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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2023
Income Tax Disclosure [Abstract] |
Income Before Income Tax Provision (Benefit) | Our income before income taxes was subject to taxes in the following jurisdictions for the following periods (in millions):
| Years Ended December 31,
| 2023 |  | 2022 |  | 2021
United States | $ | 3.5 |  |  | $ | 97.8 |  |  | $ | 295.3 |
Foreign | 31.3 |  |  | 44.1 |  |  | 55.3 |
Total | $ | 34.8 |  |  | $ | 141.9 |  |  | $ | 350.6 |
Expense (Benefit) for Income Taxes | The provision (benefit) for income taxes is comprised of (in millions):
| Years Ended December 31,
| 2023 |  | 2022 |  | 2021
Current tax provision: |  |  |  |  |
Federal | $ | 7.0 |  |  | $ | 9.8 |  |  | $ | 2.9 |
State | 7.1 |  |  | 5.7 |  |  | 2.3 |
Foreign | 6.8 |  |  | 6.4 |  |  | 14.6 |
| 20.9 |  |  | 21.9 |  |  | 19.8 |
Deferred tax provision (benefit): |  |  |  |  |
Federal | (36.3) |  |  | (42.6) |  |  | 11.0 |
State | (37.0) |  |  | 7.9 |  |  | 7.2 |
Foreign | (7.8) |  |  | (3.2) |  |  | (9.4) |
| (81.1) |  |  | (37.9) |  |  | 8.8 |
Income tax (benefit) provision | $ | (60.2) |  |  | $ | (16.0) |  |  | $ | 28.6 |
Components of Deferred Tax Assets and Liabilities | Significant components of our deferred tax assets and liabilities as of December 31, 2023 and 2022 are as follows (in millions):
| December 31,
| 2023 |  | 2022
Deferred tax assets: |  |  |
Operating loss carryforwards | $ | 132.3 |  |  | $ | 135.9 |
Tax credit carryforwards | 58.7 |  |  | 57.3 |
ASC Topic 842 lease liability | 461.1 |  |  | 441.6 |
Deemed landlord financing | 252.3 |  |  | 167.5 |
Other | 103.9 |  |  | 90.3 |
Total deferred tax assets | 1,008.3 |  |  | 892.6 |
Valuation allowance for deferred tax assets | (47.7) |  |  | (100.2) |
Deferred tax assets, net of valuation allowance | 960.6 |  |  | 792.4 |
Deferred tax liabilities: |  |  |
Basis difference related to fixed assets | (209.9) |  |  | (146.6) |
Basis difference related to intangible assets with an indefinite life | (337.1) |  |  | (332.4) |
ASC Topic 842 ROU assets | (425.3) |  |  | (414.7) |
Other | (9.3) |  |  | (0.1) |
Total deferred tax liabilities | (981.6) |  |  | (893.8) |
Net deferred tax assets (liabilities) are shown on the accompanying consolidated balance sheets as follows: |  |  |
Non-current deferred tax assets | 15.7 |  |  | 16.1 |
Non-current deferred tax liabilities | (36.7) |  |  | (117.5) |
Deferred tax liabilities, net | $ | (21.0) |  |  | $ | (101.4) |
Credit Carryforward Expiry | As of December 31, 2023, we had federal and state income tax credit carryforwards of $46.6 million and $33.7 million, respectively, which will expire if unused at various dates beginning on December 31, 2028. Such carryforwards expire as follows (in millions):
U.S. foreign tax credit | $ | 2.2 |  |  | 2028-2033
U.S. business tax credits | $ | 44.4 |  |  | 2030-2043
State business tax credits - indefinite lived | $ | 29.4 |  |  | Do not expire
State business tax credits - definite lived | $ | 4.3 |  |  | 2032-2047
Net Operating Losses Expiry | As of December 31, 2023, we had federal, Germany, and United Kingdom net operating losses (“NOLs”) carryforwards of $389.3 million and interest expense carryforwards of $49.9 million, respectively. Such carryforwards expire as follows (in millions):
U.S. loss carryforwards - definite lived | $ | 14.7 |  |  | 2028-2037
U.S. loss carryforwards - indefinite lived | $ | 179.2 |  |  | Do not expire
U.S. interest expense carryforwards | $ | 49.9 |  |  | Do not expire
Germany loss carryforwards | $ | 110.8 |  |  | Do not expire
United Kingdom loss carryforwards | $ | 84.6 |  |  | Do not expire
Reconciliation of Effective Tax Rate on Income or Loss and Statutory Tax Rate | A reconciliation of the effective tax rate on income or loss and the statutory tax rate is as follows:
| Years Ended December 31,
| 2023 |  | 2022 |  | 2021
Statutory U.S. tax rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State income taxes, net of U.S. tax benefit | (67.7) | % |  | 7.1 | % |  | 2.1 | %
Foreign income taxed at other than U.S. statutory rate | (26.0) | % |  | (8.9) | % |  | (3.3) | %
Federal tax credits | (46.6) | % |  | (8.7) | % |  | (2.0) | %
Revaluation of Company stock attributable to Topgolf merger | — | % |  | — | % |  | (15.1) | %
Other non-deductible expenses | 6.0 | % |  | 1.0 | % |  | 0.7 | %
Non-deductible compensation | 17.9 | % |  | 4.5 | % |  | 1.4 | %
U.S. Foreign tax inclusion | 0.4 | % |  | 1.0 | % |  | 0.5 | %
Foreign derived intangible income deduction | (7.5) | % |  | (3.0) | % |  | (2.1) | %
Stock compensation excess tax benefits | — | % |  | — | % |  | (1.6) | %
Impact of uncertain tax positions | 8.5 | % |  | (0.8) | % |  | (2.2) | %
Change in deferred tax valuation allowance | (88.5) | % |  | (23.0) | % |  | 7.8 | %
Withholding tax impacts on foreign subsidiaries | 5.5 | % |  | — | % |  | — | %
Other | 4.3 | % |  | (1.5) | % |  | 1.0 | %
Effective tax rate | (172.7) | % |  | (11.3) | % |  | 8.2 | %
Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in millions):
| 2023 |  | 2022 |  | 2021
Balance at January 1 | $ | 26.2 |  |  | $ | 26.6 |  |  | $ | 28.3 |
Additions based on tax positions related to the current year | 1.8 |  |  | 1.7 |  |  | 1.7 |
Additions for tax positions of prior years | 2.0 |  |  | 1.2 |  |  | 0.5 |
Reductions for tax positions of prior years | — |  |  | (1.5) |  |  | (0.9) |
Settlement of tax audits | — |  |  | — |  |  | (2.7) |
Current year acquisitions | — |  |  | — |  |  | 6.7 |
Reductions due to lapsed statute of limitations | (0.7) |  |  | (1.8) |  |  | (7.0) |
Balance at December 31 | $ | 29.3 |  |  | $ | 26.2 |  |  | $ | 26.6 |
Major Jurisdictions No Longer Subject to Income Tax Examinations by Tax Authorities | We or one of our subsidiaries files income tax returns in the U.S. federal jurisdiction and various U.S. states and foreign jurisdictions. We are generally no longer subject to income tax examinations by tax authorities in our major jurisdictions as follows:
Major Tax Jurisdiction |  | Years No Longer Subject to Audit
U.S. Federal |  | 2010 and prior
Germany |  | 2013 and prior
Japan |  | 2017 and prior
South Korea |  | 2021 and prior
United Kingdom |  | 2018 and prior

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