XML 28 R15.htm IDEA: XBRL DOCUMENT
v3.22.0.1

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2021
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes The provision (benefit) for income taxes for the years ended December 31, 2021, 2020 and 2019 consists of the following:
| 2021 |  | 2020 |  | 2019
Current tax expense (benefit): |  |  |  |  |
Federal | $ | (97) |  |  | $ | (729) |  |  | $ | 96 |
State | 609 |  |  | 86 |  |  | 444 |
Foreign | 7,046 |  |  | 6,963 |  |  | 8,375 |
| 7,558 |  |  | 6,320 |  |  | 8,915 |
Deferred income tax expense (benefit): |  |  |  |  |
Federal | 3,466 |  |  | (12,253) |  |  | (3,970) |
State | 1,449 |  |  | (1,173) |  |  | (938) |
Foreign | (1,910) |  |  | (808) |  |  | (1,402) |
| 3,005 |  |  | (14,234) |  |  | (6,310) |
Provision (benefit) for income taxes | $ | 10,563 |  |  | $ | (7,914) |  |  | $ | 2,605 |
A reconciliation between income taxes computed at the statutory federal rate and the provision (benefit) for income taxes for the years ended December 31, 2021, 2020 and 2019 follows:
| 2021 |  | 2020 |  | 2019
Tax provision at statutory rate based on income before income taxes | 21.0 | % |  | 21.0 | % |  | 21.0 | %
Stock-based compensation | (9.4) |  |  | (267.7) |  |  | (15.4) |
Federal research credit | (2.3) |  |  | (124.2) |  |  | (4.0) |
Valuation allowance | (2.2) |  |  | 49.7 |  |  | 1.9 |
US tax on worldwide earnings at different rates | (0.4) |  |  | (123.7) |  |  | 7.9 |
Settlement of taxing authority examinations | — |  |  | (122.9) |  |  | (7.7) |
Tax treaty protocols | — |  |  | — |  |  | (2.9) |
Non deductible/non-taxable items | 0.8 |  |  | 28.6 |  |  | 2.8 |
Foreign income taxes | 3.1 |  |  | 79.9 |  |  | 4.5 |
State income taxes, net of federal tax benefit | 3.7 |  |  | (24.5) |  |  | 0.3 |
Other, net | 0.1 |  |  | (10.1) |  |  | (0.1) |
| 14.4 | % |  | (493.9) | % |  | 8.3 | %
The Company has elected to account for Global Intangible Low Tax Income ("GILTI") using the period cost method. The net impact of GILTI including the allowable GILTI deduction is presented in the rate reconciliation as a component of “US tax on worldwide earnings at different rates” and is offset in part by the Foreign Derived Intangible Income deduction (“FDII”). The tax effects of the significant temporary differences which comprise the deferred income tax assets and liabilities at December 31, 2021 and 2020 are as follows:
| 2021 |  | 2020
Assets: |  |  |
Inventory | $ | 4,694 |  |  | $ | 4,649 |
Net operating losses | 18,383 |  |  | 22,197 |
Capitalized research and development | 4,173 |  |  | 5,187 |
Deferred compensation | 2,563 |  |  | 2,240 |
Accounts receivable | 3,147 |  |  | 2,784 |
Compensation and benefits | 6,583 |  |  | 7,540 |
Accrued pension | 3,930 |  |  | 5,348 |
Research and development credit | 15,542 |  |  | 13,540 |
Convertible notes hedge | 4,869 |  |  | 6,999 |
Lease liabilities | 3,573 |  |  | 4,452 |
Other | 5,741 |  |  | 6,793 |
Less: valuation allowances | (786) |  |  | (2,721) |
| 72,412 |  |  | 79,008 |
Liabilities: |  |  |
Goodwill and intangible assets | 106,065 |  |  | 104,119 |
Depreciation | 2,546 |  |  | 2,512 |
State taxes | 11,833 |  |  | 9,614 |
Unremitted foreign earnings | 2,449 |  |  | 2,423 |
Convertible notes debt discount | 4,915 |  |  | 7,060 |
Lease right-of-use assets | 3,484 |  |  | 4,313 |
| 131,292 |  |  | 130,041 |
Net liability | $ | (58,880) |  |  | $ | (51,033) |
Income before income taxes consists of the following U.S. and foreign income:
| 2021 |  | 2020 |  | 2019
U.S. income | $ | 45,260 |  |  | $ | (16,026) |  |  | $ | 5,332 |
Foreign income | 27,845 |  |  | 17,629 |  |  | 25,893 |
Total income | $ | 73,105 |  |  | $ | 1,603 |  |  | $ | 31,225 |
As of December 31, 2021, the amount of federal net operating loss carryforward was $15.7 million and begins to expire in 2027. As of December 31, 2021, the amount of federal research credit carryforward available was $15.5 million. These credits begin to expire in 2027. We have accrued tax liabilities related to the amount of unremitted earnings at December 31, 2017 and certain subsequent unremitted earnings as these are not considered permanently reinvested. Deferred taxes have not been accrued on unremitted earnings subsequent to December 31, 2017 that are considered permanently reinvested. The amount of such untaxed foreign earnings for the periods occurring after December 2017 totaled $20.3 million. If we were to repatriate these funds, we would be required to accrue and pay taxes on such amounts. The Company has estimated foreign withholding taxes of $0.9 million would be due if these earnings were repatriated. The Company is subject to taxation in the United States and various states and foreign jurisdictions. Taxing authority examinations can involve complex issues and may require an extended period of time to resolve. Our federal income tax returns have been examined by the Internal Revenue Service (“IRS”) for calendar years ending through 2019. We recognize tax liabilities in accordance with the provisions for accounting for uncertainty in income taxes. Such guidance prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The following table summarizes the activity related to our unrecognized tax benefits for the years ending December 31,:
| 2021 |  | 2020 |  | 2019
Balance as of January 1, | $ | 200 |  |  | $ | 2,170 |  |  | $ | 3,073 |
Increases for positions taken in current periods | — |  |  | — |  |  | 1,650 |
Decreases in unrecorded tax positions related to settlement with the taxing authorities | — |  |  | (1,970) |  |  | (2,404) |
Decreases in unrecorded tax positions related to lapse of statute of limitations | — |  |  | — |  |  | (149) |
Balance as of December 31, | $ | 200 |  |  | $ | 200 |  |  | $ | 2,170 |
If the total unrecognized tax benefits of $0.2 million at December 31, 2021 were recognized, it would reduce our annual effective tax rate. The amount of interest accrued in 2019, 2020 and 2021 related to these unrecognized tax benefits was not material and is included in the provision (benefit) for income taxes in the consolidated statements of comprehensive income.

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 The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 21 -URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 17 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 6.I.5.Q1) -URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 14 -URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 270 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration