer’s tax returns (a Jersey-based subsidiary) for the years ended December 31, 2014, 2016, 2017 and 2018 were resolved in favor of ManJer. The settlement, as well as the reduction in unrecognized tax benefits from the lapse of the statute of limitations totaling $19,897 during the three months ended March 31, 2022, was recorded as an income tax benefit with an equal and offsetting amount recorded in other losses, net, to recognize a reduction in the indemnification asset. During the three months ended March 31, 2021, an income tax benefit of $5,171 was recorded along with an equal and offsetting amount in other losses, net.
 
(2)
The gross unrecognized tax benefits were accrued in British pounds.